Bet365, the global gaming operator, has announced plans to reduce its workforce by approximately 340 jobs due to rising regulatory and tax costs. This reduction accounts for about 3% of the company's staff and will affect offices located in Stoke-on-Trent, Malta, and Gibraltar.
The company cited a challenging trading environment and the increased costs associated with regulatory requirements and taxes as reasons for these job cuts. A spokesperson for Bet365 stated that the organization is actively looking to minimize the impact on employees and is providing support to those affected.
"We are committed to minimizing the impact on our people and are exploring all avenues to reduce the number of redundancies," the spokesperson explained. "As a first step, we are planning a program of voluntary redundancies. Our colleagues are our priority. We understand the concerns many will have. Impacted staff have been informed and are being fully supported throughout this process."
The decision comes amidst increasing tax pressures following the UK government’s significant rise in the remote gaming duty, which nearly doubled from 21% to 40% on April 1, 2023. Furthermore, a new remote betting duty will take effect in April 2027, raising the effective tax on most sports betting products from 15% to 25%, excluding horse racing.
In light of these tax changes, several other gaming operators have announced closures of retail outlets. For instance, in March, William Hill informed employees of plans to permanently close around 200 of its UK retail shops—approximately 15% of its estate. Similarly, Betfred revealed plans last month to shut down 132 betting shops across the UK, which will lead to a workforce reduction of over 600 employees. Betfred's CEO, Jo Whittaker, commented, "We have tried hard to protect all our sites and the colleagues who work in them, but the combined impact of higher employer National Insurance contributions, wage inflation, increases in gambling taxes, and wider economic uncertainty has left us with no choice."
