Bet365 has announced that it will lay off approximately 340 employees as it grapples with rising regulatory and tax-related costs, a move that affects around 3% of its total workforce.
The job reductions will take effect across Bet365’s offices located in Stoke-on-Trent, Malta, and Gibraltar. The company cites a challenging competitive landscape coupled with escalating regulatory and tax obligations as the primary reasons for these cuts.
A spokesperson for Bet365 stated that the organization is actively seeking to mitigate the impact of these layoffs and assist the affected employees. "We are committed to minimizing the impact on our people and are exploring all avenues to reduce the number of redundancies," the spokesperson said. They noted that a voluntary redundancy program is being planned as an initial step, emphasizing the company’s priority on its staff, and acknowledging the concerns surrounding the layoffs. Affected employees have been informed and are receiving support throughout this transition.
The UK government's recent tax increases have significantly influenced the betting industry, as noted by Bet365. In particular, the remote gaming duty spiked from 21% to 40% on April 1, 2023. Moreover, a new remote betting duty, to be introduced in April 2027, will raise the tax rate on all sports betting products, excluding horse racing, from 15% to 25%.
Other betting operators have also reacted to these UK tax hikes. In March, William Hill announced plans to permanently close approximately 200 UK retail shops, representing around 15% of its estate under Evoke. Last month, Betfred revealed its intention to shut down 132 UK betting shops, resulting in layoffs of over 600 employees. Betfred’s CEO, Jo Whittaker, explained the tough decision, citing higher employer National Insurance contributions, wage inflation, increased gambling taxes, and economic uncertainties as contributing factors.
