Tax Hikes Could Close Down All Betfred’s UK Shops

by Jamie Smith, 28 October 2025

Betfred could close down all of its betting shops across the UK due to expected gambling tax rises from the Labour government.

Taxes on gambling companies in the UK could be set to rise. © egemenmustafasener, Pixabay

Key Facts:

• Former prime minister Gordon Brown is among the public figures to have called for gambling taxes in the UK to increase
• Labour government chancellor Rachel Reeves is widely expected to increase taxes in next month’s Budget
• Industry has warned of likely widespread job cuts as a result
• Betfred among the companies considering closing down shops

Chancellor Rachel Reeves has hinted she will increase taxes on the gambling industry in next month’s Budget heeding calls from former prime minister Gordon Brown.

Reeves needs to balance the books with the UK’s public finances in a poor state, with a new statutory levy for the gambling industry already being introduced.

Further tax hikes now appear to be on the way with Betfred becoming the latest major betting brand to warn of the potential impact.

According to the Betfred co-founder Fred Done, as many as 7,500 jobs at the company could be lost if Reeves brings in tax rises against the industry.

Risk of Offshore Betting

The Betting and Gaming Council, a standards body for the industry that is sometimes described as a pressure group, has warned that increasing taxation and regulation could result in more black market betting in the UK.

Betfred boss Done agrees with that assessment and noted how margins are already tight.

Done told the BBC: “It [tax] doesn’t even need to go up to 50%. If it went up to anywhere like 40% or even 35% there is no profit in the business. We would have to close it down. I’m talking [about] job losses. We’re talking probably 7,500.

He added that 300 of Betfred’s shops in the UK are “currently losing money” and warned that over 100 more would be in a similar spot if taxes were increased by just 5%. Betfred operates more than 1,000 UK betting shops at present.

Done said: “Once the [UK] industry is closed down, it’s gone. People will still bet, but they’ll bet offshore with it. There’s plenty of bookmakers offshore who happen to take the bets, who don’t pay anything to this country.”

Evoke and Entain Considering Cuts

The comments from Betfred boss Done come in the wake of industry rivals Evoke and Entain issuing similar warnings about the impact of gambling tax rises by Labour.

Paddy Power has also confirmed it plans to close 57 shops across the UK and Ireland, with nearly 250 jobs at risk as a result.

Entain chief executive Stella David said tax rises could force job losses, with the company’s brands including the British betting shop chains Coral and Ladbrokes.

Evoke, which owns one of the UK’s best-known betting brands, William Hill, is reportedly considering the future of as many as 200 shops over gambling tax rises.

Reeves is set to reveal the Budget on November 26, with gambling companies in the UK waiting to see if their taxes will be increased as expected.