Britain’s largest gambling operators have urged Chancellor John Healey to reject further gambling tax increases in the upcoming Budget, warning that higher duties could trigger additional betting shop closures, casino shutdowns and thousands of job losses across the country.
The Betting and Gaming Council (BGC) coordinated the appeal in a letter signed by senior executives from Entain, Flutter UK & Ireland, bet365, Bally’s Corporation, evoke and Betfred. The companies are calling on the government to rule out an increase in Machine Games Duty (MGD) and postpone a planned rise in General Betting Duty (GBD) until April 2027, pending a full assessment of the effects of tax changes already introduced.
Sky News reported that the letter was sent to Healey approximately two weeks before his first Budget. The intervention follows earlier warnings from individual operators, including Betfred founder Fred Done, who threatened to close the company’s entire betting shop estate.
The executives argue that the industry has already experienced significant disruption following the 2025 Budget, delivered by former chancellor Rachel Reeves. More than 600 betting shops have closed since then, while 10,250 jobs across the online and retail sectors have been lost or announced for redundancy, according to figures cited by the BGC.
The letter warns that another increase in gambling duties could intensify the pressure on operators and affect businesses in communities that depend on betting shops for local employment.
“Betting and gaming are woven into Britain’s cultural and sporting life,” the bosses told Mr Healey. “From a flutter on the Grand National to a trip to the bingo hall or casino, millions of adults enjoy betting and gaming as part of their leisure time.”
The executives also pointed to the sector’s contribution before the previous Budget, stating that it supported 109,000 jobs and generated more than £4 billion in tax revenue.
Industry Forecast Points to Further Venue Closures
The main concern centers on a potential increase in Machine Games Duty to 40%, which the BGC says could have substantial consequences for betting shops and casinos.
Analysis commissioned by the trade body from EY estimates that doubling MGD on Category B gaming machines to 40% could lead to between 690 and 1,470 additional betting shop closures. The analysis also projects that 28 to 34 casinos could close, with total employment losses reaching between 11,600 and 15,900.
The BGC estimates that 23% of the projected betting shop closures would occur in the North of England, alongside 33% of casino closures. The effects could be particularly severe in areas where gambling venues provide a significant source of local employment.
The letter cites the Prime Minister’s constituency of Makerfield as an example. According to the BGC, the area has nine betting shops, five of which could face closure under the projected scenario. “Crucially, these factors combined would create a net loss to the exchequer of up to £124m once you account for losses from other taxes,” the letter points out.
Horseracing could face additional pressure if betting operators reduce their spending. The BGC estimates that the sport could lose at least £40 million through lower levy contributions and media-rights payments.
The industry’s warning comes against a longer-term decline in the retail betting market. Gambling Commission data cited by the BGC shows that the number of betting shops in Great Britain has fallen by approximately 38% since 2015.
Operators Seek Delay to Planned Betting Duty Increase
The letter also calls for a pause to the scheduled increase in General Betting Duty from 15% to 25%, which is due to take effect on April 1, 2027.
The operators argue that the government should first assess the consequences of the increase in Remote Gaming Duty (RGD), which rose from 21% to 40% in April 2026. The companies say they need sufficient time to understand how the higher rate affects employment, investment, customer activity and tax receipts before another major change takes effect.
The request does not seek to reverse the scheduled GBD increase permanently. Instead, the signatories want the government to delay its implementation until the effects of the existing tax changes become clearer.
The timing is significant for operators attempting to assess their financial performance. The period following the introduction of the higher RGD rate includes the 2026 FIFA World Cup, which was described in industry commentary as an exceptionally strong event for bookmakers. Operators may therefore have difficulty distinguishing the effects of the tax increase from activity associated with a major international sporting tournament.
BGC Chief Executive Grainne Hurst said the industry had already provided evidence of the pressure facing employers and warned that further increases could undermine the government’s revenue objectives.
“Our members have delivered a stark warning to the Chancellor. Further tax rises will close more businesses, cost thousands more jobs and damage British sport, while potentially leaving the Treasury worse off. Already, more than 600 betting shops have closed and over 10,000 jobs have been lost or announced for redundancy since the last Budget. These are real jobs, real livelihoods and businesses at the heart of communities across Britain. Further tax rises will only accelerate that decline.
The industry is already grappling with the near doubling of Remote Gaming Duty. The Chancellor must rule out further tax rises at this Budget, including on Machine Games Duty, and pause the planned increase in General Betting Duty. You cannot tax businesses that have closed, and the Government risks destroying jobs and investment without raising a penny more for the Treasury.”
Major Operators Unite Ahead of the Budget
The signatories represent several of Britain’s largest gambling businesses. They include Stella David, chief executive of Entain; Kevin Harrington, chief executive of Flutter UK & Ireland; John Coates, joint group chief executive of bet365; Robeson Reeves, CEO of Bally’s Corporation; Per Widerström of evoke; and Joanne Whittaker, chief executive of Betfred.
The coordinated appeal follows individual warnings from operators about the financial pressure facing their retail operations. Betfred and William Hill have already experienced closures, while Paddy Power shops have been under review. Bet365 has also announced 300 job cuts in Stoke-on-Trent.
The dispute also reflects differing views about the role of betting shops on Britain’s high streets. The industry argues that further taxation could accelerate the decline of physical venues and remove jobs from local economies. Political criticism of betting shops has added to the debate, with Andy Burnham expressing opposition to their presence on high streets.
