The UK Treasury has rejected Betfred’s allegation that recent increases in gambling taxes contributed to its decision to shut down 132 betting shops, claiming that there has been no rise in tax for high-street betting firms.
The disagreement comes after Betfred revealed it was going to reduce its retail estate in the UK by more than 10% and that the measures would affect hundreds of jobs. The gambling operator mentioned a number of reasons behind its decision, including increasing costs due to the rising gambling taxes, wages increase and additional employer’s National Insurance.
Betfred CEO Joanne Whittaker said:
The increase in gambling taxes, wage inflation, National Insurance contributions, and general economic uncertainty. At last year’s budget, the BGC warned that further substantial tax increases would undermine jobs, investment and growth across Britain’s regulated betting and gaming industry. The closures are the latest example of those warnings becoming reality.
However, HM Treasury insists there is no need to blame the state for the shut-downs and pointed out that the gambling duty has been constant for high-street betting shops.
The introduced tax increases mostly target the online gambling segment. Remote Gaming Duty rate was increased from 21% to 40% for the period of April 2026 and the General Betting Duty will go up from 15% to 25% starting April 2027.
A Treasury spokesperson said:
It is wrong to suggest it is the fault of government for these closures. Gambling duty rates for high street shops have not changed.
Betfred has declared that although its retail operations remain significant for its business, the betting shop market in the UK has been declining for a number of years.