Evoke Attributes 270 Shop Closures to Increased UK Gambling Taxes

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William Hill owner Evoke has urged the UK government to “carefully consider” further tax hikes for the gambling industry, attributing the closure of 270 betting shops to last year’s budget. The company emphasized the resulting impact on jobs and livelihoods.

What Happened

Evoke, which owns William Hill, has called on the UK government to avoid additional tax increases for the gambling sector, citing the closure of 270 betting shops as a consequence of decisions made in the previous year’s budget, according to LBC. The company announced these closures in April after reporting a deeper financial loss. These actions were intended to mitigate an anticipated annual increase in betting taxes, potentially reaching £135 million from 2027, stemming from changes introduced by former chancellor Rachel Reeves that affect online gambling firms.

From April of the current year, the remote gaming duty, applied to online casino games, rose from 21% to 40% of a provider’s profits, as reported by LBC. Additionally, a new online sports betting duty of 25% is slated for implementation from 2027, covering all sports excluding horse racing. Per Widerstrom, Evoke’s chief executive, noted the business’s ongoing resilience and focus on profitability “following the substantial increases in gaming duties, particularly in the UK.”

Widerstrom stated, “The closure of 270 shops over the past year shows the real impact on jobs and livelihoods from higher industry taxation, and we urge the UK Government to carefully consider any further increases ahead of its forthcoming autumn Budget.” The government is reportedly reviewing a potential increase in machine games duty, which taxes fruit machines, roulette machines, and other slot machines, for the upcoming Budget, according to LBC.

Key Details

  • Evoke attributes the closure of 270 betting shops to last year’s budget changes and increased industry taxation, according to LBC.
  • Remote gaming duty increased from 21% to 40% of online casino profits from April this year, with a new 25% online sports betting duty (excluding horse racing) expected from 2027, as reported by LBC.
  • Evoke’s group revenues totaled £406 million in the third quarter, a 7% decrease compared to the same period last year, or 2% lower when excluding the impact of the 270 fewer betting shops, as stated in Evoke’s Q3 2026 results.
  • Ladbrokes owner Entain and Rank Group also urged the government to reconsider proposals for tax increases to prevent further shop and venue closures, according to LBC and the Betting & Gaming Council.
  • Flutter, owner of Paddy Power, is reportedly cutting approximately 1,400 jobs in the UK and Ireland as part of a restructuring effort to absorb higher betting and gaming duties, as reported by LBC.

Why It Matters

The reported closures and job cuts across the gambling sector, including those by Evoke and Flutter, underscore the significant operational and financial pressures faced by regulated operators due to increased taxation in the UK. This trend highlights the direct link between fiscal policy and business viability within the industry, impacting employment and the physical retail presence of betting operations. The industry’s calls for careful consideration ahead of the autumn Budget reflect broader concerns about the sustainability of current tax regimes and their potential to drive further consolidation or contraction within the market, as reported by LBC and the Betting & Gaming Council.

What’s Next

Evoke anticipates completing its takeover by Greek gambling firm Bally’s Intralot in a £243 million deal by the end of this year or early next, according to LBC. The UK Government is reportedly considering an increase in the rate of machine games duty, which is the tax on fruit machines, roulette machines, and other slot machines, at the Budget next week, as reported by LBC.

Originally reported by LBCPublished

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