Betfred is set to close 132 of its betting shops, resulting in approximately 600 job losses. The gambling company attributes this decision to what it describes as "impossible" operating costs, citing increased employment expenses and recent tax hikes on gambling.
Betfred chief executive Jo Whittaker stated that the combined impact of higher employer National Insurance contributions, wage inflation, increased gambling taxes, and general economic uncertainty has left the company with no viable alternative but to shutter these locations. She confirmed that a consultation period has begun with staff affected by the proposed closures.
The company, owned by founder Fred Done and operating over 1,300 shops, plans to close around 10% of its retail sites. Whittaker emphasized that these are well-run shops staffed by dedicated employees, and the decision to close them is a difficult one, driven by the current fiscal and regulatory environment.
Betfred's move follows similar actions by competitors, including Ladbrokes owner Entain and William Hill operator Evoke, which have also experienced shop closures and job losses. The notes indicate that former Chancellor Rachel Reeves increased taxes on online gaming, with rates rising to 40% from 21% for casino games and slots, and to 25% from 15% for sports betting.
The Office for Budget Responsibility has projected an increase in tax receipts from gambling, expecting them to rise by 4.1% to £3.8 billion this year.
Betfred's priority is to support the employees affected by the closures while continuing to serve customers across its remaining stores.