Flutter to Cut Up to 1,400 Jobs, Citing UK Betting Tax Increases

Flutter Entertainment, the parent company of Paddy Power, announced plans to eliminate up to 1,400 jobs, with company leadership citing increased taxes on the gambling industry as the primary driver. Flutter's chief executive for the UK and Ireland, Kevin Harrington, stated that the company "cannot fully absorb" the tax rises imposed in November, which he claims have fundamentally altered the economic model for the UK betting and gaming sector and potentially fueled an unlicensed market.

Staff in the UK and Ireland, as well as those at Flutter's operations in Portugal and Romania, are expected to be affected. The specific roles at risk have not yet been disclosed. The government increased taxes on online casino and sports betting, excluding horse racing, in the budget last year.

Flutter, which also owns Sky Bet and Betfair, employs a global workforce of 28,500, including 9,000 individuals in the UK and Ireland. Harrington explained that the company must "restructure our business so that we can best position ourselves for the future" in response to the tax increases. In August, Flutter delisted from the London Stock Exchange, with its shares now exclusively traded in New York.