British bookmaker Betfred closed 132 shops this year following the Remote Gambling Duty increase in April. Founder Fred Done warned that a planned Machine Gaming Duty rise from 20% to 40% would force the closure of another 495 locations within a year, wiping out 2,575 jobs and £67 million in tax revenue.
Betfred operates around 1,094 shops across the UK. Fixed-odds betting terminals account for half of shop profits. The maximum stake has been capped at £2 since 2019, but without the machines retail is unprofitable, Done told the Financial Times.
CEO Jo Whittaker attributed the closures to a combination of higher employer insurance contributions, wage inflation, gambling tax increases and economic uncertainty. Evoke closed 200 William Hill shops in April for the same reasons. Entain CEO Stella David expects operating costs to rise by £100 million if MGD doubles.
Done sponsors five British classic races including the Epsom Derby, but contract renewals are now in question. He warned that shrinking legal supply will push players to the black market. Retail betting could disappear entirely by 2030, he said. The Done family paid £400 million in tax last year, making him the country's largest taxpayer. Done does not plan to leave, but said his children may choose another jurisdiction.
