Betfred has launched a consultation over proposed closures affecting more than a tenth of its UK shops. The Warrington-based gambling firm plans to shut 132 venues and cut more than 600 jobs from September, leaving it with around 1,100 shops.
Taxes and economic uncertainty
Chief executive Jo Whittaker said the company had tried to protect its shops and employees, but higher employer National Insurance contributions, wage inflation and gambling taxes had made that increasingly difficult. She said wider economic uncertainty had ultimately left the company with "no choice" but to consider closures.
Ms Whittaker said the affected shops were well-run and staffed by dedicated employees, adding that it was "incredibly hard" to see any of them close. She said Betfred's priority was now to support affected workers while continuing to serve customers and communities across its remaining shops.
Industry-wide cutbacks
Betfred was founded by brothers Fred and Peter Done in 1967. The Done brothers have an estimated combined wealth of £3.61 billion, according to the latest Sunday Times Rich List.
The company is not alone in reducing its high street presence. Rivals Paddy Power and William Hill have also closed dozens of shops as betting firms face rising costs and increased taxes.
Recent tax changes
Evoke, owner of William Hill and 888, said in January that it had moved quickly to offset changes to gambling taxes, including through shop closures and cost-cutting measures. The company said the changes announced in the Budget had created additional pressure on its retail operations.
Paddy Power announced plans in October to close 57 betting shops across the UK and Ireland, putting around 250 jobs at risk. The closures formed part of wider efforts by gambling firms to reduce costs.
Duty rises and additional costs
The latest Betfred closures follow tax increases announced by the previous chancellor, including a rise in remote gaming duty from 21% to 40%. A new online sports betting duty of 25% is due to come into force from 2027, covering sports betting other than horse racing.
Betfred also pointed to higher National Insurance contributions and changes to thresholds as additional costs affecting its business.
