Flutter Confirms 57 Paddy Power Shop Closures Across UK and Ireland

Flutter Entertainment is to close 57 of its Paddy Power betting shops across the UK and Ireland, which is the latest shop closure development ahead of a possible tax increase in the UK.

According to various media reports, the closures will put 247 jobs at risk as a result of cost pressures. Paddy Power operates 608 retail shops in the UK and Ireland, meaning close to 10% will be closed down. Flutter said 28 betting shops in Great Britain will close, along with another 28 in Ireland, and one in Northern Ireland.

It is currently unclear which shops will close. Betting.co.uk has reached out to Flutter for comment.

A developing trend

This follows recent warnings from Entain Group, owner of Ladbrokes and Coral, and Evoke, owner of William Hill, that both companies may also have to close shops if the proposed Remote Betting and Gaming Duty (RBGD) is introduced in the November budget. In April, the government began a consultation process on the prospect of the RBGD, which would be a single remote betting tax replacing the current system of three separate taxes.

The RBGD could be announced by Chancellor Rachel Reeves in the budget on November 26, and would be introduced in October 2027 at the earliest. While Flutter said the closures are not directly related to the potential tax rise, it also said any changes to gambling duties could have a “significant impact on jobs and investment.”

What Flutter said

A Flutter spokesperson said: “We are continually reviewing our high street estate, but it remains a key part of our offer to customers, and we are seeking to innovate and invest where we can as we adapt to different customer trends and needs.

“While today’s closures are not directly related to the uncertainty surrounding the budget, a higher gambling tax could have a significant impact on jobs and investment across the industry and drive more customers into the arms of unlicensed operators on the illegal black market.”

The new tax rate?

Various estimates have been made regarding what the possible new tax rate will be, with consensus from industry insiders being it is likely to be between 21% and 25% of gross profit, albeit some reports have suggested it could go as high as 50%. In September, more than 100 Labour MPs wrote to Reeves, calling for that 50% figure to be implemented, in a letter written by MPs Alex Ballinger and Beccy Cooper of the All Party Parliamentary Group for Gambling Reform.

Earlier that month, the British Horseracing Authority postponed several races in protest against the potential tax, arguing it will cost the industry £66 million per year as a result of cost issues for bookmakers.

In a Q3 earnings call this week, Entain CEO Stella David, who previously told The Sunday Times there was no doubt the operator would have to consider shop closures as a contingency measure against the potential tax, said: “If the objective is to raise more taxes, then the best opportunity is to reduce the amount of black market that exists in the UK today.”

While the RBGD could accelerate the decline in betting shops in the UK, there has been a downward trend in the number of betting shops in Great Britain for a number of decades. As of November 2024, there were 5,931 betting shops in Great Britain, down significantly even from 2016, when there were approximately 9,000 betting shops.