Recruitment Companies Stress UK Budget Impact On Retail Betting Jobs

Recruitment companies have joined forces to stress their fears about the impact the Budget will have on UK employment opportunities in the retail betting industry. John Healey will deliver his first Budget today, and the notion of a rise in Machine Games Duty (MGD) has left many operators feeling uneasy.

Although it was originally suggested the MGD rate imposed on Category B machines would soar to 40% from 20%, reports emerged last week indicating that the increase may be more incremental and capped at 25%. However, this has done little to alleviate the underlying worries that recruitment agencies have about the ramifications this will have for the job market.

Last-ditch lobbying attempt

Despite the think tank, the Social Market Foundation (SMF), previously calling for a more drastic increase to MGD, betting companies have repeatedly demanded the Government backtrack on its fiscal plans. The Betting and Gaming Council (BGC) previously suggested a doubling of MGD to 40% could see up to 16,000 jobs in the retail betting industry axed and 1,500 shops closed.

While an uplift of 5% may not sound as bad, recruitment companies are still fidgety about the unintended consequences it could have. Moreover, higher duties can cause adjustments to spending strategies, which include hiring budgets.

Caroline Butler, Director of the talent agency, TalentThrive, said: “From a people and talent perspective, the biggest concern surrounding a further increase in Machine Games Duty is not simply the immediate risk of redundancies, but the longer term impact on recruitment, workforce investment and the UK’s competitiveness as a gaming employment market.

“Often, the first signs are quieter: vacancies aren’t replaced, recruitment budgets are reduced, expansion plans are delayed, and existing teams are expected to deliver more with fewer resources. For the UK betting industry, I would expect any further significant tax increase to accelerate those conversations, particularly among operators with substantial retail exposure.”

Retail betting industry feeling the heat

Inevitably, the retail betting industry has come under sustained pressure over the past 12 months. This was largely down to the gambling tax raid carried out by the then Chancellor, Rachel Reeves, in her November 2025 Budget, where remote gaming duty (RGD) paid on online casino bets, jumped from 21% of gross gambling yield (GGY) to 40%, which came into effect in April.

Meanwhile, general betting duty paid on online sports bets will climb from 15% to 25% of GGY in April 2027. However, operators have taken drastic measures, with Flutter recently announcing it would be cutting up to 1,400 jobs across its UK and Ireland (UK&I) division, owing to the tax hikes. Meanwhile, Entain, which previously tabled 400 job cuts as part of a cost-cutting program, is pulling back.

And Alastair Cleland, Group Managing Director of Consensus Group, a specialist recruitment firm, underlined the impact MGD could have on employment opportunities.

He said: “If Machine Games Duty increases further, I would expect it to put additional pressure on employment, particularly in high-street betting shops and land-based gambling businesses. The industry is already dealing with significant tax changes, so the concern is the cumulative impact rather than any single measure in isolation.”

Government facing balancing act

The government is facing a tough task of trying to balance the cost of living crisis, while also exploring ways to drive economic growth. The retail betting industry, understandably, remains on tenterhooks, but it seems unlikely they will be handed any sweeteners in the Budget to keep them happy.