In a significant development for the UK's gambling sector, a major bookmaker is implementing widespread store closures across Britain. This decisive action comes directly in response to tax increases announced in Chancellor Rachel Reeves' recent Budget, which have placed substantial financial pressure on the industry.
Immediate Response to Fiscal Changes
The owner of betting giant William Hill, Evoke PLC, has confirmed it moved "quickly and decisively" following the Budget delivered on November 26. Evoke, which also operates the online retailer 888, had previously warned investors that up to 200 branches could face closure due to the new fiscal landscape. The company's chief executive, Per Widerström, stated: "We have moved quickly and decisively to execute on our mitigation plans including the closure of retail stores that are no longer sustainable as well as broader cost savings, and we will update shareholders on our progress and updated strategic plan in due course."
Strategic Review and Financial Pressures
William Hill, which operates numerous branches across locations including Birmingham, has informed investors that it is undertaking a comprehensive review of strategic options. This review will consider various alternatives to maximise shareholder value, potentially including the sale of the group or specific assets and business units. Evoke, headquartered in Gibraltar, currently carries net debt of £1.82 billion, adding to the financial challenges facing the organisation.
Beyond store closures, the company aims to achieve savings through potential "changes to the customer proposition," supplier negotiations, and reduced market presence. While the exact number of sites earmarked for closure has not been formally disclosed, the scale of the retrenchment appears substantial.
Industry-Wide Impact of Budget Measures
Chancellor Rachel Reeves' autumn Budget introduced duty changes expected to generate an additional £1.1 billion annually by the 2029-30 financial year. These measures have drawn sharp criticism from across the gambling industry. The boss of Entain, which owns rival bookmaker Ladbrokes, expressed being "deeply appalled" by changes projected to reduce underlying profit by approximately £150 million by 2027.
Political and Regulatory Context
The industry's primary lobby group, the Betting & Gaming Council (BGC), described the Budget measures as a "devastating hammer blow" for the sector. However, Meg Hillier, chair of the Treasury Select Committee, defended the Chancellor's approach, stating that Reeves had rightly refused to bow to industry "scaremongering."
Hillier elaborated: "Some parts of the gambling industry, such as racecourses and bingo halls, make a cultural contribution to our country. This is not the case, though, for online slots and other remote gaming, which can quickly drain the bank balances of vulnerable people after just a few clicks of a button on a phone. It's reassuring to see that the chancellor agrees with us on this and I look forward to discussing it further with her when she appears in front of us in December."
This unfolding situation highlights the tension between government revenue-raising objectives, industry sustainability, and social responsibility concerns regarding gambling's impact. The closure of physical betting shops represents a tangible consequence of fiscal policy decisions, with potential implications for employment, high street presence, and the broader leisure economy.
