Evoke is preparing for a £243m takeover by Greek company Bally’s Intralot
The parent company William Hill Evoke has called on the Government to “carefully consider” adding more tax to the gambling sector, blaming the last year’s budget for the closure of 270 betting shops.
The warning comes as the company prepares for a £243 million takeover by Greek gambling group Bally’s Intralot, a deal that is expected to be completed before the year or in early 2026.
Evoke announced the shuttering of a significant part of the high street betting shop in April, after revelations that losses had deepened too much.
The closures are intended to help reduce betting tax increases of up to £135 million a year from 2027, thanks to changes to online gambling laws introduced by former chancellor Rachel Reeves.
From April this year, remote gaming duties – performed on online casino games – rose sharply from 21% to 40% of the provider’s profits.
A new online sports betting duty of another 25%, including all sports except horse racing, will also be implemented from 2027.
Per Widerstrom, Evoke’s chief executive, said the business “continues to show resilience” and focused on profitability “after a substantial increase in gaming duties, especially in the UK”.
“The closure of 270 shops last year shows the real impact on jobs and livelihoods of higher industrial taxes, and we urge the British Government to carefully consider any further increase ahead of its next autumn budget,” he said. The government is reportedly considering an increase in the rate of duty on gaming machines – a tax levied on fruit machines, roulette machines and other slot machines – ahead of next week’s Budget.
Earlier this month, the owner of Ladbrokes Entain and Grosvenor casino parent company Rank Group both called on the Government to reconsider the reported proposals, warning that shops and places could be forced to close.
On Tuesday, rival gambling group Flutter, which owns Paddy Power, announced the axing of around 1,400 jobs across the UK and Ireland as part of a sweeping restructuring drive aimed at balancing increased betting and gaming duties this year.
UK and Ireland chief Kevin Harrington said the group could not “absorb” the impact without cutting costs.
Meanwhile, Evoke provided shareholders with a trading update, announcing group profits of £406 million for the third quarter.
This represents a 7% decrease compared to the same period last year, or 2% lower when excluding the effect of approximately 270 fewer betting shops.
Evoke attributed the slowdown in sales growth to “customer-friendly sports results” at the start of the football season – meaning the company had to pay more players.