UK-based bookmaker Betfred is closing 132 of its high-street shops with the loss of 600 jobs, it was announced at the end of last week.
The company blamed government taxation, higher wages and the increase in National Insurance contributions as major contributors to its decision, which will leave it with 1094 UK shops – down from 1680 in 2017.
In a statement, Jo Whittaker, CEO, said: “It is with deep regret that we have today started a consultation with colleagues working in more than 130 of our shops regarding a proposal to close those locations. We have tried hard to protect all our sites and the colleagues who work in them, but the combined impact of higher employer National Insurance contributions, wage inflation, increases in gambling taxes and wider economic uncertainty has left us with no choice.
“These are well-run shops, staffed by dedicated colleagues, and it is incredibly hard to see any of them close, but the current fiscal and regulatory environment has made it impossible to keep trading all our shops. Our priority now is to support the colleagues affected, and to continue serving customers and communities across the rest of our estate.”
Betting shop closures on UK high streets
The decision is the latest in a string of closures by major gambling operators, including Entain (Ladbrokes) and Evoke (William Hill). In the case of Entain, it meant 500 job losses. Other operators such as Paddy Power owner Flutter, have also made closures.
The Labour Government has been consistently blamed by operators and now with the arrival of new prime minister Andy Burnham and his chancellor John Healey, there is growing concerns that more fiscal burdens will be heaped on the industry.
The Gambling Commission has announced plans to introduce affordability checks on consumers. This, says the operators, will damage the horse-racing industry with further job losses and cuts to the revenues to the horse-racing industry. And, say the operators, the effect will be to drive gamblers into the arms of the unregulated online sites.
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