Evoke Considers Major UK Shop Closures Over Proposed Gambling Tax Hike

William Hill’s parent company, Evoke plc, is reportedly weighing plans to close 120-200 of its 1,300 UK betting outlets, risking approximately 1,500 jobs, as the government eyes steep gambling tax increases in the November 26 budget. The Sunday Times reported that the closures would affect 9-15% of Evoke’s retail footprint. Contingency plans are underway across its portfolio, which includes Mr Green and 888 brands.

Chancellor Rachel Reeves’ first budget is expected to introduce a “polluter pays” levy model to help bridge a £30 billion deficit. The proposal is reportedly endorsed by former Prime Minister Gordon Brown and over 100 Labour MPs. Industry analysts anticipate more duty hikes targeting gambling operators.

Tax Pressures

Evoke executives have cautioned that substantial tax increases could destabilize UK market operations. “We are mindful of potential tax increases in the forthcoming Budget, which would impact investment in the UK and drive more customers to the black market,” A company spokesperson emphasized. “As part of our ongoing planning, we are assessing the potential impact of different overall tax scenarios on our UK operations. This includes the difficult but necessary consideration for shop closures.”

Debt Burden

The company’s financial strain is amplified by £1.8 billion in debt, mainly from its 2022 William Hill acquisition. Despite a slight uptick in H1 2025 performance, retail revenue declined 2% year-on-year, while shares plummeted from a 2024 peak of 71.45p to below 46p last week.

CFO Sean Wilkins labeled the sector “a reasonably easy target” for revenue-raising governments but stressed the need for a balanced approach to prevent migration to unregulated platforms.

Racing Industry Challenges

The proposed gambling tax reforms also threaten to destabilize British horse racing, which collects £140 million annually from bookmakers’ media rights and levy payments. Financial projections commissioned by the British Horseracing Authority warn of potential annual losses reaching £66 million under a 21% duty rate, which will likely rise to £160 million if rates hit 40%.

Entain CEO Stella David echoed concerns, indicating her Ladbrokes and Coral company might follow Evoke’s lead in shop closures. The racing sector now faces the threat of dwindling financial support from betting firms and pressures from revenue-raising measures.