William Hill owner Evoke warns it may close up to 200 shops if gambling taxes rise

Evoke, the company behind William Hill, is considering the possible closure of up to 200 betting shops if the government increases gambling taxes in Chancellor Rachel Reeves’s autumn budget.

The FTSE 250 firm, which acquired William Hill in a £2 billion (US$2.66 billion) deal in 2022, is reviewing different scenarios ahead of the budget on 26 November, The Guardian reported.

Evoke is examining a range of scenarios that could see between 120 and 200 outlets closed, representing roughly 9% to 15% of William Hill’s 1,300 shops, as per The Sunday Times.

The move could put up to 1,500 jobs at risk, with each shop typically employing between five and ten staff. Evoke also owns the 888 and Mr Green brands and employs around 10,000 people across its operations.

The FTSE 250 company has been struggling under a £1.8 billion (US$2.39 billion) debt pile following its largely debt-financed acquisition of William Hill. It reported a pre-tax loss of nearly £78 million (US$103.10 million) in the first half of the year.

William Hill's exploration of strategic alternatives follows similar warnings from other gambling firms. Entain, owner of Ladbrokes and Coral, said tax hikes could force shop closures and divert investment abroad.

The debate has drawn wider attention. Former Prime Minister and Chancellor Gordon Brown noted in August that, excluding the National Lottery, the betting and gaming industry generated £11.5 billion ($15.4 billion) in revenue last year but paid only £2.5 billion ($3.32 billion) in taxes. He suggested that as much as £3 billion ($3.99 billion) more could be raised through proper taxation.

Research from the Institute for Public Policy Research estimates that changes to gambling taxes could generate £3.2 billion ($4.27 billion) and help lift 500,000 children out of poverty.

“We are consulting on bringing online betting in line with other forms of online gambling to cut down bureaucracy,” a treasury spokesperson said. “It is not about increasing or decreasing tax rates, and we welcome all views.”

Meanwhile, gambling lobbyists have actively sought to influence policymakers, staging events and meetings with Treasury officials and Labour advisers over the summer, including a darts evening.