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Evoke Plc, owner of William Hill, 888 and Mr Green, has issued a formal response to the UK Budget announcement stating that upcoming tax increases will result in thousands of industry-wide job losses and push customers toward the unregulated black market, ultimately reducing the total tax revenue generated by the gambling industry.
The UK Budget confirmed that Remote Gaming Duty (RGD) will increase from 21% to 40% from April 2026, while a new online sports betting duty of 25% will apply to sports excluding horse racing from April 2027, replacing the existing 15% General Betting Duty.
Tax Burden and Industry Impact
In 2024, Evoke paid taxes and duties of £329 million to the UK Exchequer, representing more than 60% of its UK profits. The Board has assessed that RGD at 40% will result in substantial changes to the entire UK operating environment for betting and gaming, including driving growth in the unregulated and untaxed black market.
The company believes the significant tax increases will reduce the commercial rationale for licensed operators to invest in the UK market. The Board expects several thousand UK jobs in the betting and gaming industry will be lost as a direct result, leading to substantially lower investment from the industry into UK sports, particularly horse racing, and placing elements of the broader betting and gaming supply chain at risk.
The Board also warned that the duty increases will jeopardise progress made by the licensed UK betting and gaming industry regarding safer gambling in recent years. The company expects that regulated betting and gaming products will need to become more expensive for consumers, which will drive more players to the black market where there is no customer protection, operator accountability, or tax generation.
Financial Impact and Mitigation Plans
Prior to any mitigating actions, these tax rate changes would increase duty costs by approximately £125-135 million on an annualised basis once fully implemented from April 2027, with approximately £80 million of the pre-mitigation impact arising in FY26.
The Group expects to mitigate approximately 50% of the impact from higher duties over the medium term through supplier savings, reduced marketing, retail store closures, operating cost savings, and potential changes to the customer proposition. As one of the leading and largest operators in the UK market, Evoke is better positioned than many to navigate this increase and potentially stands to benefit from further consolidation of market share with the likely exit of smaller operators due to rising costs.
The Group is withdrawing its medium-term financial targets as it evaluates its future investment plans in response to these significant duty changes. A further update will be provided as appropriate.
CEO Statement
Per Widerström, CEO of Evoke, commented:
“Today the Chancellor Rachel Reeves delivered the UK Budget, outlining a series of measures that will shape the country’s economic direction for the year ahead. For our industry a series of major tax changes were announced that will significantly reshape the environment for all licensed betting and gaming operators in the UK.
The decision by the Government to substantially raise taxes is highly damaging for the economy and consumers. As an industry, we have consistently warned of the significant impact on jobs, investment in the UK, and player protection that these changes would have, yet sadly the Government has chosen not to listen. These proposals are ill-thought-through, counterproductive, and highly damaging. It is clear these changes will significantly harm businesses, employees, and customers.
We will begin immediately on executing our mitigation plans, which involve a significant reduction in investment into the UK, and, very regrettably, the likely need for jobs to be cut up and down the country.
As a result of the actions now required, these tax changes will reduce the overall level of tax the regulated industry pays in the UK, and more importantly it will have a significant negative impact on player protection as these changes will incentivise activity moving to the illegal and dangerous black-market.”
About Evoke Plc
Evoke plc is one of the world’s leading betting and gaming companies. The Group owns and operates internationally renowned brands including William Hill, 888, and Mr Green. Incorporated in Gibraltar and headquartered and listed in London, the Group operates from offices around the world.
Source: Evoke Plc
