Entain Warns Against Rapid Increase in UK Sports Betting Tax

• Entain, a major UK gambling operator, has joined other companies in criticizing a rumored hike in the gambling tax rate.

• The proposed increase would raise the tax on sports betting from 15% to 21%, aligning it with online casinos.

• Entain argues this hike could suppress the regulated market, pushing bettors toward offshore, unregulated operators.

• Citing the Netherlands as a cautionary example, Entain CFO Rob Wood pointed out that a tax increase there caused a drop in legal revenues and a shift to unlicensed providers, resulting in significant government tax revenue loss (€200m expected in 2025).

• Wood emphasized that operators, facing higher taxes and slimmer profit margins in sports betting, would respond by offering worse odds, negatively impacting punters.

• Entain highlights its substantial contributions to the UK economy: around £4 billion annually to the Treasury and employing over 100,000 people.

• The company warns that a steep tax increase would be counterproductive for both operators and consumers.

• Additionally, Entain has set aside AU$100 million to cover a potential fine from the Australian watchdog Austrac.