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Flutter Entertainment, the company behind Paddy Power, Sky Bet and Betfair, has announced plans to cut up to 1,400 jobs in its UK and Ireland business. The company points to the steep rise in gambling taxes as the main reason. It is the clearest sign yet of how the new tax regime is reshaping the UK gambling market.
Key points
- Flutter plans to cut up to 1,400 of around 9,000 roles in its UK and Ireland division.
- The cuts affect brands including Paddy Power, Sky Bet and Betfair, with offices in Leeds, Dublin, Porto and Cluj.
- Remote Gaming Duty on online casino games rose to 40% in April 2026.
- Online sports betting duty rises to 25% from April 2027, excluding horse racing.
Why Flutter is cutting jobs
Flutter announced the plans on 20 October. The company expects the tax changes to reduce its earnings (EBITDA) by around $540 million in 2027. It hopes to offset about $201 million of that through savings and other measures, and the job cuts are a large part of that plan.
The roles at risk are spread across the UK and Ireland division, which employs around 9,000 people. Teams in Leeds, the home of Sky Bet, and Dublin, the base of Paddy Power, are affected, as are support and technology hubs in Porto and Cluj.
The tax changes behind the decision
The UK government has raised gambling taxes significantly:
| Tax | Applies to | Change |
|---|---|---|
| Remote Gaming Duty | Online casino games and slots | From 21% to 40% in April 2026 |
| General Betting Duty (remote) | Online sports betting, excluding horse racing | Rises to 25% from April 2027 |
| Machine Games Duty | Category B machines in venues | From 20% to 25% from April 2027 |
For operators, Remote Gaming Duty is the biggest change. It is charged on gross gaming yield, which is the money players stake minus the money they win. Almost doubling the rate has a direct effect on the profitability of online casino games.
Warnings about the black market
Kevin Harrington of Flutter warned that the higher taxes could push players towards unlicensed gambling sites. The argument is a common one in the industry: if licensed operators have to cut back on odds, bonuses and service, some players may look for better deals on sites that do not follow UK rules.
Campaigners for stricter regulation dispute this. They argue that the industry can afford to pay more and that higher taxes help fund the costs of gambling harm. What is not in dispute is that unlicensed sites offer players no protection at all.
What this means for players
For most players, the day-to-day experience at Paddy Power, Sky Bet and Betfair will not change straight away. The games, accounts and payments work as before. In the longer term, higher taxes may affect promotions, odds and the choice of games across the whole market, not just at Flutter.
The most important advice is to stay with licensed operators. A UK licence means your money is handled under strict rules, you have access to safer gambling tools and you can take a complaint to an independent dispute service. Unlicensed sites may advertise bigger bonuses, but they offer none of that protection. Our list of the best UK online casinos only includes licensed sites, and you can compare current offers on our welcome bonus page.
If you play at several brands, it is also worth checking which casinos still pay out quickly. Our guide to fast withdrawal casinos is updated regularly.
What happens next
The job cuts are subject to consultation with staff. Other operators face the same tax increases, and the sports betting duty rise in April 2027 will add further pressure. Read more developments on our casino news page.
Flutter plans to cut up to 1,400 of around 9,000 roles in its UK and Ireland division.
The UK and Ireland division includes Paddy Power, Sky Bet and Betfair. Offices in Leeds, Dublin, Porto and Cluj are affected.
Yes. The brands continue to operate as normal. The job cuts are part of a cost-saving plan, not a closure.
Play responsibly. Set a budget before you start and never gamble with money you cannot afford to lose. For free and confidential support, visit BeGambleAware.org. 18+ only.