Entain estimates £25m annual UK&I cost from gaming duty changes

Entain said on 29 October 2026 that changes to UK Machine Gaming Duty announced in the government's Budget would add about £25m a year to costs at its UK and Ireland retail business before any mitigation measures. The company said it expects to offset the full impact of the increase by the end of 2028.

The company said it would seek to recover the cost through a combination of reducing its shop estate, group-wide optimisation measures and potential market-share gains. Entain said it has the largest shop presence among UK high-street operators and expects it could pick up customers if competitors reassess their UK presence.

Entain said its outlook for the 2026 financial year and its expectation of generating £500m in annual adjusted cash flow in 2028 both remain unchanged. The company said it would continue to take measures to address and mitigate the effect of the additional taxes.

The company said it was disappointed by the government's decision to raise the tax burden on a sector already subject to high taxation, and that the increase would affect the wider industry, UK high-street businesses, jobs and livelihoods. It said the change would add to pressure already facing the sector after tax increases announced in November 2025.

Chief executive Stella David said the previous gambling tax increases announced in November had already had negative consequences for the sector, affecting employees, communities and customers. She said the further changes would add to that harm and push more people towards the illegal market, and that the company's priority was to protect jobs where possible while supporting a sustainable retail presence on UK high streets.

Entain said balanced regulatory frameworks, including proportionate tax regimes, are essential to protect customers while contributing to employment, local communities and tax revenue. The company said its diversified global portfolio leaves it positioned to be a long-term winner in the sector.