Entain and Evoke have both issued statements following the introduction of the UK Autumn Budget Statement on 26 November, as Entain CEO Stella David shared the operator is "deeply disappointed" by the increase in Remote Gaming Duty (RGD) from 21% to 40%.
"We are deeply disappointed by today's decision to punitively increase UK gambling taxes, putting at risk an industry which already contributes £7bn (US$9.26bn) annually to the UK economy and supports over 100,000 jobs across the country," David said.
"Disproportionately increasing gambling taxes will not only have a detrimental impact on our industry but also heightens the risk for customers. As seen in other countries, punitive tax increases often lead to lower tax revenues overall, whilst also driving players to illegal, unregulated operators with no player protections. The Government must now urgently tackle the black market and the consequences of today's decision."
The increase in RGD is set to go into effect by April 2026, while a new online sports betting duty will be introduced at 25% beginning in April 2027. The online sports betting duty will exclude self-service betting terminals, spread betting, pool bets and horseracing.
"Given the quantum of the tax increases, Entain expects to mitigate approximately 25% of this impact through actions including reducing marketing and promotions, commencing immediately alongside the implementation of the tax changes," Entain stated within the release.
"Therefore, consistent with the dates of proposed implementation, this equates to an EBITDA impact of approximately £100m in 2026 (8% of consensus FY26 EBITDA) and approximately £150m from 2027. In addition, as a high-quality scale operator, Entain anticipates benefiting from capturing market share as others are now forced to exit the UK market."
David also explained how Entain is still positioned to generate long-term and sustainable growth due to its "diverse geographic footprint" and leading portfolios in various markets.
Evoke CEO Per Widerström also shared his thoughts on the RGD increase, having said, "The decision today by the UK 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 thousands of 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."
Evoke stated the changes in tax rates are estimated to have a £125-135m annual effect on duty costs paid by the operator, with approximately £80m of the impact arising in 2026, prior to any mitigation efforts.
Evoke projects to mitigate approximately 50% of the impact over the medium-term through "supplier savings, reduced marketing, retail store closures, operating cost savings and potential changes to the customer proposition."
The operator will also be withdrawing its medium-term financial targets as a result of the tax increase, but will continue evaluating future investment plans and provide a "further update" when appropriate.
The Rank Group Plc also explained how the RGD increase would affect its operations, estimating a £40m loss in operating profit before mitigation efforts take place.
Rank Group stated increases in tax payments are proportionately offset by a £6m benefit "arising from the abolition of bingo duty" as part of the UK Autumn Budget 2025 statement.
Entain announced a series of product enhancements spanning its UK, US and Brazilian operations on 3 October, including faster withdrawals and localised features to cater to individual market preferences
