Paddy Power plans to close up to 100 betting shops across the UK and Ireland by the end of the year, putting approximately 400 jobs at risk of redundancy, according to parent company Flutter Entertainment.
Paddy Power Shop Closures and Job Risks
The planned closures will eliminate roughly a fifth of the company’s retail estate. According to Flutter Entertainment, the retail footprint currently spans 506 betting offices, comprising 310 locations in the UK and 196 in Ireland, with a workforce exceeding 2,300 people.
According to a Flutter UK and Ireland spokesperson, the firm intends to consult with staff throughout the process and provide support to those affected.
Financial Pressures Behind the Retail Cuts
Flutter cited mounting commercial pressures on high street operators, pointing to rising energy costs, rents, rates, and fierce competition. According to the company, these factors are compounded by a material impact from higher gambling taxes announced in the UK budget.
Goodbody gaming and leisure analyst David Brohan stated that the shop closures serve as mitigation for remote gaming duty changes. In last year’s budget, former chancellor Rachel Reeves nearly doubled the rate of remote gaming duty levied on online games of chance, a policy Flutter estimated will carry a $320m (approx £237m/€276m) impact on earnings in 2026 before mitigation.
Wider Impact on British Horseracing Finances
The retail contraction delivers another seven-figure financial blow to British racing. When Betfred recently announced plans to close 132 shops, industry projections estimated a £4 million loss to British racing’s finances through reduced levy and media rights payments.
Senior figures have raised alarms over the compounding effects of taxation. Arena Racing Company chief executive Martin Cruddace told a parliamentary reception that additional tax rises on betting shops could create truly grave impacts, stating that horseracing cannot serve as collateral damage.
Regulatory Scrutiny on High Street Betting
Betting shops face heightened political scrutiny alongside retail downsizing. Prime minister Andy Burnham pledged to alter the ‘aim to permit’ rule to simplify the process for local councils blocking new shops, categorizing them alongside rogue operators on British high streets. Burnham told the House of Commons that the government announced tougher action on vape shops, adult gaming centres, and other gambling venues.
Additional policy pressures emerged as former prime minister Gordon Brown and the Social Market Foundation think tank called for a major hike in machine gaming duty. Goodbody analyst David Brohan noted that further closures could materialize as leases expire, particularly if machine gaming duty increases further in upcoming budget cycles, potentially forcing media rights distributors to lower costs.
Did you know? Paddy Power was founded in 1988, opening its first 42 shops as a result of a merger between three Irish bookmakers.
Frequently Asked Questions
How many Paddy Power shops are closing?
Up to 100 betting shops are slated to close before the end of the year, representing about a fifth of the company’s total retail estate.
How many jobs are affected by the Flutter announcement?
Approximately 400 jobs are currently at risk of redundancy across the UK and Ireland operations.
What factors drove the Paddy Power closures?
Flutter cited rising energy costs, rents, rates, fierce competition, economic uncertainty, the ongoing shift to online gambling, and higher gambling taxes from the UK budget.
How do these closures affect horseracing?
Shop closures reduce income for British racing through lost levy and media rights payments, following similar financial hits from Betfred and Evoke retail reductions.
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