Flutter Considers up to 100 Paddy Power Shop Closures as BGC Warns of Racing Impact

Flutter Entertainment could close up to 100 Paddy Power betting shops across the UK and Ireland before the end of 2026, potentially removing around a fifth of the brand’s retail estate.

About 400 jobs are at risk under the review. The company said its retail estate remains an important part of the business. However, it pointed to a difficult trading environment and higher gambling taxes in the UK as reasons behind the closures.

“We are incredibly proud of our high street estate, and it remains a key part of our business in communities across the UK and Ireland,” a Flutter UK and Ireland spokesperson said. “Unfortunately, we have had to take the extremely difficult decision to conduct this review.”

Flutter cited rising costs, fierce competition, economic uncertainty, and customers moving online. It also highlighted “a material impact from the higher gambling taxes announced in last year’s UK budget.” 

Flutter said its immediate priority was supporting impacted employees.

Betting Shop Decline Raises Racing Funding Concerns

The planned closures add to mounting pressure on Britain’s retail betting sector. In April, Evoke confirmed it was closing 230 William Hill shops to enhance “long-term sustainability.” This was followed in July by Betfred announcing plans to shut 132 shops.

Any Paddy Power closures in Britain would reduce funding of British racing via the Horserace Betting Levy and media rights payments.

According to Betfred, these payments amount to around £30,000 ($41,000) annually per shop. The Betting and Gaming Council (BGC) estimated that betting shops contribute around £140 million ($188 million) per year to British racing. 

BGC CEO Grainne Hurst warned policymakers on Wednesday (September 2) that the financial relationship between racing and retail bookmakers was becoming increasingly fragile.

Writing alongside Arena Racing Company CEO Martin Cruddace, Hurst said shop numbers have fallen by more than a third since 2019. Around 3,000 shops have closed during that period, with more than 15,000 jobs lost.

“Every closed shop means a little less prize money, a little less investment in the sport and, ultimately, greater difficulty in exporting one of Britain’s great sporting products and attracting international investment,” Hurst and Cruddace wrote.

BGC Links Taxes, Affordability Checks to Retail Pressure

The warning came as the betting industry pushed back against a broader package of regulatory and fiscal changes.

Hurst also singled out financial risk checks, arguing that racing bettors could be particularly affected because betting activity often increases sharply around major meetings.

The BGC estimated the proposed approach could reduce levy income by around £13.2 million ($17.8 million) annually. It also claimed more than 70,000 customers could move toward unlicensed gambling sites.

“If regulated bookmakers close shops, reduce investment or cut sponsorship, racing feels the impact,” Hurst said. “And if customers move to the illegal market, that market pays no betting levy, funds no British sport and offers none of the protections of the regulated sector.”