Entain to eliminate 500 roles as tax costs and market pressures rise

Entain will cut 500 positions across its operations as the London-listed gambling group seeks to reduce costs amid higher UK online gaming taxes and increasing competition from prediction markets.

The planned reduction represents about 2% of the multinational company’s workforce. A spokesperson confirmed the number of affected roles to Reuters after Bloomberg News first reported the cuts, citing an email sent to Entain employees.

The measures will affect corporate functions and product and technology teams. They are not connected to Entain’s retail operations, which include the Ladbrokes and Coral brands, according to information provided by the company.

Entain said in the internal email that the changes were intended to improve efficiency and support its “priorities of growth, margin expansion and cash generation”.

The workforce reduction comes as the FTSE 100 company seeks to address a net debt position of £3.64 billion ($4.9 billion) at the end of 2025. Entain’s market capitalization stands at £3.68 billion, slightly above its total net debt, while its share price has fallen about 40% over the past 12 months to £5.76.

The decision contrasts with comments made earlier this year by Chief Executive Officer Stella David, who said job cuts were not planned despite warning that UK tax increases could affect the company by as much as £200 million ($268.9 million) annually.

Chief Executive Officer Stella David

“As part of our ongoing focus on enhancing Entain’s operational efficiency and agility, we have begun implementing organisational changes which will regrettably impact a number of roles across the group over the months ahead,” an Entain spokesperson said.

“These changes will help make Entain a stronger, better business and are a further demonstration of our strategic focus on maximising shareholder value. We are consulting with all those affected to support them during this process.”

Remote gaming duty increased from 21% to 40% in April 2026. The change is expected to generate an additional £1.1 billion ($1.48 billion) in annual tax revenue by 2031, but gambling operators have raised concerns that the higher rate could affect the viability, profitability and growth of the UK market.

Entain said in March that group-wide cost reductions were expected to offset more than 50% of the additional costs arising from the tax changes. The company also reduced planned marketing spending after the tax measures were announced in November last year.

Similar marketing budget reductions were announced by William Hill owner evoke and Flutter Entertainment, which owns Sky Bet, Paddy Power and Betfair. Flutter subsequently confirmed layoffs affecting Paddy Power’s marketing team earlier this year.

Entain confirmed in April that it had closed several Ladbrokes stores in Ireland. The latest workforce cuts are separate from those retail closures.

In late June, Entain agreed to sell its 20% interest in its Central and Eastern European business to partner EMMA Capital for about €425 million ($571.55 million), equivalent to £366 million ($492.21 million). The transaction was presented as the first stage of a phased withdrawal from the region intended to help reduce debt.