Ladbrokes warns levying ‘punitive’ taxes on gaming industry will cost thousands of jobs

Ladbrokes owner Entain has warned that a “punitive” tax raid on gambling would cost thousands of jobs.

Rachel Reeves is said to be plotting to raise taxes on the industry as she struggles to make her budget numbers add up.

It is thought the Chancellor could double the tax on commercial bookmakers to 30 per cent and increase the tax on online casino gambling to 50 per cent.

More than £2bn was wiped from the value of London-listed gambling giants on Monday as investors were spooked by reports of a possible £3bn crackdown on the sector.

Entain chief executive Gavin Isaacs said yesterday that such a move would have a “detrimental impact on the economic contribution of the gaming industry”.

Entain reported that the group’s net gaming revenue increased 8 percent in the first quarter.

Rank Group, owner of Mecca Bingo, also said yesterday that net gaming revenue grew 12 per cent to £197.5m in the three months to September 30.

Bookmakers suffered a sharp drop in share prices after a Guardian report last week said a tax rise could raise £2.9bn for the Government next year and up to £3.4bn by the end of the year. decade.

Isaacs claimed “new punitive tax increases” would put thousands of jobs at risk.

But analysts at Investec said: “We think speculation that draconian taxes will be implemented in the budget for the gaming sector is far-fetched.”