Flutter Entertainment CEO Peter Jackson Addresses Speculation on £3bn UK Gambling Tax Proposal

Flutter Entertainment CEO Peter Jackson has responded to recent speculation regarding a potential £3bn ($3.92bn) tax hike on the UK gambling industry. Reports surfaced over the weekend suggesting that proposals for such a tax raid were put forward by two prominent think tanks, with UK Chancellor Rachel Reeves reportedly considering the move to help fill the £22bn “black hole” she has identified in the country’s finances.

According to sources, only those advocating for the tax increase have claimed that the Treasury is open to these proposals. Meanwhile, the Betting and Gaming Council (BGC) CEO Grainne Hurst expressed concern about the potential negative impact of higher taxes on the industry's growth and the increased risk of illegal gambling operations. Several gambling companies saw declines in their stock prices in response to the rumors, with Flutter among those affected, experiencing a near 5% drop in its share value on Monday morning.

Jackson addressed the rumors in a LinkedIn post, offering his perspective on the possible tax changes. “With plenty of speculation around the taxation of our sector this week, it was perhaps timely that I warned of the unintended consequences of high taxes in an interview with the Financial Times published today," he wrote. "While my comments about balance were in relation to the US, the point can also be applied to the UK operating environment and elsewhere – setting too high a tax rate reduces competition, weakens the consumer offering and can lead to a reduction in tax revenue. This is in no one’s interest.”

Jackson’s comments came after attending the UK Government’s International Investment Summit, where he expressed optimism about the Chancellor's “desire for a partnership with business and her prioritisation of economic growth.” At the summit, Jackson also agreed with former Google CEO Eric Schmidt, emphasizing that “UK regulation must be streamlined and implemented at a greater pace under Labour,” referencing the ongoing Gambling Act Review. Flutter supports the current implementation of the review, with pilots already in place and new rules set to roll out in the coming months.

Jackson had recently spoken at the G2E event, where he discussed the current state of the gaming industry and outlined Flutter’s plans for 2025, both in the US and internationally.

By fLEXI tEAM