Paddy Power Plans Closure of 57 Shops in Ireland and UK Putting Nearly 250 Jobs at Risk
Paddy Power has announced plans to close 57 betting shops across Ireland and the UK, jeopardizing nearly 250 jobs. The decision, made by parent company Flutter, has been attributed to increasing cost pressures and challenging market conditions.
Paddy Power Shop Closures Details
The closures will affect 29 shops in the UK, including one in Northern Ireland, and 28 shops in the Republic of Ireland. The company’s review of its high street store estate led to this decision, which will take effect within a month.
Impact on Employment
- Total jobs at risk: 247
- Job losses anticipated in the UK: 128
Flutter has stated that affected employees may be offered redeployment options where possible. However, the firm acknowledged that these closures will lead to significant job losses.
Industry Context and Concerns
The announcement comes as speculation grows regarding potential tax increases in the upcoming UK Budget. Although Flutter indicated that the decision to close shops was not directly related to tax pressures, they cautioned that higher gambling taxes could harm the industry. This would deter investment and possibly drive customers towards unlicensed operators in the illegal market.
Representatives from the company emphasized the importance of the high street presence, stating their ongoing commitment to innovate and adapt to evolving customer needs. They also urged the government to reconsider imposing additional taxes that could further strain the sector.
Other Industry Responses
Other companies in the gambling sector are similarly wary of tax hikes. For instance, Evoke, owner of William Hill, noted that it may contemplate further shop closures should additional tax increases occur.
As the market navigates these challenges, the future remains uncertain for both operators and their employees in the gambling industry.
