London-listed gambling stocks remain under pressure after sharp declines last Friday, sparked by reports that the UK government is considering a substantial rise in gambling taxes in its autumn budget.
According to The Guardian, citing government sources, increases to levies on both online and land-based gambling are “near-guaranteed.” The news triggered a sector-wide sell-off, with Flutter Entertainment falling 8.1% to 21,060.00p ($267.22), Entain down 5.8% to 938.00p, Evoke sliding 7.2% to 66.10p, and Rank Group dropping 4.8% to 147.60p.
By Monday, share prices had steadied but showed limited signs of recovery. Flutter slipped a further 0.09% to 21,040.00p, Entain declined another 0.95% to 929.08p, and Evoke fell 2.31% to 64.57p, while Rank Group was the only gainer, up 0.95% to 149.00p.
Chancellor Rachel Reeves confirmed that a review into gambling taxation is underway, though she did not disclose details, noting that policy changes would be announced later this year.
The Betting and Gaming Council (BGC) has opposed steep tax hikes, calling proposals from the Institute for Public Policy Research (IPPR) “economically reckless” and warning they could drive players toward unregulated markets.
Some analysts believe the sharp market reaction on Friday may have been premature. In the coming weeks, investor sentiment will likely hinge on corporate updates, including Entain’s upcoming results, and any further government signals ahead of the budget could reignite volatility in gambling stocks.
