Fred Done Warns Higher Taxes Could Force Betfred Betting Shop Closures By 2030
Published on by Zena Grantham
Betfred betting shop closures could accelerate over the next few years, according to founder Fred Done. The stark warning suggests that by 2030 there would be no high street betting shops if taxation and operating costs continue to rise.
His comments arrive ahead of the October 2026 Budget, with Chancellor John Healey facing pressure over the future taxation of land-based gambling. Industry discussion focused on the possibility of the Machine Games Duty (MGD) rising from its current standard rate of 20% to 40%, although the government has not announced such a change. John Healey has served as Chancellor since July 2026.
Betfred has calculated what a 40% rate would mean for its retail estate. Done says another 495 shops could close, on top of the 132 closures already announced this summer.
For a bookmaker that has occupied UK high streets for almost six decades, the warning is difficult to ignore.
Done Warns Betting Shops Could Disappear
Done founded Betfred with his brother Peter in 1967. The business subsequently developed into one of the UK’s largest retail bookmakers, reaching its peak of 1,680 shops in 2017.
He now believes the economics of operating betting shops are moving in the opposite direction.
Speaking to the Financial Times, Done said:
“I believe that by 2030 we will have no betting shops. The high street will be dead.”
Done attributes the pressure to a combination of gambling taxes, wages and other employment costs. Gaming machines play a huge role in Betfred’s retail operations, accounting for almost half of its profits, according to the founder.
MGD is charged against the net takings from gaming machines. The current standard rate is 20% where the cost to play does not exceed £5, with a 25% higher rate applying to machines where the cost to play exceeds £5. A separate 5% rate applies to qualifying lower-stake machines.
Those rates remain unchanged for 2026/27. The industry’s concern is what could follow if the standard rate rises substantially in the October Budget.
Betfred Predicts 495 Further Closures
Betfred’s latest modelling estimates that a 40% MGD rate would result in 495 additional shop closures.
Betfred estimates that 2,475 retail jobs would be at risk under that scenario, with further positions potentially affected at the company’s head office. Betfred has calculated an estimated £66.8 million in lost tax receipts and a £15.8 million annual reduction in funding for British horseracing. These are company projections rather than confirmed consequences of a future tax increase.
The prospect of further Betfred betting shop closures follows a substantial reduction already under way.
In July, the bookmaker announced plans to close 132 shops, affecting around 600 jobs. The closures represent more than 10% of its retail estate.
Once completed, Betfred expects to operate 1,094 shops. Another 495 closures would reduce that figure to approximately 600.
The scale of the proposed reduction explains why Done’s warning extends beyond the immediate Budget.
Horseracing Could Also Feel the Impact
British horseracing has become an important part of the debate.
Betfred sponsors all five British Classics, and Done warned that the company may reconsider future sponsorship if MGD increases. The bookmaker’s involvement includes some of racing’s most prominent fixtures, while betting shops also contribute to the sport through the statutory Levy and media-rights payments.
Betfred estimates the 495 shop closures would reduce annual funding for British horseracing by £15.8 million.
Done argued that removing betting shops would not necessarily remove demand for gambling. Instead, he believes some customers could move towards unregulated operators, reducing consumer protections and tax revenue.
Betting Industry Faces Another Tax Debate
The dispute follows a significant increase in taxation for online gambling.
Remote Gaming Duty rose from 21% to 40% for the 2026/27 tax year. Machine Games Duty remained at 5%, 20% and 25% across its three existing bands.
Betfred is not the only operator voicing concerns over higher MGD. Bookmakers, casinos and bingo operators have warned that a 40% rate could lead to further closures and job losses.
For now, however, 40% MGD is not government policy. The existing rates remain in force, and the October Budget will determine whether retail gambling faces another substantial tax blow.
Done’s prediction of ‘no betting shops by 2030’ is stark, but Betfred’s contraction has already begun. The business that once operated 1,680 shops is heading towards approximately 1,094 following the latest closures.
For Done, the question is no longer whether the high-street betting industry is changing, but how much of it will remain by the end of the decade.