British bookmaking giant Betfred is back in profit, according to company accounts reported to Company House, reversing previous losses. They announced a £128.8m profit after tax in the 78 weeks to March 30, 2025, compared to a loss of £71.7m in the previous 53-week period.
The positive results are said to be down to some strategic business decisions, including an exit from the U.S., where sustained losses and fierce competition from the likes of FanDuel, DraftKings, Caesars, and BetMGM left it uninhabitable for Betfred. Its final online presence in the country was shut down in Pennsylvania on July 31, 2025.
Betfred has been dabbling in the international industry for a long time, setting up its Spanish business in the autonomous city of Ceuta on the North African coast in 2020 before selling it off this last year for £2m, helping the company net a £1.6m profit. South Africa is now the main non-UK market for Betfred.
Late last year, Betfred owner Fred Done had suggested he may have to close down his betting shops as a result of the budget unveiled by chancellor of the exchequer Rachel Reeves. The news of a healthy return to profit may raise some eyebrows in government, especially among the UK Treasury Committee, which was urging the government not to cave to scaremongers.
Tax hike likely to curb positive trend
In the budget, Reeves announced a near-doubling of the Remote Gaming Duty (RGD), from 21 percent to 40 percent, a move which is expected to raise an additional £1 billion per year by the end of 2031. General Betting Duty has also increased from 15% to 25% by 2025.
In a statement to Company House, the UK government’s official registrar for all limited companies, Betfred acknowledged challenging conditions on the horizon. It said: “The Board remains alive to, and monitors very closely, local economic conditions; anticipates adverse impacts on future profitability; strives to ensure group companies are free to innovate, and are both creative and competitive in their pricing and product offering. The Board also seeks to mitigate against the risk of losses arising from adverse sporting results.”
There are some suggestions the tax hike is already having an effect on some of Betfred’s competitors. Last month, Evoke announced it was considering a sale, while LiveScore Bet cited the budget as one of the reasons it was leaving Bulgaria. In the past week, it has claimed another operator, with GG.BET winding down its UK operations.
Before the budget was announced, Mr Done told the BBC: “If [the tax rate] went up to anywhere like 40%, or even 35%, there is no profit in the business. We would have to close it down. I’m talking job losses. We’re talking probably 7,500.”
Advocates for the tax believe it’s been a long time coming. Dame Meg Hillier, Chair of the Treasury Select Committee, said in the aftermath of the statement: “The gambling sector’s scaremongering has failed. The Chancellor has made the right decision in agreeing with my Committee that the tax rate for remote betting, including highly addictive casino games, should reflect the harm it inflicts.”
Betfred deal to show horse races in shops expires
It’s not all positive for the Manchester-based betting enterprise, however. At the time of writing, no Betfred shop is able to broadcast images via the Arena Racing Company (ARC) after the company balked at an eleventh-hour proposal from the largest racing group in the UK.
The business said no to a 30% increase in media rights fees, with Mr Done and other industry figureheads sceptical of the role played by ARC CEO Martin Cruddace. There is reported suspicion that Mr Cruddace became close to gambling-harm campaigners ahead of the Autumn Budget
The company remains in discussion with ARC, according to a company spokesperson, who said: “We have enjoyed a long and positive relationship with Betfred across both commercial and sponsorship elements of the business. Discussions with regards renewal of the media and data rights agreement remain ongoing.”
Watching live horse and greyhound racing inside a Betfred betting shop remains critical to the bookmaker’s retail model because it drives foot traffic, extends dwell time and anchors in-person wagering that online platforms struggle to replicate, industry analysts say.
