Massive blow as Paddy Power & Sky Bet owner cuts 1,400 jobs following punitive Labour tax hikes

3 comments 3 Next BETTING giant Flutter will make 1,400 people redundant following Labour’s devastating tax raid on the industry. The home to brands such as Paddy Power and Sky Bet will cut around 15 per cent of its workforce. Betting giant Flutter, home to brands such as Paddy Power, announce 1,400 job losses Credit: Corbis John Healey faces pressure ahead of the Budget not to raise Machine Games Duty amid fears of further job losses and store closures Credit: Getty Advertisement Despite the lay-offs, some left-wing MPs are demanding John Healey push ahead with another hike on the sector at next-week’s Budget . But the betting sector are calling on John Healey not to hike Machine Games Duty at next week’s Budget. Sign up for the Money newsletter Thank you! Email address Please provide a valid email. Your info will be used in accordance with our Privacy Policy You'll now receive top stories, breaking news, and more, straight to your email. It’s understood that 350 jobs will go at one of the firms’ hubs in Leeds close to Rachel Reeves’ constituency. She hiked remote gaming duty and the online sports betting levy while Chancellor. read more on politics BUDGET BLAST Healey will do more damage at his first Budget than Rachel Reeves, fears Kemi POLITICS FIX Andy Burnham vowed to help cost of living - so two issues he MUST consider Paddy Power announced last month that 100 High Street shops will be put under review bringing with it 400 job losses. There are currently fears that a hike to MGD – the levy on fruit, slot and quiz machines – to 40 per cent will put even more jobs at risk. The Sun’s Save Our Bets campaign is campaigning for the Treasury to hold off tax hikes. Kevin Harrington, Flutter UK & Ireland, Chief Executive, said: “My immediate focus is providing the necessary support for all of our impacted colleagues and guiding our teams through what we know is going to be a difficult and challenging period for all concerned. Advertisement Most read in Money DON'T BANK ON IT Revolut app goes down as customers have 'cards declined at the till' APPRENTICE AXE The 10 degree apprenticeships you can apply for NOW CHEAP AS CHIPS I tried 50 cheapest supermarket foods - the brilliant bargains I'd buy again TAX RAID Brutal Budget wealth tax raid dropped by Labour over fears it would hurt economy “The material increase in betting and gaming duties announced in the UK Budget last year has fundamentally changed the economic model of the regulated betting and gaming industry in the UK while helping to fuel the unlicensed, unregulated market. “As we warned a year ago, we cannot fully absorb a rise of this magnitude without reducing our fixed cost base and therefore must restructure our business so that we can best position ourselves for the future. “We remain confident that we are well placed to benefit from share gains given our position as the largest scale operator in the UK.” Grainne Hurst, boss of the Betting and Gaming Council, said: “Flutter’s announcement that up to 1,400 jobs are at risk is another devastating blow to workers and families across our sector, and further evidence of the real-world consequences of the Government’s tax rises. “These are not just numbers. They are people facing uncertainty over their livelihoods as major British employers are forced to make painful decisions in response to mounting tax pressures. Advertisement “The warnings could not be clearer. “Businesses are already cutting jobs, closing betting shops and scaling back investment. “Further tax rises will only accelerate that damage, putting thousands more jobs at risk, threatening high streets and handing an advantage to the unsafe, unregulated illegal gambling market.” RECOMMENDED STORIES Scores of Labour MPs pushing for tax hikes on betting were blasted last night over the inevitable jobs bloodbath. Ringleader Labour MP Alex Ballinger said: “It’s time to raise taxes on harmful gambling machines.” Advertisement 3 comments 3