Hundreds of jobs at risk across Republic, says Ladbrokes Ireland boss
Bookmakers urge government to introduce regulatory reform and open range of products operators are allowed to offer.
Hundreds of jobs at bookmakers’ shops are at risk in Ireland if the government does not introduce urgent regulatory reform and open the range of products operators are allowed to offer in the Republic, Ladbrokes has said.
Joe Lewins, chief executive of Ladbrokes Ireland, said around 150 mainly independent shops and up to 600 jobs are at risk across the country due to falling revenues in the last three years following the continued impact of the financial crisis.
In November William Hill sold the remainder of its retail estate in Ireland, 15 outlets, to Boylesports for a cash consideration of 1.5m, while Ladbrokes Ireland closed four of its shops in December, while it is feared others could follow if they continue to lose money.
At the time Boylesports chief executive John Boyle said: “Times are difficult for everyone in these recessionary times and we at Boylesports are thrilled that we can help save jobs and continue to show our commitment to the Irish retail betting industry.”
There are 1,102 shops in the Republic with Paddy Power, Boylesports and Ladbrokes dominating the high street alongside a number of smaller independents.
Bookmakers have asked Simon Coveney, Minister for Agriculture, responsible for Ireland’s horse racing industry, for changes they believe will increase the tax take from betting and boost their revenues.
This week Coveney took the first step in a review of funding for horse racing, which was based on the betting tax levied in bookmakers, by seeking submissions from all interested parties including the betting industry. Operators want the tax changed from a 1% charge on turnover to a 10% gross profits tax.
Lewins told the Irish Times that switching to a gross profits tax would result in 3m extra for the government, with the three biggest operators paying more tax while limiting the liability of the smaller players that are more at risk if reform is not implemented.
Bookmakers also want the range of products, including the use of iPads to enable customers to bet online, to be opened up, as well as increased opening hours.
Lewins said the measures would boost revenues and add approximately 10m to the betting tax take.
A Ladbrokes spokesman told eGaming Review: “Ladbrokes, along with other betting companies is engaging with the Irish government as part of their review of gambling regulation. High Street bookmakers in Ireland are restricted in terms of product range and opening hours and regulatory reform is overdue.”