Betfred ends sponsorship of British Classics races as UK gambling taxes rise

Betfred is withdrawing its branding from the British Classics horse racing fixtures, SBC News reports, as the operator continues to trim its marketing spending. Its name will no longer appear on the 1,000 Guineas Stakes and 2,000 Guineas Stakes at Newmarket, on the Epsom Derby and Oaks, or on the St Leger Stakes at Doncaster.

The decision follows the end in September of Betfred's nine-year partnership with Super League, the top tier of British rugby league. SBC News understands the Classics move is largely, if not entirely, linked to the UK budgets of November 2025 and October 2026, both of which raised gambling taxes. The Telegraph has reported that Betfred's backing of the five races has been worth millions over the years, with the Newmarket Guineas races the most recent additions to its sponsorship portfolio, in 2025.

Betfred founder and owner Fred Done said earlier this year that a second tax increase in the October budget delivered by Chancellor John Healey would probably lead the company to drop the sponsorships as a cost-cutting step. Marketing has been among the first areas targeted for savings across the sector since the 2025 budget under then Chancellor Rachel Reeves, which lifted Remote Gaming Duty on online gaming from 21% to 40% from 1 April 2026. Flutter Entertainment, Entain and evoke each said afterwards that they would cut marketing budgets by around 20%.

Other brands have made similar moves. Coral ended its decades-long support of the Coral Cup after the Reeves budget, and bet365 has also pulled back.

For Betfred, which runs more than 1,300 betting shops across the UK, the latest budget raises Machine Gaming Duty from 20% to 25%. That is expected to weigh significantly on its finances, though far less than if the rate had been lifted to 40% as the Social Market Foundation had urged. The company confirmed earlier this year that 130 of its 1,300 shops, about 10% of its high street estate, would close.

The wider market is also preparing for further changes from 1 April 2026, including General Betting Duty rising from 15% to 25%, with an exception for retail betting.