Betfred's Fred Done warns of shop closures over machine tax plan while family receives £30m dividend

Betfred founder Fred Done has warned that closures could follow if the UK government raises taxes on high-street gaming machines, while the company has also paid out a £30 million interim dividend to shareholders.

Chancellor of the Exchequer John Healey is reported to be considering doubling machine games duty from 20% to 40% in the upcoming budget. The Social Market Foundation think tank estimates such a change could raise £460 million for the Treasury. Operators of gaming machines oppose the idea.

On Wednesday, Done joined other industry figures in signing a final letter to Healey. It argues that the increase could lead to the closure of up to 1,470 betting shops and 34 casinos, putting 15,900 jobs at risk. Earlier this summer Betfred shut 132 shops, with job losses among staff, and cited the expected tax increases as the main reason.

Betfred has repeatedly threatened closures in response to tax and regulatory pressure. Since 2019, it has warned of shutting almost 1,000 shops, and its estate has fallen from about 1,620 outlets to 1,293, a decline of just over 20%. The article notes that this period also saw rapid growth in online gambling. Last month, Betfred also ended its partnership with the rugby Super League, citing rising taxes.

The company's financial position is strong. Betfred recorded record revenue of £996 million from British customers in the financial year ended March 2026, with a pre-tax profit of £64 million. It paid an interim dividend of £30 million, mostly going to trusts that benefit the Done family. Total shareholder payouts since 2022 now exceed £105 million.

The Done family, with estimated wealth of £3 billion, is listed as the UK's largest taxpayer in the Sunday Times Tax List. Of roughly £400 million in tax paid last year, £54 million related to machine games duty, according to the accounts of Betfred Group Holdings Limited. In an interview with the Financial Times, Done said calls for those with the broadest shoulders to pay more tax leave it unclear how much more his family is expected to contribute.