Irish Bookmakers Urge Government to Reject Proposed Gambling Tax Rise for 2027 Budget

Focus Gaming News reports that betting operators in Ireland are urging the government to refrain from raising gambling taxes in the 2027 budget. The proposal under consideration would increase the current 2 percent tax on customer stakes for both online and retail betting. It would also double pool betting duty from 1 percent to 2 percent. These changes aim to generate revenue to support €7bn in public spending and €1.5bn in tax reductions.

Trade Group Cites Closures and Black Market Risks

The Irish Bookmakers Association has criticised the plan in a submission to Finance Minister Simon Harris. The group warned that higher duties would lead to more betting shop closures, job losses, and increased illegal activity. It cited the 2019 doubling of betting duty, which it linked to 222 shop closures and the loss of roughly 1,000 retail jobs.

The IBA cautioned: “Every euro of additional cost on a licensed operator has to be recovered somewhere, usually through reduced odds and reduced value for customers. Unlicensed operators recover nothing, because they pay no duty, no levy and no compliance cost, and they offer none of the consumer protections that licensed operators are required to provide.”

Major operators have already moved to reduce their retail footprints. Entain plans to close a third of its Ladbrokes shops in Ireland. Flutter is considering up to 100 Paddy Power closures across the UK and Ireland. The source notes it remains difficult to isolate tax as the sole driver given the broader shift from retail to online betting.

Divergent Calls on Appropriate Tax Burden

Anthony Kaminskas, founder of Dublin-based AK BETS, described the current turnover tax as “already punitive.” He warned that a further rise would leave regulated operators with three options: drop sports betting for casino products, offer poor prices on sports bets, or add a surcharge such as turning a €100 stake into a €105 cost. Each path, he argued, would make the regulated sector uncompetitive and drive consumers to the black market.

Stewart Kenny, co-founder of Paddy Power, has instead called for a 40 percent tax on online betting and casino revenue.

The Revenue versus Compliance Trade-off

The competing perspectives highlight a core tension in the proposal. Short-term budget gains could accelerate the decline of the licensed retail estate and expand unregulated activity that offers no consumer safeguards. Irish authorities will need to assess not only the projected tax yield but also the structural impact on operator viability and market order before finalising the 2027 measures.

Reporting: Focus Gaming News

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