Evoke Q3 Revenue Declines 7% Under UK Gambling Tax Increases

Evoke reported a 7% year-on-year revenue decline to £406 million ($542.67 million) for the third quarter ended 30 September 2026. The owner of William Hill, 888 and Mr Green faces immediate pressure from higher UK gambling duties that took effect this year. Chief Executive Per Widerström urged the government to avoid any additional tax rises in next week’s autumn budget.

After adjustments for shop closures and currency, revenue fell 2%. Favourable football results for bettors cut growth by one to two percentage points. Underlying performance stayed essentially flat.

Widerström said the company is focused on profitability and cash generation. “The closure of 270 shops over the past year shows the real impact on jobs and livelihoods from higher industry taxation, and we urge the UK government to carefully consider any further increases ahead of its forthcoming autumn budget,” he added.

Tax Changes Driving Operational Cuts

The November 2025 budget raised remote gaming duty from 21% to 40% on 1 April 2026. A new 25% rate for remote betting will take effect on 1 April 2027, while remote bets on UK horse racing will continue to be taxed at 15%. Evoke projects an added £125 million to £135 million in annual duties once fully in force and expects to offset about half via supplier savings, lower marketing, shop closures and cost reductions.

The company had warned before the budget it might close 120 to 200 shops. It ultimately closed about 270, or 15% of its retail estate, beginning in May. Across the sector more than 600 shops have closed with 10,250 online and retail jobs lost or at risk since the 2025 measures, according to the six largest operators. This reporting draws from Yogonet International.

Takeover Progress and Debt Refinancing

Evoke began exploring a sale in December 2025 after withdrawing its medium-term outlook. It agreed in June to an all-share takeover by Bally’s Intralot at 52 pence per share, valuing the company at £243.1 million. Shareholders of both firms have approved the deal and most regulatory clearances are secured.

According to Evoke, completion is expected in late fourth-quarter 2026 or early first-quarter 2027. Widerström stated: “We remain focused on disciplined execution and operational efficiency as we progress towards completion of the acquisition.” Bally’s Intralot has arranged £889 million in financing to refinance Evoke’s £1.86 billion debt carried from its 2022 William Hill acquisition.

The Pending Budget Decision. Further tax changes would compound the pressure already visible in job losses and consolidation. Operators will watch the 28 October budget for any suspension of the 2027 betting duty increase or confirmation of the current trajectory.

Reporting: Yogonet International

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