Economy alert: Betting giant bet 365 to axe hundreds of jobs after Labour's gambling tax

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Some 340 jobs will be cut at bet365 in another major blow to the gambling industry

A major betting company is planning to axe hundreds of jobs following Labour's recent tax raids on the gambling industry.

Bet365 is understood to be cutting 340 jobs, with 300 roles being axed from its Stoke-on-Trent headquarters and the remainder being slashed between its Gibraltar and Malta offices.

This move comes after fellow betting giant Betfred and William Hill owner Evoke closed hundreds stores after levies were hiked on the sector.

Last year, the Labour Government raised taxes on remoting gaming from 21 per cent to 40 per cent, and the tax charge on online sports betting from 15 per cent to 25 per cent.

It is understood that most of the jobs lost will impact the company's trading and operations positions.

As it currently stands, bet365 employs around 5,500 workers at their main hub in Staffordshire.

A source told The Sun: "These are strategic decisions taken to secure the business’s long-term future.

"We are facing global headwinds which include regulatory, tax, and wider business costs.

“For example, the tax increases announced in last year’s Budget have had a major impact that has had to be mitigated.

“Our primary aim is to manage this restructure sensitively, actively looking to minimise overall job losses wherever possible, which is why we are leading with a voluntary approach."

A bet365 spokesperson, said: "As an international business, we continually review and assess our operations to ensure the business’ long-term future.

“We are currently facing a highly competitive trading environment, plus increased regulatory and tax-related costs.

"As a result we are restructuring some of our locations this year.

"Ultimately, this will result in a reduction of approximately 340 roles across our European hubs, which is the equivalent of around three per cent of the workforce.

"We are committed to minimising the impact on our people and are exploring all avenues to reduce the number of redundancies. As a first step, we are planning a programme of voluntary redundancies.

"Our colleagues are our priority. We understand the concerns many will have. Impacted staff have been informed and are being fully supported throughout this process."