The parent company of William Hill has announced plans to close approximately 270 betting shops following a thorough evaluation of its retail operations. This decision comes as the company aims to counterbalance the impact of increased gambling taxes in the UK, which have significantly escalated annual losses.
Evoke, which also manages the 888 brand, disclosed that its pre-tax losses soared to £549.1 million ($741 million) in 2025, a stark rise from £220.9 million ($298 million) the previous year. This surge in losses is primarily attributed to tax hikes in the UK and a substantial impairment charge of £440.3 million ($594 million).
The closures will focus on underperforming shops and are likely to lead to several hundred job losses, although the exact number of affected positions has not been confirmed.
CEO Per Widerström emphasized that the new tax framework represents a pivotal change for the industry. He stated, “The significant UK duty increases announced in November represented a fundamental shift in the economics of our largest market and will have a substantial impact across the regulated industry.”
In response to these challenges, Evoke has initiated measures to alleviate the financial strain, including cost-cutting strategies and a strategic review aimed at managing rising debt and operational pressures.
Widerström remarked, “We have acted decisively to mitigate the impact of these changes and protect long-term shareholder value, including initiating a strategic review and implementing significant operational actions across the business.”
The company is also negotiating a potential acquisition by Bally’s Intralot, which would value Evoke at around £225.3 million, as it seeks solutions to manage its substantial net debt of approximately £1.9 billion.
Despite a 2% increase in revenue to £1.78 billion and a 43% rise in EBITDA to £301.3 million, Evoke continues to operate at a loss.
In the UK and Ireland, revenue dipped by 2% to £1.17 billion, reflecting downturns in both retail and online sectors. The company noted that the shop closures are part of a broader strategy to streamline its retail presence as consumer behavior increasingly shifts online.
Widerström added, “We have conducted a comprehensive review of our retail estate, identifying 230 shops for closure. We have over 1,000 outstanding shops that continue to deliver excellent service and entertainment to our customers. This more efficient retail estate enhances our long-term sustainability, cash flow, and profitability.”
Finance chief Sean Wilkins indicated that the company anticipates mitigating around half of the tax impact and has not yet observed significant immediate effects from the new tax regime. “In the first 30 days, we have not seen any impact. The company is satisfied with the performance of our UK and Ireland online operations,” he stated.
Internationally, operations have shown some resilience, with revenue increasing by 9.3% to £606.9 million and EBITDA rising by 49.2% to £175.4 million, driven by growth in markets such as Italy, Denmark, and Romania.
However, Wilkins pointed out challenges in Romania, where rising taxes have led to increased unregulated competition. “Romania is experiencing significant black market growth following tax increases, which is detrimental to regulated operators like us,” he noted.
Looking forward, Wilkins stated, “Our focus for 2026 is primarily on cash generation and strengthening our balance sheet.”