Betting operators were significant losers from Wednesday’s budget as the UK government raised taxes on the sector.
The changes to gambling duties are estimated to raise £1.1 billion by 2029 to 2030.
From April 2026 there will be an increase in remote gaming duty from 21% to 40% and abolition of bingo duty from its current 10%.
From April 2027, a new rate of general betting duty for remote betting will be introduced at 25%, excluding self-service betting terminals, spread betting, pool bets and horse racing.
The government has also announced a freeze in casino gaming duty bands in 2026 to 2027.
Shares in William Hill-owner Evoke PLC plummeted 18%. Reacting less severely due to their US exposure, shares of Ladbrokes-owner Entain PLC slipped 0.5% and those of Paddy Power-owner Flutter Entertainment fell 1.7%. Casino-operator Rank Group was down 1.5%.
Oil and gas company shares also fell as the UK government confirmed the windfall tax will remain in place until March 2030, unless oil and gas prices fall below a certain level before then.
There had been hope in the sector that the expiry date for the windfall tax would be brought forward.
Serica Energy PLC fell 3.1%, and Harbour Energy PLC slid 4.6%.
Housebuilders were another weak sector in the London market as news of ’mansion tax’ on properties worth more than £2 billion was unveiled.
An absence of stimulus measures for the housing market also contributed to shares weakness.
Shares in Persimmon PLC fell 3.8% and Barratt Redrow PLC 2.2%.
But banks were spared a further sector tax hit, as expected, give those stocks a boost midday Wednesday.
Lloyds Banking Group PLC was up 2.4% and Barclays PLC up 1.8%. Since Friday’s close last week, Lloyds is up 6.8% and Barclays up 6.5%.
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