Gambling Tax Hike Threatens Jobs and Retail Betting in Ireland, Says IBA

Retail betting shops across Ireland are shutting down at a worrying pace. The Irish Bookmakers Association (IBA) has issued a strong warning that this crisis is escalating, driven by rising taxes, higher operational costs, and shifts in consumer behavior.

Crisis Deepens as Betting Shops Close Nationwide

Retail betting shops across Ireland are shutting down at a worrying pace. The Irish Bookmakers Association (IBA) has issued a strong warning that this crisis is escalating, driven by rising taxes, higher operational costs, and shifts in consumer behavior.

With the 2026 Budget under discussion, the IBA is urging the Irish government to reconsider any further gambling tax increases, warning that hundreds more betting shops may close, risking thousands of jobs.

According to the IBA, only 721 licensed betting shops currently operate in Ireland—a steep decline from previous years. In a press statement, the association noted:

“Since the betting tax doubled from 1% to 2%, 138 betting shops have shut down. So far this year, another 10 have closed. These closures have directly caused the loss of over 700 jobs, disproportionately affecting towns and small communities.”


The Tax Burden and Regulatory Pressure

IBA Chair Sharon Byrne told SiGMA News that the downturn stems from a complex set of factors, but policy decisions play a major role:

“Before 2019, closures had stabilized. But once the betting tax doubled, the number of shutdowns surged.”

She added that the tax hike, combined with rising business costs, has pushed many licensed operators toward collapse.

Despite this, the industry has welcomed the launch of the Gambling Regulatory Authority of Ireland. Byrne explained:

“The IBA and its members fully support this new regulator, but we must acknowledge the significant compliance costs it will bring. It’s vital that these costs remain proportionate to the industry’s broader tax contributions.”


2026 Budget Could Worsen the Situation

The IBA’s internal forecasts indicate serious consequences if further tax hikes are approved:

“If the 2026 Budget includes another tax increase, it could lead to the closure of an additional 200–250 shops and the loss of 1,000–1,250 jobs.”

The statement adds:

“This would threaten the livelihoods of thousands and undermine the economic and social fabric of Irish towns.”


Black Market Concerns on the Rise

The IBA also warns that overregulation and excessive taxation could push customers away from the regulated market and toward unlicensed black market operators.

Byrne noted:

“Without a sustainable tax and regulatory framework, licensed shops will shut down, jobs will disappear, and consumers may turn to illegal operators—undermining both consumer protection and government revenues.”

The IBA’s statement reiterated:

“Raising gambling taxes will only accelerate the shift of customers into the unregulated black market. This threatens the integrity of the sector and reduces tax compliance.”


Retail Betting Shops Remain Social Anchors

Despite the growth of online gambling, retail betting shops still serve as important social and economic hubs across Ireland.

“Licensed betting shops remain central to many towns and communities,” said Byrne.
“They meet consumer demand while also offering a social atmosphere for adults, employees, and customers alike.”


Industry Calls for Government Support

With the threat looming over jobs, the IBA is appealing directly to policymakers:

“We’ve actively engaged with the government to advocate for maintaining the current 2% rate,” said Byrne.
“We’ve provided data and insight to support informed decisions and will continue working with all stakeholders to ensure sustainable and responsible growth in Irish gambling.”

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