- Fred Done says his family paid £400 million in taxes last year.
- He warns Betfred could close 495 of its 1,094 shops if machine gaming duty doubles.
- Done says he is too old to leave the UK but would not discourage his children from moving elsewhere.
Britain’s biggest taxpayer is warning that the country’s tax burden is becoming difficult to justify, with the founder of Betfred saying he would “not wish to be reborn” in the UK.
Fred Done, 83, told the Financial Times that he was too old to join the wealthy Britons moving their tax residency abroad, but said there were better opportunities for his family elsewhere.
“They keep saying those with the broadest shoulders should be paying more tax. Well, how broad do my shoulders have to be? We paid £400mn in taxes as a family last year,” he said.
Done’s comments come as the government considers further tax increases on the gambling industry, with the prospect of higher machine gaming duty putting the future of high street betting shops under fresh pressure.
The Betfred founder warned that if machine gaming duty rises from 20 per cent to 40 per cent, the company could close 495 of its 1,094 shops within a year. He said that could put 2,575 jobs at risk and reduce tax payments to the Exchequer by £67 million.
Betfred is already closing 132 shops following tax changes announced last year. The company has said it paid £210m in UK taxes in the year to March.
From tax pressure to an empty high street
Done’s warning goes beyond Betfred.
He said he believed there could be no betting shops left in Britain by 2030 if taxes, wages and other operating costs continue to rise.
“I believe that by 2030 we will have no betting shops. The high street will be dead,” he said, arguing that the economics of operating physical outlets would no longer work.
Done also disputed the idea that closing betting shops would necessarily reduce gambling. Instead, he suggested that customers would find other ways to bet, including through the black market.
“Do you think when there’s no betting shops punters will stop betting? The answer is no. They will find a way to bet, like in the prohibition,” he said.
The argument comes at a sensitive point for Britain’s gambling sector. Betting shops have already been shrinking, while operators face higher taxes and other regulatory pressures. Betfred's 132 planned closures alone will take its UK estate down to about 1,094 shops.
The impact could also extend beyond bookmakers. Horseracing depends heavily on money from the gambling industry through betting levies, media rights and sponsorship. Betfred currently sponsors the five classic races in British flat racing, including the Epsom Derby.
Done said the uncertainty over further tax increases meant the company had not yet agreed to extend that sponsorship.
Why Done is looking beyond Betfred
The billionaire’s concerns also reflect a wider debate about whether higher taxes on wealthy individuals and businesses could make Britain less attractive.
Several wealthy residents have moved or are considering moving their tax residency abroad. Done said he was too old to make such a move himself, but would not try to stop his children from looking at countries with more favourable tax regimes.
His family has also built businesses outside betting. Done said he reinvests money into ventures including property company Salboy and construction businesses involved in Manchester developments.
He has described business as central to his life and said he wants to keep working until he dies.
But his outlook for the UK is considerably less upbeat.
Done said he had never felt so gloomy about the country's prospects since opening his first betting shop in Salford in 1967, when he used £200 won from a bet on England to win the 1966 World Cup.
The question now is whether his prediction of disappearing betting shops becomes a warning that policymakers take seriously, or another example of an industry facing a difficult adjustment as Britain changes how it taxes gambling.
