Ladbrokes to close shops due to reduction in maximum stakes at FOBT

Ladbrokes, the UK based betting and gambling company operating 3475 stores, is going to close up to 1000 shops, putting 5000 jobs at risk. The decision is due to the reduction of maximum stakes at fixed odds betting terminals (FOBTs) from €116.5 to €2.3, which was enforced this week. The decision may have a huge negative impact on the industry, causing not only a loss of profit but of jobs as well.

“As announced during a recent trading update we expect up to 1,000 shops to become loss-making,” they said. “Closures at this level would place up to 5,000 jobs at risk over the next 18 to 24 months,” the company added.

The Association of British Bookmakers (ABB) stated: “There will be a significant impact on the number of shops and people employed in our industry as a result of the stake cut.”

After years of discussion, the UK politicians determined that the maximum stake on fixed-odds betting terminals (FOBTs) should be lowered from £100 to £2. The new rules are intended to reduce the risks that players can lose large amounts of money in a short space of time.