Flutter Entertainment confirmed on October 23 that it will close Betfair’s operations in Brazil and consolidate its local business under Betnacional, while separately proposing up to 1,400 job cuts across its UK and Ireland division. The decisions come as the gambling group responds to a provisional betting ban in Brazil and higher online gambling taxes in the UK.
The two developments reflect different regulatory challenges facing Flutter, with its Brazilian operations suspended following government restrictions and its UK business preparing to reduce costs as new tax rates take effect.
Flutter Consolidates Brazilian Business Under Betnacional
In a statement to NEXT.io, Flutter confirmed it would discontinue Betfair’s operations in Brazil and focus its local business on Betnacional.
“Flutter Brazil has decided to focus its activities on a single brand, Betnacional, which will result in the closure of Betfair’s operations in the country,” the company said.
The decision will also result in staff reductions, although Flutter has not disclosed how many Brazilian employees will be affected.
The consolidation does not mean Betnacional will resume normal operations immediately. Flutter’s Brazilian betting and online casino services remain suspended following a government measure introduced in September.
By retaining Betnacional as its primary local brand, Flutter is positioning its Brazilian business for a potential return if the regulatory environment changes.
Brazil’s Provisional Betting Ban Disrupts Operations
Brazilian President Luiz Inácio Lula da Silva issued Provisional Measure 1,394 on September 25, 2026, banning fixed-odds sports betting and online casino games.
The measure restricts betting services offered to Brazilian customers, including offshore operations, and prohibits related advertising and sponsorship activities. It also prevents operators from accepting new deposits and establishes procedures for returning customer funds.
Flutter confirmed on September 28 that it had suspended its Brazilian sports betting and online casino operations in response.
“Flutter has ceased operating sports betting and iGaming in Brazil,” the company said, according to CCN.com.
The restrictions took effect immediately but remain provisional. The measure requires congressional approval to remain in force, leaving open the possibility that the regulatory situation could change.
Flutter has indicated that operations could resume if the measure is rejected.
The company estimates that remaining offline through the end of 2026 would reduce revenue by approximately $70 million and adjusted EBITDA by around $20 million.
Flutter Proposes Up to 1,400 Job Cuts in the UK and Ireland
Separately, Flutter announced a restructuring proposal on October 20 that could affect up to 1,400 employees across its UK and Ireland division.
The proposed reductions include positions in Leeds and Dublin, as well as employees supporting the division from Portugal and Romania.
The company has linked the restructuring to increases in UK gambling taxes announced in the 2025 Autumn Budget.
Kevin Harrington, Flutter’s UK and Ireland chief executive, said the business could not absorb the higher tax burden without reducing operating costs.
“We cannot fully absorb a rise of this magnitude without reducing our fixed cost base,” Harrington said.
The reductions remain proposals rather than confirmed layoffs, and the final number of affected employees will depend on the restructuring process.
Flutter expects to incur approximately $80 million to $90 million in restructuring costs during the fourth quarter of 2026, according to CCN.com.
Higher UK Gambling Taxes Drive Cost Reductions
The restructuring follows a significant increase in the UK’s Remote Gaming Duty, which rose from 21% to 40% in April 2026.
A separate increase in remote betting duty is scheduled for April 2027, when the rate for most online betting activities will rise from 15% to 25%. Online bets on UK horse racing are excluded from that increase.
The changes are intended to raise additional tax revenue while addressing concerns about gambling-related harm.
According to HM Revenue & Customs, the policy is designed to discourage operators from directing customers toward gambling products considered to carry greater risks.
For Flutter, the higher rates increase the cost of operating its online gambling business in the UK, prompting the company to review staffing levels and other fixed expenses.
Despite the planned reductions, Flutter has not announced any intention to withdraw from the British market.
Harrington said the company remains “well placed to benefit from share gains,” suggesting Flutter still sees opportunities for growth despite the additional tax burden.
Flutter Faces Different Regulatory Pressures in Two Markets
Flutter’s decisions in Brazil and the UK reflect two separate challenges for its international operations.
In Brazil, the company is consolidating its brands after a provisional government measure forced it to suspend betting and online casino services. Its future operations will depend partly on whether lawmakers allow the restrictions to remain in place.
In the UK, Flutter is maintaining its market presence while proposing workforce reductions to offset higher gambling taxes.
The developments illustrate how changes in national gambling policies can affect operators differently, from temporary market suspensions and brand closures to restructuring costs and workforce reductions.
