Betfred ends British Classics sponsorship following gambling tax rise
British bookmaker Betfred has withdrawn from sponsoring all five of Britain’s Classic horse races, blaming successive gambling tax increases announced by the UK Government.
The decision affects the 2000 Guineas, 1000 Guineas, Derby, Oaks and St Leger, leaving some of British racing’s most prestigious events searching for new title sponsors.
Betfred, which is among the most popular betting sites in the UK, announced on November 5 that it would not proceed with a proposed three-year renewal of its sponsorship agreements.
The decision follows the government’s October Budget, which increased Machine Games Duty from 20% to 25%, effective April 2027.
Betfred chairman Fred Done had previously warned that additional gambling taxes could force the company to reconsider its sponsorship commitments.
A Betfred spokesperson said the company had reluctantly decided against renewing the agreements because of the cumulative financial impact of government policy.
“Following successive tax rises for the betting industry – and in particular the increase to machine games duty at the most recent Budget – it is with great sadness that we have taken the difficult decision not to proceed with a three-year renewal of our sponsorship of the British Classics,” they said.
“It is not a decision we wanted to make, but the cumulative cost of government policy has left us with no choice.”
The bookmaker warned that more than 1,000 jobs across its betting shops could be threatened by the higher tax burden.
Betfred began sponsoring the Derby, Oaks and St Leger in 2023 before adding the two Newmarket Guineas races to its portfolio.
Its withdrawal represents a significant commercial setback for British racing, which relies heavily on sponsorship and funding from the gambling industry.
Amy Starkey, managing director of the Jockey Club’s London hub, expressed disappointment at the decision but said discussions were already underway with potential replacement sponsors.
The announcement provides another indication of the financial pressure facing British bookmakers following successive increases in gambling taxation
