Flutter relocates Sky Bet to Malta amid mounting U.K. tax pressure

Flutter Entertainment has shifted Sky Bet’s headquarters to Malta, citing increasing regulatory and tax uncertainty in the U.K. gaming sector. 

According to ITV news’ report from Nov. 19, Sky Bet’s employees across seven cities, including the U.K., were informed about the HQ shifting to Malta via video call earlier this year.

Flutter later confirmed to SBC News that the decision was influenced by long-standing debate around taxation and the implications of the Gambling Act review that concluded in 2023 after over two years of consultation. Interestingly, this step will let the company potentially save millions of pounds in tax bills.

Flutter joins a growing list of gambling operators relocating to Malta in response to the U.K.’s increasingly demanding regulatory climate. Although commercial and marketing roles have begun transitioning to the island, making it a Europe iGaming hub, the company stresses its continued commitment to the U.K. market. Sky Bet will retain operational centers in London, Leeds, and Sunderland. And despite recent job losses, its Leeds site—the firm’s headquarters since 2010—still employs close to 2,000 people.

“Flutter paid more than £700 million in taxes to HMRC last year,” the company said. “We employ over 5,000 people across the U.K. Our decision reflects the need to remain competitive in an increasingly challenging environment.”

There are challenges, however. For starters, as one of the U.K.’s most prominent online bookmakers, Flutter will still have to adhere to Gambling Act White Paper’s strict guidelines, like the ban on cross-selling bonuses and the sponsorship Code of Conduct. It’ll also face intensifying competition from unregulated offshore betting firms that have, as industry leaders say, grown due to over-taxation and over-regulation. 

As companies adapt to shifting regulatory and tax frameworks, users are increasingly turning to third-party resources to help them make informed decisions about where and how to gamble responsibly. This has driven demand for independent reviews of the best online casinos, sportsbook comparisons, and betting strategy guides, particularly as operators adjust offers in response to tightening rules and rising costs.

The Malta relocation comes ahead of next week’s delayed Autumn Budget on Nov. 26, where Chancellor Rachel Reeves, according to SBC News, is expected to announce increased gambling taxes. Reports suggest potential rises to Remote Gaming Duty and Machine Gaming Duty, possibly up to 40 percent and 50 percent respectively, raising concerns among operators.

According to Tax Policy Associates, Sky Bet could reduce its annual tax liability by approximately £55 million by shifting part of its operations to Malta, where corporate tax stands at five percent.

Flutter maintains that Sky Bet will continue to pay U.K. corporation tax on profits, framing the move as a strategic adaptation rather than an exit. However, the relocation underscores broader industry anxiety as firms weigh staying in Britain’s lucrative but tightening regulatory landscape.