Sky Bet has moved its headquarters to Malta. The Flutter Entertainment-owned operator made the shift official this month, with daily operations now running from the Mediterranean island nation.
Flutter told Sky Bet staff about the relocation back in June. That announcement came alongside news of roughly 250 job cuts within the team. Sky Betting and Gaming CCO Steve Birch confirmed operations would transfer to Malta starting November 1.
The timing isn’t coincidental. Flutter owns multiple UK gambling brands beyond Sky Bet—including Paddy Power, Betfair and Tombola. All of them face mounting pressure from UK tax increases.
Why Tax Changes Drove the Decision
The move could save Sky Bet up to £55m ($71.9m) per year on its tax bill. That’s not a small number for any operator.
UK Government budget plans threaten land-based betting shops with taxes reaching 50%. Betfred has already said such rates would force it to close all its high street locations. Flutter has announced 57 Paddy Power shops will shut, and that’s before the budget even drops.
One Flutter insider didn’t mince words when speaking to ITV News. “Tax was the elephant in the room,” they said. “It is absolutely understood, across everyone affected, indirectly or directly, or even aware of the announcement, that this is about tax.”
The source added that no one would seriously claim it’s “for strategic reasons” or similar corporate speak. It’s a tax play, pure and simple.
What the Relocation Involves
Flutter announced the move and redundancies together in June. The company framed it as necessary to cut costs and run more efficiently.
Day-to-day operations shifted to Malta on November 1. But the full impact won’t be clear until Flutter releases its full-year results.
The operator has made other big moves recently. Last year, Flutter delisted from the Irish stock exchange. It also shifted its primary listing from London to New York.
How Industry Experts View the Risk
Not everyone thinks Malta is the safe haven Flutter expects. Tax expert Dan Neidle told ITV News he’d call the move “reckless” if he’d been advising them.
“The risk is that there’s a lot of expense in moving people to Malta, and then they’re stuck,” Neidle said. If UK law changes or HMRC challenges their setup, they could save nothing. But they’d still be stuck in Malta.
The UK Government keeps searching for ways to boost tax revenue and fill budget gaps. Gambling companies have become prime targets for that search. And with multiple brands under its umbrella, Flutter feels the squeeze more than most operators.
Whether Malta provides the tax relief Flutter expects remains to be seen.
