Sky Bet’s Move to Malta Draws Attention and Concerns

Sky Bet Moves Headquarters to Malta

Sky Bet, a UK gambling operator owned by Flutter Entertainment, recently shifted its headquarters to Malta. This change, announced earlier this year, coincided with plans to reduce its UK workforce by 250 employees. Company leaders cited operational and cost efficiencies as key reasons behind the decision.

Despite relocating its main office, Sky Bet will maintain its operations in the UK, with its Leeds office continuing as one of Flutter Entertainment’s significant centers.

Although tax advantages were not officially mentioned as a reason for the move, insiders have revealed that the higher tax rates in the UK played a significant role in the decision-making process.

Tax Concerns Drive the Relocation Decision

The UK government has considered raising taxes on gambling companies, which has caused unease in the industry. Advocates for higher taxes argue that gambling, being potentially harmful, should contribute more to public finances. Industry representatives warn that increasing taxes could encourage illegal gambling and negatively impact the broader UK economy.

Experts estimate that by moving to Malta, Sky Bet could save up to £31 million in taxes. According to one Flutter insider, everyone involved understands that the relocation revolves around tax considerations, despite other explanations given.

Potential Risks in the Relocation Strategy

Tax expert Dan Neidle commented on the situation, noting that companies either move to Malta for its favorable climate or to reduce tax liabilities. While acknowledging potential savings on taxes and VAT, he warned that the move could be risky.

Neidle explained that relocating staff to Malta could involve significant costs, and if tax laws change or are challenged by HM Revenue and Customs, Sky Bet might end up with no savings while being committed to their new location.

Financial Outlook Following the Move

Meanwhile, Flutter Entertainment recently released its third-quarter financial results, showing strong revenue growth. However, this was overshadowed by a substantial net loss, leading the company to revise down its full-year 2025 financial guidance.