Ladbrokes Move Complete

Ladbrokes Plc has announced that its relocation to its new headquarters in Gibraltar has been completed two months ahead of schedule.

The group announced that it would be moving its online sportsbook offering to Gibraltar in August and has been in full swing with the implementation of the plan ever since.

Ladbrokes found that operating its sportsbook arm from the United Kingdom was placing too much pressure on the group financially, and not allowing it to compete on an equal playing field among its rivals.

When William Hill announced that it was moving to Gibraltar to escape the stifling tax regime, Ladbrokes had no choice but to follow suit.

Ladbrokes, as well as William Hill and other UK based sportsbook operators, were forced to pay 15% gross profit taxes, as well as value added tax (VAT) on input costs at another 15%.

To add insult to injury, the groups are also subject to a horserace betting levy at 10% of all profits made on UK horseracing.

The move to Gibraltar will end these taxes and allow Ladbrokes to compete among other offshore based groups.

Ladbrokes will continue to pay corporation tax on profits.

"Competing from the UK against offshore operators with significant tax advantages was unsustainable and we are very pleased that, having made the decision to relocate, we are doing so ahead of schedule," said Christopher Bell, Chief Executive Officer of Ladbrokes Plc.

"We have used the opportunity to invest in improved technology and in the weeks ahead we will be launching our very latest sportsbook that further improves our competitive position," he added.