GVC warns of £43m hit due to lockdowns

By Peter Lynch

GVC Holdings has suggested that coronavirus lockdowns across Europe could cost the company £43m ($55.3m). 

The FTSE-100 betting firm owns several brands across the continent, including Coral, Ladbrokes, Foxy Bingo and Bwin. 

The company expects the latest closures of its hundreds of betting shops to hit profits by £37m, with losses of £27m in the UK and £10m in Europe. 

GVC added that the UK retail figure could grow to £34m and the European retail figure could reach £9m if the current round of closures lasts for a month. 

The UK government recently announced a four-week lockdown in a bid to reduce the spread of Covid-19, with the new measures set to come into force on 5 November. 

Pubs, gyms and non-essential businesses - including betting shops - will close until 2 December. 

Like many other betting firms, GVC expects the latest restrictions to have a devastating impact on the industry, but customer and staff safety remains a priority for the company. 

A statement from GVC read: “The well-being, safety and security of our colleagues and customers is of paramount importance to us.   

“We are following government advice in each area of our operations and are enacting contingency plans to minimise the impact on the business.” 

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