Minister for Finance Paschal Donohoe announced the hike on Tuesday 9 October during his Budget 2019 speech.

He said: “In the area of betting, the Government’s priority has been to level the playing field by extending the tax to remote bookmakers and exchanges.

“This was achieved in 2015 and I believe it is timely to increase the tax from 1% to 2% on amounts wagered in the state. In addition, betting duty on the commission earned by intermediaries, or exchanges, will increase from 15% to 25%.”

Further details are anticipated but it is expected that bookmakers will be stopped from passing on the tax rise to punters. This will increase the difficulty of maintaining betting shops and online betting companies.

Minister Donohoe said that the increase will take full effect on 1 January and generate an additional €40m ($45.5m) in 2019.