Entain’s UK Casino Arm Posts Standout Q3 Despite Tax Hike

Val D · 19 October 2026

While Entain’s headline numbers this quarter were dominated by the Brazilian shutdown, the detail worth lingering on for UK players is what happened to the group’s casino gaming business at home. Ladbrokes and Coral’s online gaming revenue jumped 17 per cent in the three months to September, a result management put down to product and app investment rather than the sports calendar. It’s a rare bit of good news for the sector in a quarter otherwise dominated by tax headlines.

What’s been released

Entain published its Q3 trading update on 15 October 2026, covering 1 July to 30 September.

The group’s net gaming revenue rose 2% in the third quarter, with online NGR up 3%.

It marked the company’s 10th consecutive quarter of online growth.
The soft group-wide figure masked a much stronger domestic story:
largely driven by the heritage Ladbrokes and Coral brands, UKI NGR increased by 8% – ahead of expectations – following the firm’s “strategic execution and investment in the UK”, with online the key driver, up 14%
.

Breaking that online figure down further,
casino gaming accounted for much of the improvement, with online gaming revenue rising 17%, while sports betting revenue grew at a more modest 3%
.
Management said improved products, better app features and disciplined investment helped drive the performance.
On the retail side, the picture was steadier rather than spectacular, with shop takings edging higher on a like-for-like basis.

What’s changed

The growth came against a backdrop that should have made it harder, not easier.
Britain raised remote gaming duty from 21% to 40% on 1 April, and two quarters later, UK and Ireland online is the fastest-growing segment in Entain’s results table, with online gaming up 17% and volumes up 15%.
That volume growth matters: it suggests more players are actually using the products, not just spending more per session.

On the investor call, chief executive Stella David framed the quarter as validation of the group’s current direction.
She said that behind continued growth and consistent execution, Entain’s priorities remain clear: optimise the cost base, improve cash generation, and strengthen the balance sheet, with an absolute focus on shareholder value.

David also addressed the potential incoming increase in Machine Games Duty, a hot topic across the UK gambling industry.
Elsewhere on the call, management reiterated full-year guidance of 4 to 6 per cent online NGR growth including Brazil, with the ex-Brazil figure tracking towards the top of its earlier range.

Where it fits

For a site that watches the product side of the market, the interesting takeaway isn’t the share price reaction, it’s that Ladbrokes and Coral’s casino offering is pulling its weight at a moment when higher duty was widely expected to squeeze margins rather than usage. Entain has been investing beyond its core brands too;
the FTSE 100 group launched a football-focused free-to-play app called Seven in the UK during August, featuring live updates and rolling selection deadlines
, part of a broader push to keep players engaged across formats rather than relying solely on traditional casino and sportsbook products.

Set against a tax environment that’s already prompted some operators to slow new-brand launches, a double-digit online casino gain at two of the UK’s longest-standing names suggests the bigger players still have room to grow their game libraries and app experience even as the cost of doing business in Britain rises. Whether that momentum holds depends partly on how the Machine Games Duty debate resolves and partly on whether rivals respond with their own product pushes in the coming quarters.

Entain’s UK Casino Arm Posts Standout Q3 Despite Tax Hike

What’s been released

What’s changed

Where it fits

Sources

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