PoC tax prompts William Hill to end Lincoln sponsorship

William Hill is to end its sponsorship of the Doncaster Lincoln Handicap race as part of the bookmaker’s strategy to cut costs following the introduction of the UK Point of Consumption (PoC) tax.

The new tax regime came into force on 1 December and has forced operators to explore ways in which they can offset the 15% profit levy. William Hill set itself a target of £15m-£20m of cost savings with the tax predicted to cost the firm £60-£70m a year.

“The PoC tax has meant that we have had to make marketing savings against what we would otherwise have spent, and this seemed an obvious saving not to renew,” a spokesperson for William Hill told eGaming Review this morning.

The operator had sponsored the flat handicap horse race, usually held two weeks before the Grand National, since 2006 but William Hill management took the decision not to renew its sponsorship with Doncaster racecourse and Arena Racing Company.

The news comes as the operator confirmed the departure of general counsel Thomas Murphy, who left the firm at the start of the month in order to take up a position with travel business Travelport.

Following his departure, Murphy’s responsibilities have been transferred to former William Hill general counsel and head of commercial Michael Leadbeater, who takes up the newly-created role of director of group legal services.

Murphy spent eight years at William Hill during which time he also held the positions of head of business systems and managing director of the Americas.