The importance of cross-selling is set to increase as we approach a high-taxation era in the UK, according to Rank Group.
Rank Group’s Chief Financial Officer, Richard Harris, stated to investors that as the tax squeeze on Remote Gaming Duty intensifies, the value of cross-selling is increasing, as the lowest-cost acquisition comes from players playing in venues.
He underlined: “The relationship between the venues and the online platforms continues to be a big focus moving forward.” It fuels the group in its efforts to tackle challenges head-on, with the new taxation not significantly shifting the dynamics of a venue in the Grosvenor estate.
Building on momentum in 2025, the operator continues to transform into a new era for the UK gambling sector andHarris emphasised that they are working through exactly what the future holds for their smaller brands in the new RGD era.
Updating investors, Harris stated, as we approach the high taxation era, cross-selling through the proprietary Mecca and Grosvenor brands can be crucial, with a high ceiling for growth. However, the role of the smaller brands is set to be different under the new taxation framework – as they shift into a supporting role for the Mecca and Grosvenor brands.
Whilst he continued to affirm that they have a role in the new era, he did admit that it is unlikely they will be significant drivers of growth.
In the long term, Harris admitted that it is inevitable that operators are likely to leave the UK market, as he emphasised that Rank has done the heavy lifting in terms of the mitigation they are taking in the UK market. As such, he outlined that the company has a clear plan for growth and profit moving forward.
As John O’Reilly departs as CEO, Harris will assume the interim CEO role from 30 January 2026.
In his final statement as Rank CEO, O’Reilly said: “Customers recognise the investment and improvements we have been making and are responding enthusiastically. Both the underlying metrics and medium-term outlook for the business remain encouraging, and we have the building blocks in place to capitalise on the opportunities ahead of us.”
“The second half of the year will bring further cost headwinds, principally in our UK digital business, which will be impacted by the UK Government’s huge increase in tax rates. We have already executed measures to mitigate some of this impact, whilst continuing to prioritise customer experience, and the Group will respond with agility as a heavily disrupted landscape takes shape in the UK.”
