Rank Group has settled its boardroom seating plan as John H Ott is set to chair the company through potential UK tax turbulence.
Ott will officially take the role from 17 November, replacing Karen Whitworth at the top of Rank’s board, who has served as interim Chair since the middle of last month, following the departure of Alex Thursby in September.
However, Whitworth will remain with the operator, resuming her role as a Senior Independent Director and as Audit Chair.
“During a rigorous and wide-ranging selection process, John emerged as the stand-out candidate to become Rank’s chair,” commented Whitworth on Ott’s appointment as Chair.
“His wealth of experience in highly regulated industries, and advising and working with boards across the globe, will provide the Group with the expertise and leadership that it requires as we embark on the next phase of our strategic journey.”
Ott brings over 40 years of experience to Rank, with significant knowledge of the financial sector, having previously worked at Barclays Bank as Group Strategy and M&A Director. He has also served in roles at McKinsey & Company and, most recently, at Bain & Company as a Senior Advisory Partner.
He also has strong experience in different regions, having worked in senior positions in Europe, the USA and the Far East.
Tasks ahead
One of Ott’s first responsibilities as Chair will be helping to manage Rank through what could be turbulence caused by the UK autumn budget, as it is widely speculated that Chancellor Rachel Reeves and the government will include a gambling tax increase.
Last month, as part of the company’s first quarter of 2025/26 trading update (1 July to 30 September), Chief Executive John O’Reilly expressed confidence for the financial year ahead, but was adamant that the group is paying its “fair share” in tax.
O’Reilly noted that Rank and the Treasury have been in talks about the potential consequences a tax hike could have on its operations.
The Chief Executive said: “Speculation regarding tax changes in the upcoming budget is, inevitably, hanging over the business. We are engaged with the Treasury on the implications of tax changes on the viability of our venues, employment levels, future investment and the customer.
“Last year the group generated £44.6m in profit after tax, having paid HMRC and local authorities £188m in taxes. The Rank Group, with its strong UK focus, is certainly paying its fair share.”
Q1 performance
Rank’s like-for-like net gaming revenue rose by 9% year-over-year in Q1 to £210.2m. Digital NGR increased by 13% to £61.6m, while venues NGR was up 7% to £148.6m.
Digital growth was supported by UK operations in Q1, rising by 15% YoY: Grosvenor increased by 31%, while Mecca rose by 9%.
However, a 1% YoY drop was witnessed in Spain’s operations following previously reported platform capacity issues. The operator stated these were being addressed and a new bingo platform is set to launch, with growth expected in Q2.
“We have started the year strongly and are confident of delivering Group like-for-like operating profit in line with expectations, notwithstanding the significant cost increases we have incurred in employer national insurance contributions, the national living wage and the new statutory levy,” O’Reilly noted.
