Ladbrokes-owner and Aston Martin on chopping block in FTSE reshuffle

Ladbrokes-owner Entain and Aston Martin are set to be removed from the London market indices in an upcoming quarterly reshuffle. Entain is expected to be removed from the FTSE 100 due to the impact of high UK gambling taxes, increased competition, and slower growth in the US market. A new 25% betting levy, introduced by former Chancellor Rachel Reeves, will take effect in April 2027 and will further affect Entain's earnings.

In April 2026, Reeves increased the remote gaming duty to 40% from 21%, targeting online casino-style games. This change is projected to reduce Entain's earnings by £100m in 2026 and £150m annually from 2027, even after implementing cost-cutting measures. Housebuilder Persimmon is also anticipated to be removed from the FTSE 100, reflecting the challenges faced by the property market.

Aston Martin is anticipated to follow Entain out of the FTSE 250, after facing a series of financial struggles. The luxury car manufacturer announced plans to lay off 20% of its workforce earlier this year, as its net losses grew 52% to nearly £500m. Aston Martin cited US tariffs and subdued demand in China as part of the reasons for its financial woes, with approximately 600 job losses affecting its workforce of around 3,000 employees.

Coatsworth highlighted the concerns surrounding Aston Martin's stock performance, citing investor worries about the company's financial situation. The changes will be based on market close data from the September 1st trading session and will be announced after the market closes on the following day. The new entrants to the FTSE 100 and FTSE 250 are expected to be oil and gas firm Ithaca and low-cost airline Easyjet, following positive market movements driven by elevated energy prices and an upcoming takeover, respectively.