The boss of Paddy Power’s owner Flutter has resigned, as the gambling giant slashed its sales and profit forecasts.

Peter Jackson will step down in October and be replaced by Dan Taylor, the head of its international business, the Betfair owner said.

It marks the end of a long tenure for Jackson, who has led Flutter since 2018 and oversaw the move of its primary listing from London to New York last year.

The firm left the London market altogether this week. Jackson said: ‘I leave Flutter immensely proud of what we have built together.’

His departure was accompanied by a gloomy update in which Flutter said it would not meet its annual profit targets. It expects to make £156million less profit than expected, lowering its target to £1.97billion.

Flutter also warned that Labour’s gambling tax increases had contributed to a 19 per cent slide in its international profits over the three months to June.