UK Government Mandates Gambling Levy and £5 Online Slots Cap to Combat Problem Gambling

UK Government Mandates Gambling Levy and £5 Online Slots Cap to Combat Problem Gambling

By Michael Davidson

November 27, 2024 at 11:50 PM

The UK government has confirmed the implementation of a mandatory levy on all casino and betting companies operating in the country, alongside new restrictions on online slot stakes. The levy aims to raise approximately £100 million annually for problem gambling research and treatment.

The Department of Culture, Media, and Sport (DCMS) will replace the existing voluntary contribution system with a mandatory fee structure ranging from 0.1% to 1.1% of revenue. Online operators will pay higher rates due to their lower operational costs.

Westminster Parliament along River Thames

Westminster Parliament along River Thames

Current voluntary contributions vary significantly among operators. In the last financial year, major companies like Flutter Entertainment and Entain Plc contributed £18 million and £16.8 million respectively, while some organizations gave as little as £0.96.

Key Changes:

  • Mandatory levy replacing voluntary system
  • Online slot stake limits: £5 maximum for over-25s, £2 for ages 18-24
  • Implementation expected next year
  • Focused funding for gambling harm research and treatment

Gambling Minister Baroness Twycross emphasized the levy's importance in supporting research and reducing stigma around gambling-related harm. The Betting & Gaming Council (BGC), while supporting the mandatory levy, expressed concerns about the announcement's tone, noting that only 0.4% of adult players are problem gamblers among the 22.5 million who gamble regularly.

These reforms follow recommendations from the previous government's white paper on gambling reform, marking a significant shift in UK gambling regulation and consumer protection measures.

Related Articles

Previous Articles