UK Gov Statutory levy and online slot stake limits to be introduced to tackle gambling harm
The government has embarked on a transformative journey to fortify gambling harm legislation, unveiling a blueprint to impose a statutory levy on gambling profits alongside stake limits for online slot games. These initiatives mark a decisive effort to combat the escalating issue of gambling addiction.
Baroness Twycross, the Gambling Minister, delineated the framework for the levy, a cornerstone of the government’s pledge to mitigate gambling-related harms. This levy, an unprecedented mandate, will apply universally to all licensed operators, ensuring a steady, equitable, and safeguarded flow of funds dedicated to prevention, treatment, and research.
A Shift from Voluntary Contributions
The existing voluntary system, criticized for its disparities, sees some operators contributing as little as £1 annually towards mitigating gambling harms. The statutory levy will rectify this imbalance, requiring all operators to contribute proportionately, fostering fairness and accountability.
Reinforcing Safeguards with Stake Limits
In tandem with the levy, new stake limits for online slots—a gambling modality linked to substantial losses and prolonged sessions—will be introduced. Adults aged 25 and over will face a £5 limit per spin, while younger adults, aged 18 to 24, will have a stricter £2 limit. This measure is underscored by findings from the Office for Health Improvement and Disparities, highlighting the vulnerability of under-25s, who exhibit a high prevalence of severe gambling issues according to the Problem Gambling Severity Index (PGSI).
Baroness Twycross remarked, “Gambling harm devastates finances, relationships, and lives. These strengthened measures, including the first-ever mandatory levy, are pivotal in raising awareness, reducing stigma, and supporting those at risk. By focusing on prevention and protection, particularly for young adults, we are ensuring a safer gambling landscape while enabling responsible enjoyment.”
Broad Consultation and Targeted Allocation
From October 2023 to January 2024, the government sought insights from clinicians, academics, industry experts, and the public to shape the levy’s design. Following this consultation, it was announced that:
- 50% of funds will support NHS England and equivalent bodies in Scotland and Wales, establishing a comprehensive system for treatment, recovery, and aftercare.
- 30% of funds will bolster preventive initiatives, including public health campaigns and frontline training, with further plans to be unveiled in the coming months.
- 20% of funds will fund bespoke research programs through UK Research and Innovation (UKRI) and the Gambling Commission, advancing evidence-based policy and regulation.
Claire Murdoch, NHS National Director for Mental Health, emphasized the urgency of this intervention, stating, “Problem gambling has soared, with NHS services witnessing a staggering 129% increase in referrals. This mandatory levy represents a long-awaited commitment to address this crisis comprehensively.”
The Role of Research and Regulation
Professor Henrietta Bowden-Jones, National Clinical Advisor on Gambling Harms, underscored the far-reaching impact of gambling harms, which ripple beyond the individual to affect families and communities. She welcomed the levy as a mechanism to deliver independent, evidence-driven strategies for addressing these challenges.
Funding will be managed by the Gambling Commission, ensuring transparency and independence from industry influence. Levy rates will vary by sector and activity type, reflecting the distinct risks and operational costs associated with each.
Pioneering a Safer Future
As technological advancements redefine gambling, with online platforms eclipsing traditional venues, the government’s measures aim to keep pace. In addition to the levy and stake limits, enhanced financial risk checks and tighter marketing controls are being introduced to protect individuals in an increasingly digital age.
Health Minister Andrew Gwynne articulated the broader vision: “This levy signifies a crucial investment in the NHS, enabling robust research and prevention while ensuring that those impacted receive the most effective care. Together, these measures lay the foundation for a healthier, safer society.”
With these comprehensive reforms, the government is not only addressing immediate harms but also laying the groundwork for a sustainable, responsible gambling framework in an era of rapid technological change.
