After more than a year of anticipation, the Department for Culture, Media and Sport (DCMS) has officially announced the implementation of a statutory levy for operators, aimed at funding research, education, and treatment around gambling-related harm.
This levy is set to commence in 2025, with a planned review by 2030. Replacing the previous voluntary contribution system, this levy will require operators to contribute between 0.1% and 1.1% of their gross gambling yield (GGY), varying by sector.
The government expects the levy to generate £100 million, with half of this amount allocated to NHS England and corresponding institutions in Wales and Scotland. Approximately 30% will go towards preventive measures against gambling harm, while the remaining 20% will be directed to UK Research and Innovation (UKRI) and the Gambling Commission for the development of gambling research programs.
Additionally, DCMS has introduced a maximum stake limit of £5 per spin for individuals over 25, and a reduced cap of £2 for those aged 18-25.
Responses within the industry have been mixed. Some see it as an opportunity to collaborate with the NHS positively, while others point out a gap with the absence of a dedicated “prevention commissioner.”
**Charity Perspectives**
**Zoë Osmond, CEO of GambleAware**
“We welcome the government’s plans for a statutory levy on the gambling industry and the introduction of lower online stake limits. These steps are crucial in defending individuals from gambling harm.
“Gambling harm affects millions, including children, exacerbating inequality across Britain.
“The lower stake limits for under 25s are particularly encouraging, as data shows those engaged in online casino games are significantly more prone to ‘problem gambling.’
“The levy marks a vital move towards sustained support via a statutory system, aligning with our long-standing advocacy since 2017.
“However, the delay in appointing a prevention commissioner may hinder service continuity. There’s an urgent need for clarity on this role to maintain integrated prevention and treatment systems.
“In the interim, GambleAware will work collaboratively with the government, the Gambling Commission, NHS, UKRI, and others across Britain to create a society free of gambling harm.”
**Mark Weiss, Deputy CEO of GamCare**
“We are pleased with the government’s announcement regarding the statutory levy and anticipate fruitful collaboration with the NHS and other providers.
“Our main goal at GamCare is to ensure individuals facing gambling harms receive timely, effective support.
“With a record number of 55,000 calls to the National Gambling Helpline last year, timely clarity on the future system is crucial.
“Having run the National Gambling Helpline for 27 years, GamCare is pivotal in providing access to needed support.
“We support the focus on treatment and recognize the need to shield vulnerable groups, especially children, from harm before it escalates. Therefore, we welcome the government’s emphasis on prevention.”
**Legal Insights**
**Richard Williams, Gambling Partner at Keystone**
“While Rachel Reeves’ October Budget avoided increasing gambling taxes, the statutory levy will mean the industry faces an extra cost of £40m to £50m from 2025.
“In 2023-2024, 94% of the £50m contributions were from the four major UK operators. The previous lack of specified contributions led to criticisms of some operators not adequately addressing gambling harm.
“Land-based operators, affected by previous National Insurance increases, will benefit from reduced contributions. Society lotteries, perceived as low risk, will contribute just 0.1% of GGY.
“These adjustments rationalize requiring higher risk sectors to contribute more for harm prevention and treatment.
“The new contribution levels, similar to earlier consultations but including a slight increase for online operators, add to the industry’s financial pressures. Nevertheless, many argue the industry should fund the mitigation of harm it causes, especially as the feared remote gambling duty increases were avoided.”
**Elizabeth Dunn, Partner at Two Birds**
“The introduction of a mandatory levy based on the previous government’s white paper marks Labour’s first significant move towards the gambling reform outlined in their manifesto.
“This levy, while anticipated, raises operator contributions from 0.1% to up to 1.1% of GGY for online sectors, which is significant given the potential for broader gambling duty reform announced in the 2024 Autumn Budget.
“This levy essentially serves as an additional tax burden on gambling operators’ profits.”
**Affiliate Reactions**
**Jamie Walters, CEO of QiH Group**
“Levy contributions, often considered burdensome, actually mirror the voluntary contributions most responsible companies have already been making, recognizing their value in supporting research and prevention.
“This change from voluntary to mandatory contributions comes with a reasonable rate.
“I see this as a positive opportunity for the industry to work alongside the NHS, charities, and the government to address gambling harm effectively.
“Gambling should remain fun and entertaining, and the industry’s responsibility lies in ensuring accessible, adequately funded support for those in need.”
The original story can be found on [EGR Intel](https://www.egr.global/intel/insight/industry-reaction-to-the-introduction-of-a-statutory-levy-on-operators/).