UK Proposes Statutory Levy to Reduce Gambling Harms

The UK government has proposed a statutory levy on gambling operators to fund research, prevention, and treatment programs aimed at reducing gambling-related harms. 

The Gambling Commission will oversee the levy, which will be a percentage of gross gambling yields (GGY). The aim is to raise £90–100 million per year by 2027, a significant increase from the current voluntary funding system. 

The NHS will be in charge of managing treatment services in England, Scotland, and Wales, while UK Research and Innovation (UKRI) will lead research. Recently, there’s been pressure on the government to implement a statutory gambling levy to ensure sustainable funding for problem gambling support.

Prevention initiatives will be coordinated across Great Britain. 

Related Reads:

GamCare, a leading provider of support services for those affected by gambling harm, welcomed the proposed levy as a step towards securing long-term funding for gambling harm services. However, they express concerns that the estimated £90–100 million may not be sufficient to meet the growing demand for services, estimating that the actual cost of treating gambling harm could be up to £35 million in year five. 

GamCare also emphasized the importance of clear definitions and guidelines for each category of funding and recommends prioritizing funding certainty and stability over other considerations. They support the proposal to allocate 10–20% of funding for sustained, high-quality research and highlight the need for a national strategy to reduce gambling harm. 

The statutory levy represents a generational shift in the gambling health sector. If it’s done right, the levy is an opportunity to bring together research, prevention, and treatment, helping to prevent gambling harm and providing care for those who need it. 

The following are the key points of GamCare’s response to the UK government’s consultation on the proposed gambling levy:  

1. Funding: GamCare agrees that the proposed levy is a step in the right direction, but they believe that the estimated £90–100 million is insufficient to meet the growing demand for services. They estimate that the actual cost of treating gambling harm could be much higher, potentially up to £35 million in year 5. 
2. De minimis threshold: GamCare does not have a clear stance on the proposed de minimis threshold, stating that they need more information before taking a position. 
3. Timing of payment: GamCare suggests that the timing of payment should prioritize funding certainty and stability over any other considerations. 
4. Allocation of funding: GamCare agrees with the proposal to allocate funding across research, prevention, and treatment categories, but emphasizes the need for clear definitions and guidelines for each category. 
5. Research funding: GamCare supports the proposal to allocate 10–20% of funding for sustained, high-quality, independent research and agrees that UKRI should lead a bespoke research programme on Gambling. 
6. National Strategy: GamCare emphasizes the importance of a national strategy to reduce gambling harms, highlighting the need for a joined-up approach across research, prevention, and treatment.