The British Government has confirmed the introduction of a statutory levy to fund the research, prevention and treatment of gambling harms.
The levy on gambling profits will raise £100 million annually to fund problem gambling research and treatment in Britain and will be accompanied by a cap on online slot machine stakes to further reduce gambling-related harm.
The online slot stake limit will be set at £5 per spin for adults aged 25 and over and £2 per spin for players aged 18 to 24.
“Gambling harm can ruin people’s finances, relationships, and ultimately lives. We are absolutely committed to implementing strengthened measures for those at risk, as well as providing effective support for those affected,” said the minister for gambling, Baroness Twycross.
“The introduction of the first legally mandated levy will be instrumental in supporting research, raising awareness and reducing the stigma around gambling-related harm. We are also helping to protect those at risk, with a particular focus on young adults, by introducing stake limits for online slots.”
The National Health Services (NHS) will receive 50 per cent of the levy proceeds to develop a comprehensive support and treatment system, while 30 per cent will be used to fund gambling harm prevention and 20 per cent will go the Gambling Commission and UK Research and Innovation to fund research into future policy.
“Gambling harms have a devastating effect on people’s lives. We know that 2.5 per cent of the population are gambling in a severe and harmful way but many more are affected, whether family members or gamblers already experiencing negative consequences but below the clinical threshold,” said Professor Henrietta Bowden-Jones, National Clinical Advisor on Gambling Harms at NHS England.
“We recognise the need for more action, which is why I am thrilled to support the Government’s new levy, which will help us address the negative impact of gambling harms on communities using treatment, prevention and research through an independent evidence-based strategy at last.”
The levy will be charged on all licensed gambling activities at varying levels depending on the sector and nature of the gambling product to ensure impacts are proportionate, with the rates taking into account the difference in operating costs and levels of harm between different gambling activities.
The levy will range from 1.1 per cent to 0.1 per cent of an operator’s gross gambling yield (GGY) or equivalent and will be reviewed by the government in five years.
The plan to introduce stake limits for online slots was proposed by the previous Conservative government in February and was due to come into force in September.