Gambling | Statutory levy and online slot stake limits

The Department for Culture, Media and Sport (DCMS) today announced plans to introduce a statutory levy and online slot stake limits to be introduced to tackle gambling harm.

The introduction of a statutory levy on the Gambling industry to fund research into gambling addiction has long been mooted by Government’s of the day, it was being discussed when Labour was last in power. In their press release, the DCMS stated:

“Under the current voluntary system not all gambling companies contribute equally, with some operators paying as little as £1 a year towards research, prevention and treatment. The new mandatory levy will ensure all operators contribute a fair share.”

It is estimated that the mandated levy will generate £100 million for the research, prevention and treatment of gambling harms, with half of funding to directly benefit NHS-led gambling treatment system.

The levy will be charged at a set rate for all holders of a given Gambling Commission licence, ranging from 1.1% to 0.1% of Gross Gambling Yield (GGY), or equivalent, depending on the sector. Society lottery operators will pay the levy as a proportion of proceeds retained after good causes and prizes paid out.

In addition to the levy, Gambling Minister Baroness Twycross confirmed that the government will introduce stake limits for online slots, a higher-risk gambling product associated with large losses, long sessions, and binge play. Stake limits will be set at £5 per spin for adults aged 25 and over and £2 per spin for 18-24-year-olds. This measure follows previous changes to slots game design which have been in place since 2021, which include slowing down the speed of play and banning autoplay features.

We shall keep you updated.