According to reports, Kier Starmer’s Labour government are set to move forward with a proposed £100m levy on the gambling industry. The levy was initially set out in the White Paper in May 2024 and received some backlash from the industry.
Tackling Gambling Harm
The statutory levy would see online gambling operators pay 1% of their gross gambling yield to help fund gambling care and research programs. Under the same proposal, land-based operators would be required to contribute 0.4%.
It is estimated that the introduction of this levy would raise around £100m, which it is said would be used to help fund gambling care initiatives in the UK.
As it stands, operators are only required to pay a voluntary levy. Analysis of the current situation showed that some operators were paying as little as £1 as a voluntary levy, which is something that has raised eyebrows.
While it is the new Labour government that will be enacting the levy, the issue was first proposed by the Conservative government in last year’s UK Gambling White Paper, which was published in an attempt to help reform the gambling industry in the UK for a new generation.
A Mixed Response
The response to the levy has been mixed. Some within the industry have argued that it will simply push operators away and that they will take their business to other, less-restrictive markets, while there has been praise from other corners.
GambleAware and NHS England both expressed their support when the announcement was made last year, while the Betting and Gaming Council has also publicly backed the initiative, believing that it will help promote responsible gambling.
This news comes less than a month after the publication of Rachel Reeves’ first budget as Chancellor. The first few months in parliament have certainly been tough for Kier Starmer’s cabinet, with a petition this week being signed by over 2 million people calling for a general election.
