The U.K. government will restrict betting on online slot games to a maximum of £5 per spin as part of its efforts to combat problem gambling, BBC News reports. The limit will apply to all adults aged 25 and over, while 18- to 24-year-olds will face a tighter limit of £2 per spin.
At the same time, the Department for Culture, Media and Sport (DCMS) is increasing taxes on gambling companies to raise additional funds for the National Health Service's (NHS) gambling addiction treatment. The new mandatory levy will require gambling firms to contribute between 0.1% and 1.1% of their gross gambling yields, which is expected to generate £100 million. The funds will be allocated to NHS care (50%), prevention measures like public health campaigns (30%), and research (20%).
“The introduction of the first legally mandated levy will be instrumental in supporting research, raising awareness, and reducing the stigma around gambling-related harm,” commented Gambling Minister Fiona Twycross.
“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.”
More funding for addiction treatment
The new levy replaces the current voluntary system in which gambling firms decide how much they contribute. Back in 2022, the Betting and Gaming Council (BGC), an industry lobby group, said a compulsory levy would be a big step backward in tackling problem gambling.
“We believe the current system is making good progress, and in any event, a blanket levy would not raise materially more money for RET,” former BGC chairman Brigid Simmonds said at the time. “But it would disproportionately hammer casinos and bingo halls, where a one percent hit on turnover equates to a 10 percent hit on profits.”
While the BGC says it has given £170 million toward gambling harm services over the past four years, the government said that not all gambling companies have been contributing equally under the current system, "with some operators paying as little as £1 a year towards research, prevention and treatment.”
Problem gambling referrals have more than doubled year-on-year
Meanwhile, recent figures from the NHS have shown that problem gambling has more than doubled compared to the same period last year. Data from U.K. charity GamCare also revealed a rise in addiction to online slots since the COVID-19 pandemic.
In 2020-21, 34% of National Gambling Helpline callers mentioned problems with online slots. By 2023-24, this figure increased to 45%.
The Deputy Chief Executive of GamCare, Mark Weiss, welcomed the new proposals.
"Having witnessed a steep rise in our helpline callers citing difficulties with online slots, GamCare further welcomes the introduction of new youth-focussed stake limits - an important step in preventing future harm,” he said.
Earlier this year, the BGC teamed up with the American Gaming Association (AGA) and the European Casino Association (ECA) to address challenges in the global gaming industry, including responsible gaming.
“The industry also proactively invests hundreds of millions of dollars more to ensure our customers have the tools, knowledge and safeguards to play responsibly,” commented Joe Maloney from the AGA.