UK Gov hands lifeline to charities in Statutory Levy fallout

Charities unsuccessful in gaining funding through the UK’s Statutory Levy for gambling harm treatment have been handed a lifeline by the UK Government.

The Department for Culture, Media and Sport has confirmed the creation of the Gambling Levy Transition Fund (GLTF) to provide three months of funding for organisations in a bid to ensure the continuation of problem gambling treatment.

“The statutory gambling levy represents a generational change to funding arrangements,” stated DCMS.

“Tight time frames for commissioning processes and decisions created the risk of a funding gap. This may have put vulnerable service users or beneficiary groups of organisations previously funded under the voluntary system at risk.”

Organisations will be eligible if they were using funding from the industry-funded voluntary system led by GambleAware between 1 April 2024 and 31 March 2026 and bid for funding from the gambling levy.

All funding from the GLTF will cover the period between 1 April and 30 June, and must be used for staffing and costs related to delivering services.

Funding will be capped at the pro rata value of no more than three months’ previous funding under the voluntary system. For example, a charity that received £120,000 annually will be eligible for up to £30,000 from the fund.

Charities have until 30 August to apply to the fund, and if successful, funding will be backdated to 1 April.

While news of the extra funding will be welcome, concerns remain over the long-term future of many of the charities that make up the third sector.

GambleAware, ahead at the end of March, warned that splitting the responsibility for commissioning treatment across relevant NHS authorities in England, Scotland and Wales risks harming the quality of care for users.

The charity’s legacy report stated: “As the system transitions, concerns about the potential loss of institutional knowledge and sectoral progress are rising. Alongside this, there is a concern that differences in local capacity could mean that the quality of services varies from place to place. Without deliberate action, these risks could erode progress made in prevention, early intervention, and equity of response.”

Overall, the Statutory Levy has generated £120m in funding in its first year, and it will be split across research, treatment and prevention.

The Office for Health Improvement and Disparities has been appointed as the main administrator of treatment and is in the process of distributing funds to successful applicants.