The UK Government has announced the implementation of a statutory levy on funding of research, education, and treatment (RET) of gambling harms and online stake limits as a new player protection.
Stemming from the Gambling Review White Paper, the DCMS confirmed the introduction of online slot stake limits of £5 for those aged over 25 and £2 for young adults aged 18 to 24.
DCMS Gambling Minister Baroness Twycross stated: “The introduction of the first legally mandated levy will be instrumental in supporting research, raising awareness, and reducing the stigma around gambling-related harm.
Within those proposals, Twycross continued: “We are also helping to protect those at risk, with a particular focus on young adults, by introducing stake limits for online slots.
“These measures will help build an NHS fit for our future and strengthen protections, whilst also allowing people to continue to gamble safely.”
Having been approved in February, the limits began rolling out in September under secondary legislation, with operators given six weeks to comply with the new rules.
This period was followed by an additional six weeks to implement technical solutions ensuring full compliance with the reduced £2 stake limit for young adults aged 18 to 24.
The transition period for implementing £5 and £2 stake limits on online slots concludes at the end of November.
DCMS defends stake limits as critical protection for customers engaging with online slots, identified as a high-risk gambling product.
Research from the Office for Health Improvement and Disparities and the Gambling Survey for Great Britain highlights that those under 25 are among the most vulnerable, with some of the highest rates of problem gambling within their age group.
The proposed online stake limits build upon previous measures introduced in 2021, which included slowing down play speed and banning autoplay features in a bid to reduce play intensity and give players greater awareness of their gambling behaviour.
Additionally, the DCMS confirmed the final design for the RET Levy as a statutory measure to ensure £100 million in annual funding for organisations, projects, and initiatives supporting the treatment and prevention of problem gambling. The NHS will be positioned as the chief commissioner of RET services.
The RET Levy will be applied as a percentage of Gross Gambling Yield (GGY) or its equivalent, with rates varying by sector and activity. Online operators will be required to donate 1.1%, while 1.1% will also be received from all software licences.
DCMS concluded: “Technological developments in recent years have dramatically changed the way people gamble. Gambling has shifted from betting shops and casinos to online platforms, enabling play anywhere, anytime, on mobile devices, and leading to a significant rise in online gambling behaviour.
“The levy and online slot stake limits announced today complement a series of major reforms introduced by the government and the Gambling Commission to make gambling safer in an age of technological advances. These include financial risk checks to detect risky behaviour and stricter marketing controls.”
Click here to take a deeper dive into the actions taken by the DCMS to increase the UK’s protection of players and gain further insights into the structure of the RET Levy.