UK Government Moves Forward with Gambling Levy Despite Conservative Opposition
The UK government’s plan to introduce a statutory levy on gambling operators has passed its first parliamentary hurdle, despite opposition from Conservative MPs. The proposed levy aims to generate up to £100 million annually for gambling harm prevention and treatment, with 50% of funds allocated to the NHS.

Government Proposes New Gambling Levy
The UK government has proposed a statutory levy on gambling operators to fund harm prevention, research, and treatment. The plan passed the House of Commons with an 11-4 vote and now awaits review in the House of Lords. If approved, operators will pay between 0.1% and 1.1% of their gross gambling yield, depending on their market share.
Baroness Twycross, minister for gambling, emphasized the need for stronger protections.
“Gambling harm can ruin people’s finances, relationships, and ultimately lives. We are absolutely committed to implementing strengthened measures for those at risk and providing effective support for those affected. The introduction of the first legally mandated levy will be instrumental in supporting research, raising awareness, and reducing the stigma around gambling-related harm.”
How the Funds Will Be Used
The government plans to allocate the funds as follows:
- 50% to NHS England, Scotland, and Wales for gambling treatment
- 30% to public health campaigns
- 20% to UK Research and Innovation (UKRI) and the Gambling Commission for research
Since the NHS took control of gambling treatment funding in 2023, the new levy will significantly expand its efforts. Moreover, organizations such as GambleAware, which recently received £32.8 million for public health campaigns, are expected to benefit.
Conservative Opposition and Industry Concerns
Despite passing the initial vote, the levy has faced strong opposition from Conservative MPs. They argue that additional costs could harm smaller gambling operators, bingo halls, and racecourses.
Louie French, Shadow Sports Minister, warned about the financial impact.
“We all must be clear that these levies being discussed will further push up costs for businesses, severely restricting or even removing the viability of smaller gambling operators and important community assets such as bingo halls and racecourses across the country when Labour’s tax rises are taken as a whole.”
Furthermore, high-street casinos and horseracing venues also face uncertainty. Industry groups warn that added tax pressure could lead to job losses. Consequently, stakeholders fear that many gambling establishments will find it difficult to remain viable.
Additional Gambling Reforms
In addition to the levy, the government’s plan includes new stake limits for online slots. The proposed cap is £5 for players over 25 and £2 for those aged 18-24.
Stephanie Peacock, culture minister, acknowledged industry concerns.
“We’ve listened very carefully to the arguments made by the land-based sector, and we do understand the higher operating costs.
“We are keen to work with them and we are confident that this is evidence-led and this gets the balance right.”
Future Review of the Levy System
To ensure its effectiveness, the government will review the levy within five years of implementation. The first assessment is set for 2030. Additionally, the UK Gambling Commission has stated that all industry perspectives will be considered before the rollout.