UK Gambling Commission Lays Out Guidelines for New Levies
The UK Gambling Commission (UKGC) has published detailed guidance for licensees on how the new Statutory Levy will be applied, setting payment rates between 0.1% and 1% of relevant revenue depending on the gambling activity. The levy, a central measure introduced under the Gambling Act Review, is designed to create a mandatory funding stream for research, education and treatment related to gambling harm.
LISTEN TO THIS ARTICLE:Under the new structure, the funds collected will be allocated across three areas. The National Health Service (NHS) will oversee the treatment side, including the commissioning of projects, while prevention and education will be managed by the Office for Health Improvement and Disparities (OHID).
Related: Brown Backs UK Gambling Tax Hike to Fight Child PovertyThe UK Research and Innovation agency (UKRI) will handle research responsibilities. Although NHS England has been chosen to supervise treatment commissioning, it is currently being phased out by government restructuring, but remains central to the initial rollout of the levy system.
The UKGC confirmed that operators’ annual contributions will be calculated using different formulas based on the category of business. For licensed B2C non-lottery operators, the levy amount is determined by stakes plus other income, minus prizes paid out. Other income includes competition entry fees, poker rake, tournament subscriptions and monetisation features within games.
For lottery operators, the levy is assessed on net income from ticket sales minus prizes paid. A separate calculation applies to society lotteries, where the levy is derived from fees earned from running lotteries for charities and good causes, minus prizes paid to partners.
The regulator has stated that if a company’s levy value for the relevant period is £10 or less, no payment will be required. Different operator categories have also been assigned different levy periods, with betting, casino and bingo operators beginning levy obligations on July 1, while society lotteries began on April 1. Invoices will be issued each year on 1 September based on the previous financial year’s performance, and operators will have until 1 October to complete payment.
The Department for Culture, Media and Sport (DCMS) has already updated license to reflect the statutory requirements, confirming the specified contribution rates. These range between 0.1% and 1.1%, depending on the license type.
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The UKGC will maintain oversight of the levy system as part of its regulatory responsibilities delegated by DCMS. It says this will ensure payments are collected and allocated in line with the objectives of the Gambling Act Review.
Payment will be made directly to the account listed on the invoice, and firms must use either bank transfer or GovPay. The Commission stressed that invoices must be paid in full, as instalments will not be accepted.
Companies are expected to quote the invoice number precisely and match the payment amount exactly to avoid rejection. Any error could result in the payment being considered invalid, potentially placing the operator’s licence at risk.
The Commission also confirmed that for the levy’s first year, operators will be issued a single invoice covering Great Britain activity, with a second invoice raised if non-GB operations are also reported. Failure to meet the deadline could result in licence suspension or revocation, unless the Commission accepts that a late payment was the result of administrative error.
With the first levy deadline approaching, operators are being urged to ensure they are compliant with the new requirements. The UKGC has reminded licensees to submit regulatory returns on time, verify that they can access the eServices portal, and confirm that contact information held by the regulator is up to date. These steps are considered essential for ensuring that levy invoices are received and paid correctly.
The regulator has indicated that additional guidance will be issued in the coming months to support gambling businesses in meeting the levy obligations.
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