Parliamentary Under-Secretary of State for Sport, Tourism,
Heritage and Civil Society (): I wish to inform the House
that His Majesty’s Government has today published the Public
Consultation entitled ‘Consultation on the structure,
distribution and governance of the statutory levy’.
Following the Government’s review of the Gambling Act 2005, the
gambling white paper published in April 2023 outlined a
comprehensive package of measures to introduce robust new
protections against gambling-related harm. One of the key
proposals in the white paper was the introduction of a statutory
levy, replacing the system of voluntary contributions.
We have welcomed the contributions that industry has made to
research, prevention and treatment since the introduction of the
Gambling Act. However, we recognise that funding is not the only
requirement for effective research, prevention and treatment
arrangements and this alone will not achieve our objective for a
system which is equitable, ensures a high degree of long-term
funding certainty and guarantees independence. Issues surrounding
the independence of the funding has resulted in the NHS ending
all arrangements with organisations in receipt of direct funds
from operators, creating a barrier to robust integration between
NHS and third sector services. Some researchers have also refused
this funding given its source and for fear of being compromised
or lobbied by the gambling industry.
We committed to addressing these issues by introducing a
statutory levy via secondary legislation to ensure independent,
long-term and trusted funding for research, prevention and
treatment, with appropriate government oversight. This is in line
with the government's objective of protecting people from
gambling-related harm and ensuring that sufficient funding is
being effectively directed where it is needed most. The levy will
be paid by gambling operators and collected and administered by
the Gambling Commission, with spending decisions approved by DCMS
and HM Treasury, putting the independence of funding beyond
absolute doubt and guaranteeing sufficient funding where it is
needed most.
Today, we have launched a public consultation setting out the
Government’s proposals in these areas as follows:
- Structure: we propose that online operators pay the levy at a
higher rate than land-based operators. In line with the white
paper, our proposals have taken into account evidence of the
differing association of different sectors with harm and/or their
differing fixed costs to ensure that rates are fairly and
proportionately set, while raising sufficient funding for key
projects and services. We expect that the levy will raise
c.£90m-£100m per year when fully in force.
- Distribution: we propose that c.10-20% of levy funding should
be directed each year to UK Research and Innovation (UKRI), the
umbrella body for UK research councils, as part of a new,
multidisciplinary Gambling Research Programme; 15-30% should be
used to fund a programme of prevention and education to raise
awareness of gambling harms across Great Britain; and 40-60%
should be directed to the NHS to improve and expand treatment
commissioning for gambling addiction across the full treatment
pathway.
- Governance: we propose that a Statutory Levy Board and
separate Advisory Group are established to ensure appropriate
government oversight of the levy system, as well as creating a
forum for sector experts across public health, academia and
charities to inform funding priorities.
We recognise that the statutory levy represents a generational
change to funding arrangements for research, prevention and
treatment and that there are complexities around the transition
to this new system. We want to provide clarity for the sector as
quickly and as transparently as possible while providing adequate
detail and time for respondents to give considered views.
The purpose of this consultation is to ensure that the Government
is able to consider the best available evidence when finalising
policy decisions. The views and evidence of respondents will
inform the Government’s approach to implementing this landmark
reform to the funding arrangements for research, prevention and
treatment in an effective, evidence-led and proportionate way.
The consultation will be open for 8 weeks, closing on 14
December. Subject to the outcome of the consultation, the
Government will then publish a formal response to set out our
decision and reasoning before implementing the changes via
secondary legislation.
The Government’s ambition has been, and will continue to be, to
ensure that people across our country can access trusted, quality
information, support and treatment when it comes to
gambling-related harms, and that the Government and the Gambling
Commission has access to timely, independent research to inform
policy and regulation. The publication of this consultation shows
our commitment to this ambition and progress towards developing a
sustainable and world-leading system for research, prevention and
treatment.
We absolutely want those who enjoy gambling without coming to
harm to continue to do so. However, tackling gambling-related
harm is a top priority for the Government and raising
independent, trusted and sustainable funding for research,
prevention and treatment of gambling-related harms is a crucial
component of a regulatory framework which aims to prevent harm
before it occurs, while ensuring people can access the help they
need if and when they need it.
Consultation on the
structure, distribution and governance of the statutory levy on
gambling operators
