Conservatives Vote Against Statutory Gambling Levy Proposed by Government

Posted by author January 30, 2025 Gambling

Conservative MPs voted against the Government’s plan to introduce a statutory levy on gambling operators.

The UK government proposed that the new statutory levy system would generate up to £100 million towards anti-gambling initiatives, with half of the funding going towards NHS gambling treatment schemes.

Baroness Twycross, minister for gambling, said: “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.”

The plan also states that it will establish online slot stake limits, with £5 for those over 25 and £2 for those aged 18 to 24.

The proposal passed the House of Commons with an 11-four vote in favor of the scheme, and a review by the House of Lords is underway. However the UK Gambling Commission has stated that all perspectives should be heard ahead of the levy rollout.

However, Conservatives voted against the plan, concerned that the money raised could jeopardize the financial security of high-street casinos and horseracing betting venues.

Louie French, the Shadow Sports Minister, has raised concerns about the potential impact of the government’s tax policy on the sector.

French said: “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.”

The Labour Party first conducted research on gambling effects from clinicians, academics, and industry experts in October 2023. It then introduced its proposed levy system on November 27, 2024.

50% of funding will go towards NHS England and similar bodies in both Scotland and Wales, bolstering efforts since the NHS first received distribution control as the central commissioner of gambling treatment in 2023.

30% of funds raised will be invested in preventative measures such as national public health campaigns such as the £32.8 million in funding granted to GambleAware.

The remaining 20% of the budget will go towards UK Research and Innovation (UKRI) and the Gambling Commission for further gambling research to inform future policies and regulations.

Should the levy system pass, holders of a gambling commission license will be charged at a set rate ranging from 0.1% to 1.1% of its respective gross gambling yield.

Stephanie Peacock, culture minister, said: “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.”

The UK government has stated that it will review the statutory levy system within five years of its implementation, with the first assessment expected to take place in 2030.