GambleAware Ceases Operations After Statutory Levy Implementation

GambleAware has officially ceased operations, with work that was historically carried out by the charity transitioning to the government and new commissioners across England, Scotland and Wales.

GambleAware was founded in 2002 and previously managed a voluntary funding system for gambling research, education and treatment, ahead of the recent transition to a statutory levy.

The statutory levy is being managed by NHS England, the Office for Health Improvement and Disparities (OHID) and UK Research and Innovation (UKRI).

GambleAware called for transition

The managed closure of GambleAware was announced last July, three months after the statutory levy was first implemented. GambleAware had been calling for the creation of a statutory, government-led system, funded by a levy which embedded gambling harm alongside other health priorities, since 2017.

When announcing the managed closure of GambleAware, its then chief executive Andy Boucher said:

“We have advocated for the introduction of a statutory system for many years. We are proud of our contribution to its implementation. Alongside this, we are also proud of the impact GambleAware’s prevention and treatment activity has had in supporting tens of thousands of people over the years.”

The lowdown on the statutory levy

The statutory levy was first implemented on April 6 last year and was one of the standout proposals from the government’s 2023 Gambling White Paper. The levy requires all licensed operators to pay a percentage of their gross gambling yield to contribute towards efforts to treat and prevent gambling harm. The rate ranges from 0.1% to 1.1%, dependent on the specific gambling-related activity.

In its first year in operation, the levy raised approximately £120 million for research, prevention and treatment in Great Britain. However, the Gambling Lived Experience Network (GLEN) recently criticised the process of distributing prevention funding generated by the levy, after interested parties were given just 13 days’ notice of their funding before it was due to start being used.

Gambling Levy Transition Fund

Last week, the UK’s Department for Culture, Media and Sport (DCMS) announced it will make grant funding available to organisations during a transitional period for organisations moving to funding from the statutory levy from the previous voluntary funding system.

The Gambling Levy Transition Fund will be received by organisations delivering the prevention or treatment of gambling harm, which will be supplied for three months from today (April 1).

The distribution of the funding is broken down into three areas. A total of 50% of the funds will go towards treatment and support services; 30% will fund prevention or treatment of gambling harm, managed by OHID; the remaining 20% of funds will go to UKRI.

New tax in place from today

This is a transformative week for the UK gambling industry. From today (Wednesday), remote gaming duty, paid on online casino bets, will increase from 21% of gross gaming yield (GGY) to 40%.

There will also be a rise in general betting duty, which will go up from 15% of GGY to 25% in April 2027; bets on horseracing will be exempt from this.

The increased online taxes has led to a lot of uncertainty about the future of the industry, and in particular how the increased online costs will impact retail operations. Evoke, parent company of William Hill, is reportedly set to close around 200 betting shops from May onwards, with the tax increases being one of the main reasons behind the decision.