The move has come after technological developments in recent years have paved the way for a dramatic shift in the ways people gamble.

Gambling has moved away from betting shops and casinos to people being able to play any time, anywhere on their phones, leading to a significant increase in online gambling behaviour.

Online stake limits

The gambling minister, Fiona Twycross, said online slots were a higher-risk gambling product associated with large losses, long sessions, and binge play.

New rules will limit stakes to £5 per spin for adults aged 25 and over, and £2 per spin for 18-24-year-olds.

The age bands have been introduced after evidence from the Office for Health Improvement and Disparities and the Gambling Survey for Great Britain shows young adults can be particularly vulnerable to gambling-related harm.

Under-25s had one of the highest proportion of respondents scoring eight or more on the Problem Gambling Severity Index (PGSI) of any age group.

Statutory levy

The Government will also bring forward a statutory levy on gambling operators to generate £100m for the research, prevention and treatment of gambling harms. Half of the funding will directly benefit NHS-led gambling treatment.

The landmark levy will be charged to all licensed operators and will guarantee increased, ring-fenced and consistent funding to prevent and tackle gambling harm.

Under the current voluntary system, not all gambling companies contribute equally, with some operators paying as little as £1 per year towards research, prevention and treatment. The new mandatory levy will ensure all operators contribute a fair share.

Gambling ‘can ruin people’s finances’

Twycross said: “Gambling harm can ruin people’s finances, relationships, and ultimately lives. We are absolutely committed to implementing strengthened measures for those at risk, as well as 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.

“We are also helping to protect those at risk, with a particular focus on young adults, by introducing stake limits for online slots. These measures will help build an NHS fit for our future and strengthen protections whilst also allowing people to continue to gamble safely.”

Prevention and treatment

From October 2023 to January 2024, the Government sought views from clinicians, academics, the industry and the wider public on how the levy should be designed and implemented.

In its response to this consultation, the Government has confirmed half of all funding generated will be directed to NHS England and appropriate bodies in Scotland and Wales to develop a comprehensive support and treatment system.

Prevention is a crucial part of the Government’s efforts to tackle gambling harm. Nearly a third (30%) of levy funding will go towards investment in this area, which could include measures such as national public health campaigns and training for frontline staff.

The remaining 20% of funding will be directed to UK Research and Innovation (UKRI) and the Gambling Commission to develop bespoke research programmes on gambling, undertaking vital research to inform future policy and regulation.

Claire Murdoch, the NHS’ national director for mental health, said: “Problem gambling can completely ruin lives, and the issue has skyrocketed, with NHS services treating record numbers and our latest data showing a staggering 129% increase in service referrals compared with the same period last year.

“I am delighted to welcome this commitment to a mandatory gambling levy, which the NHS, bereaved families and the voluntary sector have been calling for so we can treat this growing problem – and we will continue to work with Government to do all we can to protect problem gamblers from this billion-pound industry.”