Govt urged: take 5 per cent of gambling industry profits to help those harmed

The government should raise an annual 5% levy on betting industry profits and use the money to address gambling harms, CARE has said.

Our call comes after reports yesterday suggested a statutory levy is "likely" to be announced by ministers as part of coming reforms.

At present, betting companies must make an annual contribution to "one or more organisation(s) which deliver research, harm prevention and treatment for those harmed by gambling".

However, money given by the industry falls far below what is needed to help all those affected by harmful gambling, and NHS addiction services refuse to accept gambling industry money for ethical reasons.

Tim Cairns, CARE’s gambling policy lead, commented:

“The gambling industry boasts profits of almost £15 billion per annum from British punters. These profits come at a high cost to the public. Gambling addiction shatters individuals, families, and communities. Tragically, there is one gambling-related suicide every single day. It is past time big betting was made to pay. Under current rules, betting companies make voluntary contributions towards addressing gambling harms. But these contributions are woefully inadequate.

“In 2019 the gambling industry upped voluntary contributions to offer £110 million for counselling and support services by 2024. This payment isn’t even a drop in the ocean of what is required to help those affected. It is estimated that treatment for gambling harm costs about £600 per person per year. In the whole of the UK there is about 400,000 people who need help. That means £240 million is needed per year to treat the harm the industry causes.

“It is time for a substantial, compulsory levy to be placed on gambling companies. Money from this can go to services that free people from the chains of addiction, and research to better understand and prevent problem gambling. To meet demand, a levy of around 5% per annum is required. The industry has caused the problems we are seeing in society, and it is time it was forced to take responsibility. We call for bold action from ministers, for the sake of the vulnerable.”

The government is due to publish a long-delayed white paper on gambling law reform in the next month.

We are urging ministers to take forward a range of significant changes to legislation that put people first.

Curbs on industry advertising, and greater accountability can help turn the tide of endemic gambling-related harm.