The Gambling Commission's latest industry report covering the fiscal year from April 2025 to March 2026 reveals a 4.4% rise in gross gambling yield (GGY), now totaling £17.5 billion. This increase is primarily fueled by remote gambling activities, while physical gambling venues are experiencing a decline, reflecting changes in consumer behavior and the overall market landscape.
When excluding lottery-related activities, the GGY rises to £13.2 billion, demonstrating a year-on-year improvement of 4.7%. Remote casino, sports betting, and bingo are the leading contributors, together yielding £8.3 billion in GGY, which represents a significant 6.9% annual increase and makes up around 63% of the non-lottery sector yield.
The online casino segment alone reached £5.7 billion, with £4.8 billion generated from slot games. Betting activities brought in £2.4 billion, predominantly from football at £1.2 billion and horse racing at £769.3 million, while remote bingo contributed £147.8 million to GGY.
Data from January to March 2026 corroborates this upward trend, showing online gambling platforms generated £2.2 billion, with remote casinos alone accounting for £1.5 billion or 68.3% of the total for that period.
In Q1 of 2026, total GGY including lotteries was £4.4 billion; excluding lotteries, it stood at £3.4 billion. As of March 31, 2026, there were 2,154 licensed gambling operators, a slight decrease of 1.1% from the previous year, while the count of separately licensed gambling activities rose by 0.4% to 3,097.
On the other hand, land-based gambling, which includes adult gaming centers (AGCs), betting shops, bingo halls, and casinos, generated £4.9 billion in GGY, marking a modest increase of 1.1% year-over-year. However, there has been a contraction in the physical gambling market, with licensed premises falling by 2% to 8,081. Betting shops declined for the twelfth consecutive period, with their numbers down to 5,617, reflecting a 3.6% decrease that translates into a loss of 208 shops since last year.
Major retail operators like William Hill and Betfred have closed numerous locations, which contributed to the non-remote betting GGY of £2.4 billion, a drop of 3.3%. Non-remote casinos posted £933.9 million (up 0.4%), and non-remote bingo reached £703.8 million (up 8.2%). Meanwhile, gaming machines in arcades generated £800.1 million (up 10.7%), primarily from AGCs, which contributed £761.4 million (up 11.3%). Overall, gaming machines accounted for £2.7 billion of GGY, reflecting a 4.3% increase. The number of gaming machines in licensed locations stood at 191,804 in the last quarter.
In light of these developments, Prime Minister Andy Burnham has proposed measures to repeal the existing 'aim to permit' rule for betting shops and 24-hour slot machine arcades throughout Great Britain. This change would necessitate planning approval for AGCs in England that provide continuous access to gambling machines. Additionally, the Prime Minister is considering raising the tax on gaming machines in the UK, a move that could be included in the upcoming autumn budget.
Sales from the National Lottery amounted to £7.9 billion, reflecting a 0.9% increase, while prize payouts slightly decreased by 0.6% to £4.5 billion. Contributions to charitable causes grew by 2.8%, estimated between £1.6 billion and £1.7 billion. Furthermore, large society lotteries saw ticket sales rise 5.7% (£1.2 billion), with a 6.1% increase in prizes totaling £335.6 million and contributions up 2.8% (£498.5 million).
The Gambling Commission's annual Gambling Survey for Great Britain indicated stable participation rates among the 5,277 adults surveyed from January to May 2026. Approximately 49% reported gambling in the previous month, a consistent figure from past years. When excluding only lottery players, participation drops to 28%, suggesting that those who only engage in lottery activities make up about 21% of the adult population. Online gambling participation was reported at 39% (16% excluding lottery-only players), while in-person gambling accounted for 29% (18% excluding lottery-only players). The most common non-lottery activities included scratchcards (13%), betting (10%), and online instant win games (8%). Gambling participation among men skewed higher, with 16% participating in betting compared to 4% of women. The highest overall participation rates were found in the 45 to 64 age group (56%-59%), while the 35 to 44 age group had the highest rates when excluding lottery players (35%). Respondents indicated they primarily gamble for the chance of a large win and entertainment, with 42% expressing positive sentiments about their most recent gambling spends.
