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Gambling Commission Allocates Settlement Funds to Consolidated Fund

by Sienna Marques
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Gambling Commission Allocates Settlement Funds to Consolidated Fund

The Gambling Commission has announced that money gathered from regulatory settlements will now go into the government’s consolidated fund, allowing the administration to decide whether to allocate these resources to addressing gambling-related harm or to other uses. This announcement was made in an update on Wednesday following a public consultation, which raised concerns among stakeholders about how the funds would be utilized if removed from the gambling sector.

In the past, funds resulting from settlements between license holders and the commission were directed to GambleAware, which managed projects aimed at researching problem gambling. However, that charity halted its operations in March after the introduction of the Statutory Levy.

The levy mandates industry contributions for research and preventative measures concerning gambling-related harm, with the funds now administered by the government's Office for Health Improvement and Disparities (OHID).

During the consultation period, which concluded in April, the commission sought feedback on whether settlement funds should be diverted to the consolidated fund. The commission received 28 responses from a range of stakeholders, including operators, trade associations, charities focused on gambling harms, and the general public.

The results revealed that half of the respondents disapproved of the Gambling Commission's proposal, fearing that the funds would abandon the gambling ecosystem and be utilized for non-gambling governmental priorities. "There was a belief that without this connection, regulatory settlements would no longer act as a deterrent," stated the Gambling Commission in its consultation review.

Some participants suggested that regulatory settlements should still contribute to the overall levy pool, to be utilized by bodies responsible for distributing the levy funds. Conversely, others advocated for a more flexible funding approach that could benefit smaller non-profit organizations that might not have direct access to levy funding.

The regulator acknowledged that its decision to allocate funds to the Consolidated Fund may prove unpopular, particularly among those who had previously received regulatory settlement funding. In its report, the commission noted, "Despite the lack of overall support for the proposal, given the limited alternative options available to us, we still believe that in the absence of a central body to coordinate the use of regulatory settlement funds, sending them to the Consolidated Fund remains our only viable choice."

The Commission is confident that the Statutory Levy will provide sufficient resources to create a sustainable and fair funding model for the research, prevention, and treatment of gambling-related harm.

Typically, money from the Consolidated Fund supports public expenditures, including the financing of everyday public services, government departmental operations, and servicing the national debt.

There has been considerable criticism within the sector regarding the OHID's planning for the distribution of levy funds, with a strong emphasis on redirecting funds to entities outside the gambling industry.

Concerns were also raised during a parliamentary health committee session in April 2025, where researchers highlighted potential industry influence over the allocation of previously disbursed funds, which came before the Statutory Levy took effect later that year.

A report released by the Department for Digital, Culture, Media and Sport (DCMS) in December noted that approximately 50% of levy funds would be allocated to treatment, 30% to prevention, and 20% to research.

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