The UK gambling sector has warned that it would redirect about 25% of the funds expected to go to a non-profit organisation working to tackle the harms caused by gambling.
Previously, the four biggest members of the Betting and Gaming Council (BGC) have promised to use
Normally, it is the charity organisation itself that chooses how contributions are spent to tackle gambling-related harm and whether that is on the treatment of British problem gamblers, or on research, education, and prevention of the negative impact that the local gambling sector has on individuals, families, and communities. In 2020, the Betting and Gaming Council made its last funding announcement and promised to use GambleAware as the major commissioner to spend a total of £100 million on projects it chose over a 4-year period to 2024.
Lately, the trade body representing the legal gambling industry in the UK explained that its position on the matter had not changed and the planned £100 million will be spent by 2024. Reportedly, sources familiar with the situation have revealed that the Betting and Gaming Council had significantly changed its plans for how further donations aimed at tackling problem gambling and gambling-related harm would be spent.
Betting and Gaming Council Supposed to Donate £100 Million to GambleAware to 2024
The revelations that the members of the Betting and Gaming Council would have the freedom to decide how to spend a quarter of the planned donations comes at a time when the UK Government is still expected to issue its white paper on gambling. People close to negotiations of the White Paper’s contents have revealed that the Prime Minister’s office is currently considering the introduction of a statutory levy in the sector – a move that is expected to force gambling companies to make certain donations to an independently-run central fund.
As previously reported by Casino Guardian, several months ago information emerged that the statutory levy was no longer officially available under former Prime Minister Liz Truss. However, new Prime Minister Rishi Sunak seems to be willing to take a stricter stance on the gambling industry, so he is now considering the addition of the measure, which is the reason for the latest delay of the much-awaited White Paper of the UK Government.
For the time being, the country’s gambling sector pays a voluntary levy that is aimed at funding research, education, prevention, and treatment of problem gambling in the UK. in fact, gambling licences are granted by the UK Gambling Commission (UKGC) under the condition of making an annual contribution to local charities, but the recommended rate of 0.1% of an operator’s gross gaming yield (GGY) had never been met. That has been exactly one of the reasons why various experts and anti-gambling campaigners have insisted on the implementation of a measure that would make sure that gambling operators would be required to make such contributions under the provisions of the law.
On the other hand, GambleAware has faced some criticism for being too close to the local gambling industry. According to campaigners, some of the charity organisation’s education programmes and initiatives have not portrayed the seriousness of the addictive nature of gambling products and the detrimental impact they may have on people’s lives. So far, GambleAware has been supporting the proposed statutory levy.
- Author
Olivia Cole
