UK Statutory Levy Sparks Fears for Gambling Harm Charities

UK gambling harm charities are sounding the alarm as the nation rolled out its statutory levy for gambling research, prevention, and treatment. Even after operators paid their first levy contributions at the beginning of September, many organizations report that their funding has yet to reach them, while several warn that they may not survive to see the new funding system take shape.

Smaller Charities Could Be in Imminent Danger

The levy came into effect in September, requiring gambling companies to contribute to a central fund overseen by several government bodies, such as NHS England and the Office for Health Improvement and Disparities (OHID). The government hopes that this policy will introduce a fairer and more sustainable approach to preventing and treating gambling-related harm. 

However, already struggling to keep services running, warn that they may not survive the transition period. According to a recent report by news outlet NEXT.io, small charities are the most susceptible. The Alerts Group, a lived-experience charity, has already closed, while several others have curtailed services, laid off staff, or burned through their reserves.

As hurting charities turn to stopgap fundraising efforts, they are forced to divert their attention from their primary mission of helping consumers. Government officials had initially indicated that the money would be released in October. However, providers say they have received little clarity, with many fearing the funds could arrive as late as next year.

The Government Took Measures to Ease the Transition

The government points to the £32.8 million ($44.09 million) “System Stabilisation Fund,” set aside last year to smooth the transition from voluntary donations to a statutory scheme. GambleAware, which managed the fund, says it disbursed all available capital to frontline services, including the National Gambling Support Network. However, critics argue that the distribution was neither transparent nor sufficient.

Several charities allege they were excluded from funding because they were still relying on industry funding, while others claim that GambleAware has been sitting on funds. The organization, which is due to close in March 2026, strongly denies those claims. Smaller charities also fear that the stigma associated with industry money could prove to be a barrier to future funding as regulations get stricter. 

For many individual charities, the risks of financial sustainability are indeed grave, and some charities are facing difficult choices, including restructuring operations or services.

Mark Simms OBE, Charity Commission chair

With October just around the corner, uncertainty continues to cloud the sector. For individuals already struggling with gambling harm, the consequences of gaps in service provision could be severe. One senior charity leader described the atmosphere as painful and frustrating, noting that many people who have dedicated their lives to this work feel sidelined and betrayed.