UK Gambling Commission Introduces New Rules on Deposits, Player Funds, and Levy

The UK Gambling Commission (UKGC) has unveiled new regulatory measures set to take effect by October. These changes, driven by the Gambling Act review white paper published in April 2023, focus on deposit limits, transparency in player funds, and a statutory levy for operators.

One major update requires all licensed operators to implement mandatory deposit limit prompts for first-time depositors starting 31 October. While some operators already use this feature, the UKGC’s mandate ensures uniformity across the industry. Players must also have the option to review and adjust their limits. Additionally, operators will need to remind customers every six months to reassess their account details and spending patterns.

“These rules will take good practice already offered by some operators and expand that so customers can expect the same standards across the industry,” the UKGC stated.

Clarifying the Statutory Levy

Following confusion around the statutory levy introduced in November, the Commission has clarified its expectations. Under this requirement, licensed gambling businesses must contribute between 0.1% and 1.1% of their gross gambling yield (GGY). The rate depends on the gambling sector, vertical, and risk profile of the products offered.

To avoid redundancy, the UKGC will eliminate its existing requirement for operators to make voluntary contributions to research, prevention, and treatment organizations. Instead, the statutory levy will provide structured financial support for gambling-related harm initiatives. The levy’s implementation date is unconfirmed, but it is expected to take effect from 6 April.

The UKGC is also strengthening consumer awareness regarding the protection of player funds. Licensed operators must disclose whether player funds are safeguarded in case of insolvency. This includes specifying the level of protection using clear categories: ‘not protected – no segregation,’ ‘not protected – segregation of customer funds,’ ‘medium protection,’ or ‘high protection.’

From 31 October, operators holding funds under the ‘not protected’ category must notify customers every six months about the lack of financial safeguards.

“While there is no legal duty on gambling operators to protect customers’ funds in the event of insolvency, many of them do so voluntarily,” the Commission noted. “The changes will help consumers understand which operators protect their funds and which do not.”

Tim Miller, executive director for research and policy at the UKGC, emphasized that these changes align with the regulator’s goal of consumer protection.

“These changes illustrate our commitment to ensuring gambling is fair and open by improving consumer empowerment and choice,” he said. “[They] will help consumers decide on deposit limits, enable them to keep track of their spending, and ensure they are fully aware of what happens to their funds should an operator become insolvent.”

The UKGC continues to implement additional white paper recommendations, reinforcing responsible gambling practices across the industry.