Gambling Commission Licence Fees to Increase by 25 Percent – The Betting and Gaming Council (BGC) has warned of mounting financial pressures on the industry following news that Gambling Commission licence fees will rise by 25 percent on average, effective October 1. These changes are a result of a Department for Culture, Media and Sport (DCMS) consultation.
What Happened
Licence fees paid by operators to fund the Gambling Commission are set to increase by a headline 25 percent, coming into force from October 1 through secondary legislation, according to Racing Post. This decision follows a consultation conducted by the Department for Culture, Media and Sport (DCMS) earlier this year, as reported by Racing Post.
While the overall increase in licence fees will be 25 percent, the specific changes to fees will vary depending on the type of operating licence, Racing Post stated. The DCMS has indicated that over 1,100 smaller operators, those generating less than £10 million in annual gross gambling yield (GGY), are expected to see a reduction in their fees in cash terms. On-course bookmakers will also experience a different fee structure, with their fees no longer based on the number of days of operation but instead determined by their GGY, according to the DCMS.
Key Details
- Overall licence fees are set to rise by a headline 25 per cent, effective October 1, according to Racing Post.
- The changes will be implemented through secondary legislation following a DCMS consultation, Racing Post reported.
- More than 1,100 smaller operators with less than £10 million in annual GGY will reportedly receive a fee reduction in cash terms, according to the DCMS.
- On-course bookmaker fees will shift from being linked to operating days to being determined by GGY, as stated by the DCMS.
- The Gambling Commission’s annual income, excluding National Lottery regulation, reached £27.9m, according to Racing Post.
- The DCMS attributed the fee increase to increased investment by the regulator in areas such as tackling the black market and implementing 2023 gambling white paper reforms, as well as inflationary pressures, Racing Post reported.
- The Gambling Commission had been operating with successive annual budget deficits and eroding its financial reserves, which would have been exhausted in the current financial year without a fee increase, according to the DCMS as cited by Racing Post.
Why It Matters
The BGC has expressed concerns that these increases will add to existing financial pressures on the regulated betting and gaming sector, according to Racing Post. A spokesperson for the BGC stated that it is crucial these additional costs, following recent tax rises and the introduction of the statutory levy, do not impede investment or create job losses. The BGC also highlighted the risk that increased costs could inadvertently benefit illegal gambling operators, who operate without tax obligations or the consumer protections found in the regulated sector, Racing Post reported.
The BGC spokesperson emphasized the importance of accountability, transparency, and efficiency from the regulator to match any fee increase, coupled with a continued focus on evidence-led regulation that protects consumers, according to Racing Post. The Gambling Commission, for its part, stated that the consultation findings provide certainty on its future income for the coming years, Racing Post reported.
Originally reported by: Racing Post. Published: 7/1/2026, 4:01:49 PM.