The consultation will run to March 30. The Gambling Commission needs increased fees to fund its ongoing enforcement against the black market.
The United Kingdom’s DCMS (Department for Culture, Media and Sport) has announced a consultation on a potential increase in operator license fees. One approach under consideration includes a 30% uplift.
Officials launched the consultation on January 27. It will run until March 30. The Gambling Commission has invited stakeholders to submit their views. This includes operators, trade groups, consumer organizations, and local authorities, as well as the public.
The consultation includes three core options, each raising fees to some extent. The Gambling Commission says it needs the extra income to cover funding shortfalls and regulate the UK market effectively.
The consultation document states that since the last fee review in 2021, the commission has increased investment in tackling illegal gambling. It has also focused on implementing Gambling Act reforms and enhancing its data capabilities.
It also said that due to this investment and additional pressures like inflation, the commission has run successive annual budget deficits. These deficits have eroded its financial reserves.
Licensee fees differ depending on vertical, license type and the scale of a business in the United Kingdom. Annual operating fees are now based on turnover bands, and any increase will apply to each license holder’s existing fee.
Remote casino operators with yearly gross gaming yield of more than £1 billion now pay £793,729 yearly in license fees, plus £125,000 for each additional £500 million over the £1 billion mark. The same rate applies to both remote sports betting and bingo activities.
