UK gambling operators that reach regulatory settlements with the Gambling Commission will now see those payments go straight to the government’s Consolidated Fund, ending the old presumption that money in lieu of penalties would be routed to GambleAware. The change took effect immediately.
According to the Gambling Commission, the move amends section 2.39 of its Statement of Principles for Determining Financial Penalties. Regulatory settlements are an alternative enforcement tool, often involving payments in lieu of a financial penalty, and they can let the regulator and a licensee resolve a case more quickly without a formal licence review.
The new rule brings regulatory settlements into line with financial penalties, which already go to the Consolidated Fund. It also follows the statutory gambling levy, which came into force in April 2025, and GambleAware’s closure on 31 March 2026.
The settlement route had been developed before the levy existed. The commission said the money was never meant to become a core funding stream for gambling research, prevention and treatment, and that it had explored whether the funds could mirror levy arrangements before ruling that out as too complex and volatile.
That discussion involved DCMS and levy commissioning bodies including UK Research and Innovation, the Office for Health Improvement and Disparities, NHS England, and the Scottish and Welsh governments. The commission said a central body needed to decide how the money should be used and that sending it to the Consolidated Fund would avoid duplication with levy-funded work.
The levy itself raises about £100 million a year for research, prevention and treatment of gambling-related harm. Before the change, section 2.39 treated GambleAware as the default destination for payments in lieu of a financial penalty.
Next.io reported that more than half of the 28 consultation respondents disagreed with the proposal. Official consultation material also recorded objections that the money would leave the gambling ecosystem and that the 'polluter pays’ principle would be lost, while others said the Consolidated Fund was the only viable option because there was no other central body to receive and spend the funds.
