UK Government Finalises Gambling Commission Funding Through Licence Fee Adjustments

The Department for Culture, Media and Sport released its formal response to the January through March 2026 consultation on Gambling Commission funding, and this document sets out a headline 25% increase for most operating licence fees together with a flat 25% rise across personal licence fees.

These adjustments take effect on 1 October 2026 through secondary legislation, while society lotteries remain exempt from any fee change and keep their existing rates frozen.

Details of the Confirmed Fee Structure

Operating licence holders across the majority of categories face the 25% uplift, yet the government has preserved the current fee levels for society lotteries as a deliberate policy choice that shields those operators from additional costs during the same period. Personal licence fees move upward by exactly 25% across the board, which creates a uniform adjustment rather than category-specific variations.

Secondary legislation will embed these new rates into the regulatory framework, and the timeline allows operators several months to prepare internal budgets before the October implementation date arrives.

Consultation Background and Process

The consultation ran from January to March 2026 and gathered views from industry participants, regulatory bodies and other stakeholders on how best to secure sustainable funding for the Gambling Commission. After reviewing the submitted responses the Department for Culture, Media and Sport published its conclusions, which endorse the proposed increases while incorporating the specific exemption for society lotteries.

Officials framed the exercise as a necessary step to maintain the regulator's operational capacity amid ongoing wider reforms to the gambling sector, and the published outcome document records both the headline changes and the rationale behind the selective freeze on certain fees.

Implementation Timeline and Legislative Route

From July 2026 onward, operators and licence applicants will begin to see communications about the forthcoming changes, although the actual fee schedule only shifts on 1 October 2026. Secondary legislation provides the legal mechanism, which means the adjustments do not require a fresh primary Act of Parliament and can be enacted through the standard affirmative or negative resolution procedures depending on the precise statutory instrument chosen.

This route keeps the process streamlined while still giving Parliament an opportunity to scrutinise the final statutory instrument before it becomes law.

Objectives Behind the Funding Adjustment

The government states that the revised fee levels will deliver sustainable funding for the Gambling Commission at a time when the regulator faces expanded responsibilities linked to broader gambling reforms. Data from the consultation outcome shows that current fee income has not kept pace with operational demands, and the 25% adjustment aims to close that gap without introducing new categories of charges.

By maintaining frozen fees for society lotteries the policy also preserves a long-standing distinction in how different licence types contribute to regulatory costs, a distinction that consultation respondents highlighted as important to retain.

Scope of Affected Licence Categories

Most operating licence types fall under the 25% increase, which covers remote and non-remote casino, betting and gaming licences as well as ancillary permissions. Personal licences, which authorise individuals to perform specified functions within licensed businesses, move up by the same percentage across all bands.

Because the increase applies uniformly to personal licences, both new applicants and those renewing existing credentials encounter the same proportional change once the October date passes.

Regulatory Context and Funding Sustainability

The Gambling Commission operates as the primary body responsible for licensing, compliance and enforcement across the British gambling market. Its funding model relies predominantly on fees paid by licence holders, and the latest adjustment represents the first broad-based revision since the previous schedule was set.

According to the government response, the revised income stream supports continued delivery of core functions while the wider reform programme progresses through its implementation phases.

Conclusion

The Department for Culture, Media and Sport has now concluded the consultation process and locked in the fee changes that begin on 1 October 2026. Operators across most licence categories will see a 25% rise, society lotteries retain their current rates, and personal licence fees increase by the same margin through secondary legislation. These measures address the regulator's funding requirements during a period of continued sector reform.