The UK Gambling Commission has confirmed that future regulatory settlement payments made by gambling operators will be transferred directly to the government’s Consolidated Fund, ending the long-standing practice of directing these sums toward gambling harm projects through charities such as GambleAware.
The change follows an eight-week public consultation launched in February 2026, after the introduction of the statutory gambling levy fundamentally changed how research, prevention and treatment of gambling-related harm are funded. The revised policy took effect immediately on 22 July and applies to all regulatory settlements finalised from that date onwards that include payments made instead of financial penalties.
Regulatory settlements remain a key enforcement tool for the Gambling Commission, allowing cases to be resolved without completing a full licence review or enabling investigations to conclude more quickly while still holding operators accountable. Unlike statutory financial penalties, however, settlement payments had previously been directed to socially responsible causes, with GambleAware serving as the default recipient.
That approach became outdated after GambleAware ceased operations on 31 March 2026 and the statutory gambling levy came into force in April 2025. The levy now raises around £100 million each year to fund gambling harm research, prevention and treatment through government-appointed commissioning bodies.
During the consultation, the Commission received 28 responses from gambling businesses, charities, trade bodies and members of the public. Industry representatives largely supported transferring settlement funds to the Consolidated Fund, arguing it was the only practical solution in the absence of a dedicated organisation capable of managing the money.
Charities and some other respondents opposed the proposal, warning that the funds could ultimately be spent on wider government priorities rather than gambling harm initiatives. They also argued the move weakens the long-standing “polluter pays” principle, under which enforcement payments directly supported projects addressing gambling-related harm.
The Commission acknowledged those concerns but concluded that no viable alternative currently exists. It said discussions with the Department for Culture, Media and Sport (DCMS), UK Research and Innovation (UKRI), the Office for Health Improvement and Disparities (OHID), NHS England, and the Scottish and Welsh governments found that integrating unpredictable regulatory settlement funds into the statutory levy system would create unnecessary complexity and duplication.
As a result, future settlement payments will now follow the same destination as formal financial penalties under the Gambling Act 2005, with the UK Government deciding how any money received through the Consolidated Fund is ultimately used. The Gambling Commission stressed that regulatory settlements were never intended to form part of the long-term funding model for gambling harm services, a role now fulfilled by the statutory levy.