The UK government is on the brink of making significant changes to its gambling laws. A new legislation is expected to grant local councils greater authority over licensing decisions. This would mark one of the most substantial changes to the sector since the Gambling Act 2005.
When speaking at the Institute of Licensing Gambling Conference, Ian Angus, Director of Policy at the UK Gambling Commission, expressed confidence that proposed reforms will pass through Parliament and become law.
A key part of these changes is the introduction of Gambling Impact Assessments, which is essentially a new tool designed to give local authorities more power over whether they would allow gambling venues to operate in their communities.
A Shift from ‘Aim to Permit’
Under current rules, councils operate under an “Aim to Permit” principle, which generally favours approving gambling licenses if applicants meet legal requirements. The proposed reforms, embedded within the English Devolution and Community Empowerment Bill, would allow councils to better consider and assess potential local harm.
GIAs would enable authorities to assess gambling-related risks in specific areas and potentially refuse new license applications based on evidence of social or economic harm. According to Angus, this represents a decisive move toward more locally driven decision-making.
“Government has committed to exploring how to give local authorities the power to carry out gambling impact assessments.”
He believes this reform and enhanced regulatory powers for tackling illegal UK online casinos are progressing through Parliament.
If enacted into law, the Gambling Commission will work alongside the Department for Digital, Culture, Media and Sport to develop detailed guidance for councils and stakeholders.
Building Political Momentum
The reforms reflect growing political frustration with the gambling industry. Dawn Butler, a prominent critic, has long advocated for overturning the “Aim to Permit” framework. Her stance has gained backing from figures including Alex Ballinger and Andy Burnham.
Prime Minister Keir Starmer previously pledged to give councils stronger control over the number and location of gambling outlets, which is a promise now moving closer to fulfilment.
The House of Lords’ approval of key amendments last month is widely seen as a victory for local authorities seeking greater oversight.
Crackdown on Illegal Gambling
Alongside licensing reforms, regulators are stepping up efforts to combat illegal gambling. The Gambling Commission has been allocated £26 million over the next three years, funded through a new tax regime, to expand enforcement activity.
Angus highlighted that, for the first time, resources will be directed toward tackling land-based illegal gambling, an area previously constrained by limited funding.
“We have always been a little hamstrung by the size of our resources. This will give us a capability to do a lot more,” he remarked.
The initiative complements broader government action, including a DCMS-led task force and consultations on banning unlicensed operators from sports sponsorships.
Tax Changes Reshape Industry
The regulatory push comes amid sweeping fiscal changes introduced by Chancellor Rachel Reeves. From April 2026, Remote Gaming Duty has nearly doubled from 21% to 40%, while further increases to betting duties are planned for 2027.
The Treasury expects the new regime to generate an additional £1 billion annually by the end of the decade.
However, the impact on the industry is already being felt. Major operators such as Flutter Entertainment, Entain, and Evoke have announced cost-cutting measures, including reductions in marketing spend.
Shop Closures Expected
Although retail betting has been partially shielded from tax increases, the broader financial pressure is expected to accelerate a decline in high street gambling venues.
Angus acknowledged that closures are likely, and a number of gambling locations will probably close down. He also shared that regulatory data over the coming year will provide a clearer picture.
Recent figures show there were over 8,200 gambling premises across Great Britain as of late 2025, including nearly 5,800 betting shops. While these numbers have remained relatively stable, industry trends suggest a gradual contraction.
Balancing Enjoyment and Harm
Despite the tightening regulatory environment, Angus emphasised that gambling remains a mainstream activity in the UK. According to the Commission’s Gambling Survey for Great Britain, 48% of adults participated in some form of gambling in the previous four weeks.
At the same time, 2.7% of respondents were identified as experiencing problem gambling, underscoring ongoing concerns about harm, particularly in economically vulnerable communities.
Entering a New Era for Gambling Regulation
As the legislation moves toward final approval, the UK appears poised to enter a new phase of gambling regulation, one defined by stronger local control, increased enforcement, and higher taxation.
For the UK Gambling Commission, the focus is still on collaboration.
“2026 sees a changing world. But we remain committed to working with partners to ensure gambling is safe, fair and crime-free,” Angus concluded.
If passed, the reforms will not only redefine the relationship between national regulators and local councils but could also reshape the physical and economic landscape of gambling across the UK.
