UK Establishes Gambling Policy Commission to Review Fitness of 2005 Gambling Act

The UK has launched an independent review of the Gambling Act 2005 to determine whether the legislation remains fit for purpose more than 20 years after its introduction. The newly established Gambling Policy Commission (GPC) is gathering evidence from researchers, consumers, industry representatives, regulators and policymakers, with a final report expected in 2028.

According to reporting by Yogonet International, the review will assess whether current laws can handle emerging developments including prediction markets, artificial intelligence, cryptocurrencies and gambling-like features in digital products. It will also examine boundaries between gambling and financial activity.

Core Areas Under Examination

Will Hutton, president of the Academy of Social Sciences, said the growth of prediction markets showed how technological developments challenge existing regulations. “Everything from consumer protection to appropriate tax policies need urgent review,” Hutton said.

The GPC will evaluate the government's 2023 Gambling White Paper and its reforms for measurable results, proportionality and evidence base. Taxation forms a central focus, including how recent duty changes affect operators and consumers alongside the statutory levy. The Department for Culture, Media and Sport estimates gambling contributed £5 billion ($6.71 billion) to UK gross value added in 2024 and supported approximately 75,000 jobs in 2025. HM Revenue & Customs recorded £3.9 billion ($5.23 billion) in betting and gaming duties during the 2025/26 financial year. The review follows the decision to raise Machine Games Duty from 5% to 25%.

Illegal gambling is another priority. A Gambling Commission survey of 14,257 online respondents, including 3,569 who gambled online in the prior year, found 2.5% of those online gamblers had used an illegal website in the previous four weeks. Ismail Vali, president of Gambling Compliance International, questioned whether the figure captured the true picture. “The percentage of people reporting illegal gambling is not the percentage of gambling revenue captured by crime,” Vali said. “A relatively small audience, particularly one concentrated around vulnerable, repeat or high-value gambling behaviours, can generate substantial criminal revenue,” he added.

The inquiry will also address gambling-related harm, effectiveness of interventions, the operator-sports relationship including British horseracing, and cross-government policy coordination.

Evidence Timeline and Leadership

Professor Jagjit Chadha, an economist at the University of Cambridge who chairs the GPC, said the last comprehensive independent review occurred about a quarter of a century ago. “Since then, both the gambling market and the wider technological environment have changed considerably,” Chadha said. “Our purpose is to examine the evidence carefully and independently: to understand how the existing framework has operated, assess the impact of more recent reforms, and consider what legislative and regulatory framework will be appropriate for the years ahead.” Professor James Reade of the University of Reading serves as chief economist. The call for evidence closes on February 12, 2027, with further research continuing through 2027 ahead of the 2028 report.

This process carries the risk that survey data on illegal gambling participation may understate revenue flows to unlicensed operators, particularly if concentrated among high-value customers. Any resulting framework must therefore distinguish participation rates from economic impact to avoid miscalibrated enforcement or taxation measures.