Report
Trust Statement 2024 to 2025
The Gambling Commission's Trust Statement for the period 1 April 2024 to 31 March 2025
Foreword
The Trust Statement provides an account of the collection of revenues, which by statute are due to the Consolidated Fund1. The Trust Statement is prepared in accordance with the Accounts Direction issued by HM Treasury pursuant to Section 2 (3) of the Exchequer and Audit Departments Act 1921.
2024 to 2025 is the first year the Gambling Commission has been directed to complete a Trust Statement. Due to the timing of the confirmation of this requirement for 2024 to 2025, a dispensation was granted to allow for the Trust Statement to be prepared independently of the Commission’s Annual Report and Accounts2 (ARA) 2024 to 2025 (HC 759), which was laid in Parliament in July 2025. In future years, the Trust Statement will be included in the Commission’s ARA.
The Trust Statement comprises:
- Statement of Revenue and Expenditure (SoRE)
- Statement of Financial Position (SoFP)
- Statement of Cash Flows (SoCF)
- Notes to the accounts.
Background
The Commission has 2 sources of revenue payable to the Consolidated Fund and accounted for in the Trust Statement:
- financial penalties
- Economic Crime Levy.
A description of each source of revenue is provided in the following paragraphs.
Financial Penalties
Under the Gambling Act 2005, the Commission is empowered to regulate licensees, investigate regulatory breaches and impose financial sanctions on licensed operators. These sanctions may take the form of financial penalties or regulatory settlements, depending on the nature and severity of the breach.
Financial penalties3 are imposed where a regulatory breach has occurred and are payable to the Consolidated Fund. The Commission collects the full amount of the penalty and, in accordance with section 121(5)(c) of the Gambling Act 2005, deducts the direct costs incurred during the investigation from the revenue collected before remitting the balance to the Consolidated Fund. The Commission ensures that all cash receipts are remitted to the Consolidated Fund by 31 March each year.
A quarterly review of cash receipts is undertaken, and where significant sums are identified, these are transferred promptly within the month following the review.
In 2024 to 2025, penalties were issued to 15 operators, with the largest single penalty amounting to £686,000. The overall value of penalties was substantially lower than the previous year, reflecting fewer high-value enforcement actions.
In 2023 to 2024, penalties were issued to 4 operators, totalling £7.2 million, including one significant penalty of £6.0 million. This exceptional case drove the higher aggregate figure for that year.
Regulatory Settlements (Payments in lieu of financial penalties)
Regulatory settlements are typically agreed in response to regulatory failings, particularly where consumer harm or social responsibility issues are identified. In most cases, the payment is made directly to an agreed benefactor or to a nominated responsible gambling charity. The Commission does not retain these amounts. Payments made in lieu of financial penalties are not paid into the Consolidated Fund and do not appear in the Trust Statement. The Commission follows agreed principles to ensure these payments are directed towards socially responsible purposes.
In 2024 to 2025, there were 3 (2023 to 2024, 6) payments made in lieu of financial penalties, totalling £2,783,000 (2023 to 2024: £6,828,000). The total costs incurred by the Commission to administer regulatory settlements were £34,000 (2023 to 2024: £73,000), representing recovery of direct costs associated with investigations and enforcement.
Accounting Treatment and Principal Role
In line with financial reporting manual (FReM)11.3.9, the Commission acts as a principal in the collection of financial penalties because it exercises statutory powers to impose and collect these amounts directly, rather than acting on behalf of another entity. This reflects the Commission’s regulatory authority and responsibility for enforcement under the Gambling Act 2005.
Financial penalties are recognised at the point they are imposed and become receivable by the Commission, typically when an enforcement notice is issued. If a penalty is successfully appealed, the amount is derecognised.
Economic Crime (Anti-Money Laundering) Levy (ECL)
The Economic Crime (Anti-Money Laundering) Levy (ECL) was introduced under the Finance Act 2022 to provide a sustainable, long-term source of funding for initiatives to tackle money laundering. The levy applies to entities subject to Money Laundering Regulations 2017 (MLRs). For the gambling sector, this means operators licenced for casino activities – referred to as regulated casinos - pay the ECL to the Commission. Other firms pay the levy to either the Financial Conduct Authority (FCA) or HM Revenue & Customs (HMRC), depending on their supervisory authority.
Levy Bands and Charges
Entities liable for the ECL pay a fixed annual fee based on UK revenue, in bands set by HM Treasury:
- Medium (£10.2 million to £36 million): £10,000
- Large (£36 million to £1 billion): £36,000
- Very Large (more than £1 billion): £500,0004 .
Further details are available in HM Treasury’s guidance on ECL bands (opens in new tab).
Use of ECL Funds
Funds collected through the ECL are allocated to government departments to support anti-money laundering initiatives. For 2023 to 2024, allocations were made to the Home Office, the Department for Business and Trade, and HM Treasury. These funds support activities such as strengthening intelligence capabilities, hiring financial crime investigators, and investing in technology to combat money laundering.
See HM Treasury’s latest Economic Crime Levy Report (opens in new tab) for more information.
Accounting treatment and Agent Role
In line with the FReM 11.3.9, the Commission acts as an agent in the collection of the ECL from regulated casinos and transfers the amounts to HM Treasury. The Commission has no discretion over the use of these funds. Amounts collected for are recognised as payables in the Trust Statement until remitted to HM Treasure and costs incurred in administering the ECL are reported as expenditure in the Trust Statement.
Collection Mechanism
The ECL is collected annually. Liable entities must submit a levy return and pay by 30 September following the end of the levy year (1 April to 31 March). The Commission uses established processes to administer the levy efficiently and minimise operating costs, drawing on the licence information it holds. Guidance on paying the ECL is available on the Commission’s website.
Future Outlook
Economic Crime Levy
The ECL will continue to be collected by the Commission. Section 54(2) of the Finance Act will be amended to introduce an additional large band, setting the charge at £500,000 for entities whose UK revenue for the relevant financial year exceeds £500 million but is less than £1 billion.
The amounts chargeable for the large band remains unchanged at £36,000. The levy charges for medium entities will increase from £10,000 to £10,200, and the charge for very large entities will be increased from £500,000 to £1,000,000.
Statutory Gambling Levy
The Statutory Gambling Levy, introduced in April 2025, replaces the previous system of voluntary RET (Research, Education and Treatment) contributions. The levy is mandatory and collected by the Commission under the strategic direction of the Department for Culture, Media and Sport (DCMS).
While the levy is separate from financial penalties, its introduction may influence future enforcement practices. The mechanism to collecting and distribute the levy is 8 still being determined with DCMS. The levy provides a structured and sustainable funding source for initiatives aimed at reducing gambling-related harm.
Andrew Rhodes Chief Executive and Accounting Officer 12 December 2025
References
1 The Consolidated Fund is the central account administered by HM Treasury which receives government revenues and makes issues to fund expenditure by Government Departments.
2 The Annual report for 2024 to 2025.
3 The public register regularly publishes regulatory actions.
4 Very Large band increased from £250,000 from April 2025.
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Performance report - Trust statement 2024 to 2025
Last updated: 16 March 2026
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