On 10 October 2025, the UK Gambling Commission (UKGC) will roll out a new system of financial penalties. The key element: the amount of fines will be directly linked to the percentage of GGY (gross gambling yield) generated by the operator during the period in question. A radical reform designed to strengthen justice, fraud prevention and player protection.
A tough… but transparent model
The UKGC’s previous criteria focused on the seriousness of the offence, repeat offending, the operator’s response, its track record and its financial resources. The new model includes two major innovations:
- A seven-stage process, clarifying the phases of the decision and ensuring consistency of judgements.
- A classification of infringements into five levels, from the lightest (level 1) to the most serious (level 5), defining in advance the magnitude of the percentage of GGY that will be applied.
This severity scale enables the Commission to establish a more equitable basis while retaining the latitude appropriate to each case.
The mechanics of the severity levels
The five levels will be determined according to a number of indicators:
- Lessons learned from previous cases.
- Speed and honesty of admissions and corrective actions.
- Intention or negligence at the root of the offence.
- Existence of systemic failures.
- Consequences for consumers.
High-risk behaviour, such as that causing financial or social damage, will automatically be considered the most serious.
The rigour of the system is nuanced: aggravating factors, such as repeat offences or a deterrent context, can increase the fine. Conversely, cooperating quickly, ideally within 28 days of the preliminary findings, can result in a reduction in the fine.
Safeguards to avoid bankruptcy
One of the key principles remains proportionality: even if the fine is calculated on the basis of a percentage of the GGY, the final amount must remain bearable for the operator, without bankrupting it.
Certain players such as charitable lotteries, charities and personal licence holders will not be subject to the GGY-based calculation method. They will be penalised according to an alternative model, adapted to their context.
Background: the UKGC on the move
This update follows a three-month consultation, launched from 15 December 2023 to 15 March 2024. It is part of a series of reforms since the principles were last updated in 2021 (originally published in 2017).
John Pierce, UKGC Director of Enforcement and Intelligence:
“We are making changes to improve the transparency and consistency of the way we impose financial penalties. These proposals have been the subject of extensive consultation, and the views shared by all our stakeholders have been taken into account. The new approach also encourages compliance at the earliest opportunity, which helps to protect consumers and deliver fair and proportionate outcomes for operators.”
By linking fines to revenues, the UKGC has two objectives: to sanction large structures proportionately and to deter risky practices. Operators will have to incorporate the new thresholds into their internal governance and secure their compliance.
The first penalties based on this model will come into force on 10 October. The major iGaming players are now on the alert: the weight of words is now aligned with that of figures.