U.K.Gambling Commission Reveals Fee Structure Changes

Published Thursday, July 14, 2016 - Online-Casinos.com
U.K.Gambling Commission Reveals Fee Structure Changes

The UK Gambling Commission and Department for Culture, Media and Sport handles the revenue stream for the online gambling industry in the jurisdiction. The recent revelation by the Commission has seen a restructured new fee regime for UK gambling operators. The majority could see their licence fees reduced under a new tax rules.

The UK Gambling Commission is expected to implement the fee changes by April 2017, commented that 1,900 of its 3,000 licensed operators would enjoy a reduced fee structure while one third having the same fees and 100 will be subject to an increase. The gambling regulator mentioned that operating costs have come down in recent years.  These changes must still be approved by the Government which noted revenue from licence fees would be reduced by around 10%.

The new cost structure will employ more levels based upon gross gambling yield which translates that smaller operators are more likely to pay much less in fees. The Commission explained in detail that the new structure “enables the Commission to recover the full costs of delivering its responsibilities, while ensuring fairness and value for money for the gambling industry”.

The UK Gambling Commission issued a statement with regards to the changes in the fee regime,  “The Commission has reviewed its fees in light of a full year of operation since its remit was extended by the 2014 Act to include the licensing and regulation of overseas operators.

“Its review has confirmed that, while its overall costs have increased with the extension of its functions, its income from licence fees is, and will continue to be, in excess of its operational costs.

“Its recommendations to government for changes to licence fees have therefore been developed in this context.”

The update of the fee structure may be the first of many changes once the full impact of Brexit is realized by the online gambling industry.

 

 

 

 

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