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An estimated 1.4 million individuals in Great Britain face a betting addiction, based on landmark statistics published shortly after the treasury head indicated boosting taxes on the £11.5 billion industry.

Regulator's Yearly Study Data

The Gambling Commission’s yearly study discovered that 2.7% of individuals rated 8 or higher on the problem gambling severity index, a commonly used tool assessing harmful effects of betting.

In earlier times, the authority had advised not extrapolating that rate to the wider public. Yet, in a decision that puts the commission on a collision course with the sector it supervises, it has discarded this guidance after review of the figures by a statistics expert.

UK-wide Estimates

That means the survey of more than 19,000 people can for the first time be used to estimate the total number facing a gambling problem nationally – a statistic of 1.4 m, or more than the population of a major UK city.

The analysis also points out increased prevalence of problem gambling in low-income regions and in types such as fruit machines and live wagering on sports.

Fiscal Environment

The regulator’s report was issued on recently, shortly after the chancellor indicated plans to raise taxes on the business at the fall financial plan. She remarked during an event at the political meeting that there was a case for gambling firms and digital gaming sites “paying more”.

Gordon Brown has advocated an additional £3bn in duties paid by betting firms to pay for the removal of the child support limit. The former prime minister’s initiative echoes calls from policy institutes such as the research body and the Institute for Public Policy Research.

Sector insiders anticipate taxes to rise, albeit by a lesser sum than the former leader advocates.

Financial Impact

The updated figure of the size of the problem is set to feed into the finance ministry’s consideration about the financial advantages of an sector that pays billions in revenue and hires many of workers. Opponents contend betting hinders the economy through bettors forfeiting roughly £11.5bn a year.

Survey Approach

The 2.7% figure stems from the commission’s second gaming poll of the UK (GSGB), which is now the regulator’s chosen leading measure. It substitutes for a poll that generated a significantly smaller 0.4% figure.

The gambling association has repeatedly opted to disregard the GSGB in support of using the significantly smaller figure from the older study.

Regulatory Comment

“The recent results improve our comprehension of effects from gambling and offer essential understanding into potential hazards among those who wager regularly.

“We urge operators to use this data to evaluate the dangers within their own user groups.”