UK Gamblers Wager Billions More on Slots Despite New Stake Limit

UK gamblers wagered over £25.7 billion ($35 billion) on slots over three months at the end of last year, up from £24 billion ($32 billion) in the same period in 2024. The rise comes despite the country introducing a maximum stake limit last year.

The UK Gambling Commission released operator data for October to December last year. In total, British gamblers wagered £27.4 billion ($37.2 billion) over the three months, a 6% year-on-year increase. The data only includes the country’s biggest operators, which the commission said account for around 70% of the total market.

Slots make up almost 94% of all gambling, with sports betting at just under 3%. UK bettors wagered £797.6 million (just over $1 billion) on real events between October and December, a 6.56% decline from 2024.

Stake Limit has Little Impact

In April last year, the UK introduced a £5 limit on slots, and a £2 limit for adults aged 18 to 24 went live in May. The restrictions do not appear to have had much impact, however. Operators generated 10% more revenue from slots in the quarter, bringing total revenue to £788 million ($1 billion).

With a stake limit introduced, we may expect gamblers to play for longer, but the opposite was true. The number of online slots sessions lasting longer than an hour decreased by 16% to 8.9 million. Although the total number of spins increased by 7%, reaching a record high of 25.7 billion.

There have been calls for further restrictions on operators, with gaming centres that predominantly offer slot machines accused of paying staff bonuses to maximize customer losses.

Tax Increase Will Reap Major Benefits From Slots

Later this year, the UK will almost double the tax rate on online slots, from 21% to 40%. Of the £788 million revenue generated from slots, that equates to £165.5 million in taxes for the country, but at the higher rate, it would collect an additional £150 million ($203 million).

Betting companies have protested against the hike, arguing they will be able to offer users fewer bonuses and promotions, which will drive them towards unregulated gambling sites.

As recent data shows, companies are highly reliant on revenue from slots, which dominate the UK gambling market. The increased taxes will therefore have a large impact on profits.

Evoke, the owner of UK brands William Hill and 888, reported growth in its online casino sector last quarter but is undergoing a strategic review due to tax increases. This could result in the sale of some of its flagship brands.