UK Gambling Commission to overhaul financial penalties framework in October

The UK Gambling Commission will introduce a new financial penalties framework on 10 October 2025, changes that the regulator says will make fines clearer, more consistent, and tied more directly to operator revenues.

Under the new system, financial penalties will be more closely aligned with operator revenues, introducing a tiered approach to regulatory breaches. Fines will be calculated as a percentage of gross gambling yield (GGY)—the revenue generated during the period of the breach—with the most severe violations potentially resulting in penalties of up to 15% of GGY, or higher in exceptional cases.

The updated Statement of Principles for Determining Financial Penalties introduces a structured approach to enforcement, including a five-tier classification system for breach severity, clearer steps for evaluating mitigating and aggravating factors, adjustments for affordability and deterrence, provisions to ensure fines remain proportionate, and a separate assessment of “disgorgement” to address consumer harm or illicit gains.

The commission will apply alternative fine calculation methods for cases involving charities, society lotteries, and personal licence holders, where GGY-based penalties may not be appropriate. These changes follow a three-month public consultation conducted between December 2023 and March 2024, during which 29 organisations, including operators, trade bodies, and charities, submitted feedback.

In response, the commission made adjustments to the framework, including the addition of a seventh step to ensure proportionality and clarifications on when non-GGY models will apply.

John Pierce, Director of Enforcement and Intelligence at the Commission, said the changes are designed to streamline the enforcement process, improve consistency, and encourage early compliance. He said that the proposals were shaped by extensive consultation and will support fairer and more effective regulation.

“Crucially, the new approach also encourages compliance at the earliest opportunity, supporting the protection of consumers alongside fair and proportionate outcomes for operators,” he said.

More details on the new framework can be found in the regulator's response.