In a striking development for the United Kingdom’s gambling scene, the Gambling Commission’s latest statistics have unveiled a substantial increase in the gross gambling yield (GGY) across the sector. According to the commission’s Gambling Industry Statistics, the total GGY for the period spanning April 2022 to March 2023 soared by 6.8% on a year-to-year basis, reaching a hefty £15.1bn. When compared to the last period before the lockdowns, the growth represents a 6.6% hike.
Remarking on a significant element of this growth, when the revenue from lotteries is excluded, the surge becomes even more pronounced, with the £10.9bn total marking a 9.3% jump from the previous year, and a 7.6% increase from the 2019-20 pre-lockdown period.
In a continuing trend, remote gambling holds the mantle as the most prolific generator of revenue within the industry. Online casinos, betting platforms, and bingo sites collectively garnered £6.5bn, representing a modest year-on-year growth of 2.8% and a more substantial rise of 13.3% over pre-pandemic figures. Consequently, the sector witnessed a proliferation of new account sign-ups, amounting to an escalation of 10.6% at 36.4 million.
The lion’s share of online revenue is attributed to casino games, amassing £4.0bn in GGY, out of which £3.2bn was fueled by slots. Meanwhile, remote betting achieved a GGY of £2.3bn, with football betting leading the charge at £1.1bn, followed by horse betting which accounted for £733.5m. Remote bingo, though smaller in comparison, still contributed £173.6m to the total GGY.
The resurgence of land-based gambling has been a distinctive outcome in the wake of previous Covid-induced constraints. Accounting now for 41% of the total GGY—up from 35% last year—the GGY from arcades, betting shops, bingo halls, and casinos has rocketed to £4.5bn, marking a 20.6% year-on-year increase and a return to pre-pandemic earnings.
Gaming machines played a vital role, with their GGY ballooning by 23% to £2.4bn. This figure stands out more when considering that, even though gaming machines represent close to 50% of land-based GGY just like last year, they have experienced an 17.9% upsurge since the last reporting period prior to lockdowns, in stark contrast to the overall flat performance of land-based GGY compared to 2019-20.
Despite this rebound, the landscape for land-based venues has seen a contraction, with 186 fewer premises operational by March 2023 end. Betting shops, in particular, have dwindled for nine consecutive reporting periods, currently numbered at 5,995—a 2.2% decline from the previous year and an 18.1% plummet since pre-lockdown times. Notwithstanding, non-remote betting witnessed a GGY of £2.5bn, ascending by 15.4% over the prior year and surmounting the pre-lockdown numbers by 2.5%.
Casinos, however, have not shared the same level of resurgence, with non-remote casinos observing a GGY boost of £810.4m—a notable increase of 17.2% year-on-year, yet remaining 20.4% below pre-pandemic figures.
The most dramatic expansion has occurred within non-remote arcades, where GGY peaked at £572.2m, climbing by 38.9% year-on-year and 32.8% over pre-pandemic numbers, with adult gaming centers and family entertainment centers experiencing substantial improvements in their respective GGYs.
Elsewhere, the National Lottery’s ticket sales managed a modest increase, totalling £8.2bn, translating to a 1.1% growth from the prior year and equating to £4.7bn in prizes for winners. Sales for large society lotteries also edged upwards by 2.6%.
Simultaneously, the GB Gambling Commission introduced its second set of consultations on the Gambling Act review white paper. Spanning 12 weeks, this consultation will delve into issues such as socially responsible incentives and customer-specific tools aimed at giving gamblers more control over their gambling habits.
Tim Miller, the Executive Director of Research and Policy at the Commission, emphasized the government’s priority of ensuring safe gambling. “Today’s consultations propose how we can deliver on it,” he said, urging widespread participation in the consultation process.
Recent findings suggest that approximately one in 40 Britons grapples with problem gambling, according to the Commission, which has revamped its data collection methods. As the statistics and subsequent reforms take shape, the changing landscape of UK gambling continues to invoke scrutiny and a drive towards socially responsible operations.
