The government must stop gambling companies who “get away with literal murder” by introducing a levy to pay for addiction treatment, says Sir Iain Duncan Smith.
The former Conservative leader says the industry is “completely unregulated” and many firms ignore the voluntary levy scheme that is already in place – despite the “astonishing amounts” of money they make.
“Gambling can lead to fraud, debts, family break-up and eventually suicide,” he told Sky News. “There needs to be a predictable source of money going forward for treatment.”
But Sir Iain warned plans to improve gambling laws were “stuck in government” because of senior members of his party opposing further regulations on businesses, as well as the Treasury.
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“I don’t need to take lectures from them,” said the senior backbencher. “This levy is peanuts. And it is about something that is doing harm.
“There are harrowing cases of families that have been wrecked, people have committed suicide when they can’t see a way out.
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“With regulation, where there is a perceived harm, you move. I am not trying to anticipate it, the harm is there to see.”
The government launched a review into the 2005 Gambling Act almost two years ago to “ensure gambling regulation is fit for the digital age”.
The-then Culture Secretary Oliver Dowden said the work would help “protect children and vulnerable people” and “help those who enjoy placing a bet to do so safely”.
A white paper with its conclusions had been expected in late 2021, but the review has still not seen the light of day, with Sir Iain saying Downing Street told him it was not yet “done and dusted”.
But a report in the Times said the levy would be left out of the final recommendations, with the government choosing instead to increase the amount paid in the voluntary scheme.
Sir Iain urged them to think again, saying: “Most people understand the levy to pay for treatment, while others have pushed back. But it is not a tax, it is a levy.
“You could use it to close illegal sites too. It would be fair to gambling companies and those on the high street, it will protect those doing the right things.”
But the Betting and Gaming Council said its largest members had already pledged an extra £100m for research, education and treatment for addiction by charity GambleAware.
“A blanket levy risks businesses that employ tens of thousands of people in the struggling hospitality and tourism sectors which have suffered greatly because of the COVID pandemic,” a spokesman added.
“Unlike the alcohol industry, which hands the NHS the bill for problems associated with alcohol, our industry has been the majority funder of research, education and treatment for gambling harm for over 20 years and will continue to be so.”
A spokesman for the Department of Culture, Media and Sport (DCMS) said it was “the most comprehensive review of gambling laws in 15 years”, and the white paper would be published “in the coming weeks”.
