The new regulations represent another significant step in the UK’s ongoing efforts to modernize its gambling legislation, but more reforms await
The UK Gambling Commission (UKGC) has implemented new anti-money laundering (AML) and counter-terrorist financing (CTF) requirements for gambling operators. These new requirements, effective 29 November 2024, will enhance industry supervision by clarifying the roles of key personnel and ensuring greater accountability. This change will also complement other regulatory updates to strengthen consumer protections.
Key Personnel Must Receive a Specific License
The revised regulations require specific individuals within gambling businesses to hold a Personal Management Licence (PML). This measure extends to company officials in key positions, like the CEO or managing director, the board chair, the head of AML/CTF, and the nominated officer for reporting. Small-scale businesses will face more lenient requirements, mandating PMLs only for employees responsible for compliance and AML/CTF.
The new rules are part of a broader effort to improve oversight and reduce vulnerabilities in the sector. They also align with the Commission’s consultations during Summer 2023, which aimed to modernize AML/CTF measures to reflect evolving risks, enhance transparency in the sector, and ensure that senior managers and key decision-makers are held accountable for regulatory compliance.
These AML updates are expected to have significant operational implications for gambling businesses. Operators must ensure that relevant personnel adhere to the PML requirements and are suitably trained to deal with AML/CTF responsibilities. While this measure will introduce some short-term costs for operators, it should significantly strengthen the industry in the long run.
More Reforms Are Underway
These updates form part of a broader set of reforms announced by the UKGC, with several more changes expected to become effective by 25 February. These include introducing “light-touch” financial vulnerability assessments for players spending above certain thresholds and enhanced consumer controls, helping users effectively manage marketing communications from gambling operators.
The planned updates also include the controversial statutory levy. The mandatory levy would, as previously discussed, force gambling firms to pay 1% of their gross gaming revenue (GGR) to support research, education, and treatment (RET) initiatives. This measure could generate approximately £109 million ($137,6 million) annually, based on the industry’s reported £10.9 billion ($13.8 billion) in GGR over the past year.
The Commission’s ongoing reforms signal its unrelenting pursuit of a safer and more transparent gambling environment. With this newest regulatory update, the UK takes a decisive step toward increased accountability and consumer protection. As more changes approach, operators must remain flexible, ensuring compliance while accounting for shifting industry trends and consumer preferences.
