RIGT agrees funding with gambling industry

29 July 2008

The Responsibility in Gambling Trust (RIGT) has reached agreement with trade associations representing the gambling industry on funding formulas for the financial year 2008/9, to enable it to reach its £4.5 million income target.

The new rate, which the trade associations have said they will be recommending to their members, is 0.07% of gross gaming yield (or equivalent terminology depending on sector – see box), up from 0.05% in 2007/8.

Commenting on the agreement, John Greenway MP, Chairman of RIGT said:

“We are very pleased with the overwhelming support shown by the industry for our business plans and income targets. Coming as it does in the middle of the Gambling Commission’s review into funding of research, education and treatment,  this commitment to continue funding RIGT on a voluntary basis weakens the argument for any form of statutory levy.”

The formula guides operators on the amount they should set aside for RIGT, and payment will help achieve compliance with the Gambling Commission’s Licence Conditions and Codes of Practice (LCCP provisions).  RIGT is now invoicing all operators who advise them of the amount they will pay.  The Charity would prefer quarterly invoicing in order to ease its cash-flow and is asking operators who have not already done so to contact them on enquiries@rigt.org.uk or 0207 953 3878 to confirm invoice details.

Companies with any queries on the way in which the formula should be applied should direct them in the first instance to their trade association.

Details of the new formulas are shown in the box below: -

RIGT funding formulas 2008/09

All gambling and betting operators are asked to donate the following minimum funding:

• Casinos – 0.07% gross gaming yield per annum
• Bookmakers – 0.07% gross win per annum
• Bingo – 0.07% gross gaming yield per annum
• Remote Remote operators based in Britain – 0.07% gross gaming yield per annum
• Offshore Offshore operators who target Britain – a minimum donation of £10,000 per annum
• FECs and AGCs - 0.7% of annual AMLD in previous year
• Gaming machine suppliers - £0.70 per average gaming machine sited
• Other machine operators - manufacturers, software suppliers, distributors and importers of gaming/gambling products - 0.07% of all gaming/gambling sales revenue arising from sales in the UK

A minimum contribution of £50 would be appreciated where the formula would otherwise lead to a lower amount.

ENDS

Notes to Editors:

RIGT tackles problem gambling in Britain through the funding of treatment, research and education programmes.  It received voluntary donations of £3.5m in the financial year ending 31 March 2008, against a target of £3.5m from licensed operators.  Its funding was £3.0m in 2006/7 and £2.2m in 2005/6. 

Most trade associations and most of the large gambling operators have reached agreement with RIGT on funding formulas this year.

For further information, contact:

Melissa Annetts, 020 7544 3135 or 07831 209444.