The proposed changes, which would have allowed higher-stakes machines in high street arcades and adult gaming centres (AGCs), have drawn both support and criticism from across the sector. Now, with the reforms on hold, attention is shifting—not just to what this means for physical venues, but also to how the broader gambling landscape is changing in the UK.
While reform stalls on the high street, the digital side of the industry is growing rapidly. As more players turn to online platforms, interest in new, regulated sites is rising. Those looking for recently licensed alternatives can refer to a curated list of new UK casinos, where transparency and compliance with the UK Gambling Commission’s standards are prioritised.
The uncertainty surrounding physical venues has motivated numerous gamblers to seek their entertainment through online channels. Businesses that depend on customer walk-ins such as arcades and adult gaming centers set their attention on upcoming reforms which will modernize outdated restrictions so they can remain competitive.
The government’s decision to maintain the 80/20 rule—where only 20% of machines in arcades can be higher-stakes Category B3 machines—was largely based on concerns over problem gambling. Category B3 machines, which allow up to £2 per spin, were originally intended to strike a balance between player choice and safety. The remaining machines in these venues must be lower-stakes options, such as Category C or D. Under the proposed changes, arcades would have had the option to adjust that mix, potentially increasing revenue and foot traffic by offering more sought-after games.
Supporters of the reform, including John Bollom of the trade association Bacta, have voiced frustration over the delay. For them, the move was about modernisation, an effort to bring arcades in line with what today’s players expect, while helping to revive declining high streets. The government has chosen to be cautious because they want to protect vulnerable groups from potential increased risks through additional research and consultation processes.
Public caution about gambling has intensified due to ongoing debates regarding digital slot machine appearance and play speed in online platforms.
Stewart Kenny, co-founder and former CEO of Paddy Power, has been one of the more outspoken voices calling for reform in this space. He believes online slots pose a unique risk, not just because of the money involved, but because of how quickly users can play—and lose.
Kenny argues that the speed at which online slot machines operate is at the heart of the problem. With spins resolving in seconds and players able to place repeated bets almost instantly, the opportunity for compulsive behavior increases significantly. Though recent government changes have capped stakes at £5 for most adults and £2 for younger users, Kenny insists this doesn’t go far enough. Slowing down the games themselves, he says, is essential if the government is serious about reducing gambling harm.
It’s not just the speed—game design itself plays a role. Features like flashing lights, celebratory sounds, and “near miss” animations are built to keep users engaged, encouraging prolonged play even when losses mount. These design choices, Kenny points out, are rarely about entertainment alone—they’re carefully engineered to hold attention and drive profit.
The Gambling Commission has already introduced several measures aimed at reducing risk. Since 2021, autoplay and turbo mode have been banned. Online slot games must now include a minimum spin time of 2.5 seconds, and can no longer use sound effects that mislead players into thinking they’ve won when they haven’t. Reverse withdrawals—where players could cancel a pending withdrawal to continue gambling—are also prohibited.
Profitability in the online slot business sector maintains growth despite these modern restrictions. Profit levels in 2024 achieved a new record standing at £709 million by showing year-over-year growth of 15%. The reported figure demonstrates how addictive certain games become according to critics who assess gaming behavior under current regulations. Economic research attributes the rise in profits to the increasing demand for mobile digital entertainment among remote players.
The contrast between online and in-person experiences has never been more pronounced. While physical venues face regulatory delays, operational costs, and limited machine flexibility, online operators have been faster to adapt, offering slick interfaces, a wider range of games, and access from anywhere. For players, the appeal is easy to see. But for regulators, it presents a challenge: how to maintain fairness, safety, and control in a space that’s constantly evolving.
For now, the UK government’s stance is to move cautiously. The pause on slot machine reforms doesn’t rule out future changes, but it does suggest that any adjustments will come only after further analysis and stakeholder consultation. Meanwhile, the focus on online gambling is likely to intensify, especially as calls for design reform gain momentum.
In both physical and digital spaces, the conversation is no longer just about how much people can bet. It’s about how fast, how often, and under what conditions. The pause in reforms may slow things down for arcades, but it’s speeding up broader conversations about what safe, modern gambling should look like in the UK.