The Government also confirmed online slot stake limits of £5 for over 25s and £2 for young adults aged 18 to 24.
Minister for gambling, Baroness Twycross, said: ‘Gambling harm can ruin people's finances, relationships, and ultimately lives. We are absolutely committed to implementing strengthened measures for those at risk, as well as providing effective support for those affected.
‘The introduction of the first legally mandated levy will be instrumental in supporting research, raising awareness and reducing the stigma around gambling-related harm.
‘We are also helping to protect those at risk, with a particular focus on young adults, by introducing stake limits for online slots.
‘These measures will help build an NHS fit for our future and strengthen protections whilst also allowing people to continue to gamble safely.'
The Government said 50% of all funding generated will be directed to NHS England and appropriate bodies in Scotland and Wales to develop a comprehensive support and treatment system, including referrals and triage, through to recovery and aftercare.
Almost a third (30%) of levy funding will go towards prevention, which could include measures such as national public health campaigns and training for frontline staff.
The remaining 20% of funding will be directed to UK Research and Innovation (UKRI) to develop a bespoke Research Programme on Gambling, undertaking vital research to inform future policy and regulation.
Claire Murdoch, NHS national director for mental health, said: ‘Problem gambling can completely ruin lives and the issue has skyrocketed, with NHS services treating record numbers and our latest data showing a staggering 129% increase in service referrals compared with the same period last year.
‘I am delighted to welcome this commitment to a mandatory gambling levy which the NHS, bereaved families and the voluntary sector have been calling for so we can treat this growing problem – and we will continue to work with government to do all we can protect problem gamblers from this billion-pound industry.'