Novomatic Gaming UK have thought long and hard about the Gambling Review over the years, primarily its prospects and opportunities to invest. But now, it’s more about delay and, dare we suggest it, even deferral. The high street AGC giant, and one of the last UK manufacturers standing, has a huge stake in the UK economy; the Gambling Review delay does not engender great confidence. NGUK have issued a wide ranging perspective on the delay: the business is ready to pump investment into the UK’s high streets within months of a Gambling Review decision. But what’s the decision they will ask – and more importantly when will we get a decision?

Coinslot: What impact is the delay in the Gambling Review having on your members and the industry in general?

Novomatic Gaming UK: The delay in the Gambling Review has created significant uncertainty, stalling much-needed investment and innovation within our sector.

Novomatic UK, alongside other operators, is positioned to implement further investment that would invigorate our high streets, enhance customer experiences, and bring new jobs into local economies. 

However, the lack of clarity makes it difficult to proceed confidently with these plans.

This delay in investment and innovation is apparent at every level of our Group, from technological roles in research and development of gaming machine innovation, through the manufacturing base we operate in South Wales into every community we operate in where new sites, refurbishments, machine investment and additional recruitment are all being delayed.

This has been emphasised by Zane Mersich, CEO of Novomatic UK, who noted: “The delay restricts our ability to invest in the kind of innovations that would benefit the economy and the communities we serve. With the right framework in place, we could be pushing forward on projects that would breathe new life into high streets, offering even more to our customers and employees.

The industry is being held back from fully contributing to the UK’s economic recovery, and we urge the Government to provide a clear path forward.”

Coinslot: Has the uncertainty around the Review affected your business plans and strategy? If so, how?

Novomatic Gaming UK: Absolutely, the uncertainty has a direct impact on our business strategy and investment plans. 

We’re ready to make further substantial investments in venue upgrades, new technology, and manufacturing capabilities. 

However, without clear regulatory direction, we’re forced to postpone these plans. For our operations in South Wales, for instance, this means delaying investments in manufacturing and R&D – areas that are crucial for innovation and sustaining the local supply chain.

When businesses like ours face prolonged uncertainty, the entire industry, including suppliers and partners, feel the effects. 

We want to contribute to the high street’s revival, but we need the confidence that our investments will align with long-term regulatory requirements.  

A definitive resolution to the Gambling Review would enable us to act with confidence and begin executing on our growth strategy immediately.” emphasises Mersich.

Coinslot:As the review stands currently, what concerns need to be resolved that would give you the confidence to push forward with investment in products, employment and growth?

Novomatic Gaming UK: The continued delay in the Gambling Act Review – now nearly five years in the making – has created an environment of ongoing uncertainty for Novomatic UK, our customers, and the entire supply chain. This prolonged lack of clarity has led to a significant loss of confidence across all levels of the industry. 

Our absolute priority is for swift decision-making that will finally resolve the review, unlock delayed investment, and allow us to move forward with confidence.

Zane Mersich, CEO of Novomatic UK, stressed: “The uncertainty has paralysed not just our business, but the entire network of strategic relationships we’ve built with other manufacturers, operators, and innovators.

“Everyone is feeling the effects of this prolonged ambiguity. The time has come to conclude the Gambling Act Review so that businesses can make decisions, invest strategically, and contribute meaningfully to the economy.”

Without this clarity, our strategic partners and we are held back from driving the growth that would result from clear and timely reforms. We’re ready to invest in new products, enhance our offerings, and expand employment, but this cannot happen until there’s a definitive regulatory framework. A swift resolution will give the industry the certainty it needs to move forward, ensuring that Novomatic UK and our partners can contribute to economic revitalisation and sector-wide innovation.

Coinslot: What about the customer. What affect do you think this is having on the player offerings and entertainment value?

Novomatic Gaming UK: It goes without saying: the delay impacts our customers by limiting the variety and quality of experiences we can offer. 

Updated regulatory conditions would enable us to introduce more engaging, contemporary gaming options tailored to customer preferences. 

Furthermore, investments in improved facilities would enhance the social spaces we provide, supporting community engagement and offering our players a safe, regulated, and enjoyable environment.

More concerning, however, is the potential for an unregulated black market to take root if the delay continues – a scenario with dangerous implications for both players and the industry. 

Germany offers a stark example of this, where regulatory delays and overly restrictive measures have fuelled a black market so significant it’s projected to surpass the legal sector by next year. 

By 2026, nearly two-thirds of gaming machines in Germany could be illegal, according to industry forecasts, undermining tax revenue and placing players at heightened risk.

NGUK CEO Zane Mersich underscored the issue, stating: “Germany’s example shows us that an overly restrictive and delayed regulatory response can lead to a dangerous black market. We don’t want to see the same scenario unfold in the UK, where players are left unprotected and operators lose the opportunity to innovate under fair regulations.”

Without prompt action to finalise the Gambling Act Review, the UK could face similar consequences. A growing black market would erode player protections, diminish tax revenues, and stifle the opportunity for regulated businesses to innovate. 

We urge the government to move swiftly to keep players safe, support legitimate businesses, and uphold a strong, tax-generating industry.

Coinslot: Finally, on a practical level, once the Review is launched, what timeframe are we looking at before your business and your partners in the manufacturing, R&D and supply chain sectors can start rolling out the new changes?

Novomatic Gaming UK: Once the Review is launched and there’s regulatory clarity, Novomatic UK is prepared to move swiftly. 

For some aspects of our strategy, such as refurbishing venues or rolling out new machines, we could begin within months. Other investments, particularly in manufacturing and R&D, may take a bit longer, but we aim to see full implementation within 12 to 18 months.

With the right regulatory foundation, Novomatic UK is ready to ramp up investments across our business, from manufacturing in South Wales to high street refurbishments,” says Mersich. “The sooner the Review is concluded, the sooner we can channel our resources into growth projects that will deliver substantial economic and social benefits.”

This proactive approach will ensure our business, suppliers, and the wider industry can hit the ground running, contributing immediately to economic growth and job creation in the UK.