The government plans to reduce the maximum stake on fixed-odds betting terminals to £2.
Culture Secretary Matt Hancock said ministers had decided to “take a stand” despite warnings from the betting industry that the move would cost thousands of jobs.
A review by the Gambling Commission in March had recommended a maximum stake of £30 or less for so-called non-slot machines such as roulette – by far the most popular FOBT game – but the Government decided to go further.
Users can currently gamble away up to £100 every 20 seconds on the machines, which campaigners say are dangerously addictive and have been dubbed the “crack cocaine of gambling”.
Mr Hancock said: “When faced with the choice of halfway measures or doing everything we can to protect vulnerable people, we have chosen to take a stand. These machines are a social blight.”