From today, customers using electronic slot machines will be able to gamble a maximum of £2.
Previously, the fixed-odds betting terminals had a limit of £100, which drew criticism from anti-gambling campaigners.
The move to reduce the maximum stake comes after a review by the Department for Digital, Culture, Media and Sport found that the machines could lead to long-term gambling issues, with some customers losing up to £300 per minute.
Commenting on the move, culture secretary Jeremy Wright said: "Reducing the potential loss per spin from £100 to £2 is a significant step forward in protecting vulnerable people.”
Former sports minister Tracey Crouch resigned after chancellor Philip Hammond said the measures would not take effect until October and not April, as she had expected.
Writing on Twitter last night, she said: "On the eve of fixed-odds betting terminal stake reduction, I just wanted to say thank you to all those who helped secure change, including the brace addicts who spoke out, campaigners, health professionals, parliamentary colleagues and DCMS officials.
"It was the right and responsible outcome."