The wait continues for the UK Government to release their White Paper on gambling reform. Just what does the future hold for the gambling industry, particularly online casinos?
March has seen the publication of gathered evidence that reveals what campaigners and those in the UK gambling industry want to see happen.
Last December saw the Department for Digital, Culture, Media & Sport (DCMS) launch a committee inquiry. It had the aim to “examine the government’s approach to the regulation of gambling” and to look at the progress the government has made “in addressing the issues raised by parliament.”
They asked for written evidence to be submitted and on March 21, they were published. It comes at a time when the gambling industry is in a state of uncertainty over its future.
UK gambling companies:
“UK gambling companies are finding it hard to plan for the future when they remain in the dark as to what regulation of the industry lies ahead” – said spokesperson of casino gambler, an online casino offers comparison platform.
One of the responses came from the Betting and Gaming Council (BGC) who represent all areas of the UK gambling industry from betting shops, bingo halls to those operating on the web including online casinos.
The BGC supports regulation changes as long as they are fair to those who gamble responsibly. Their evidence states that the gambling sector “has never resisted change” that will help reduce gambling harm. The White Paper is seen as “an opportunity to get the changes right.”
Their belief is that the White Paper “should be based on a sound approach to policy making”. Any measures that are introduced must be “evidence-based” and the views of customers “need to be taken into account.”
One major concern the BGC has is that the new measures may lead to gamblers going to the unregulated black market to escape them. This would lead to a fall in the amount of protection they would receive; and affect the contribution gambling makes to the UK economy. That’s currently £4.2bin in taxes with 110,000 jobs in place.
Bet365
Bet365 are one of the leading gambling companies in the UK with a sportsbook and online casino. In their written evidence submitted to the inquiry, they said that “the vast majority of people who gamble today enjoy doing so without experiencing harm”. That’s backed up by the increasingly stricter UK Gambling Commission statistics that put the gambling harm level at 0.3% of players.
While the figure is lower than in the past, bet365 say they are “not complacent”; and are always looking at introducing more ways to protect those who visit their sportsbook and online casino.
Whether gamblers can afford to wager the amounts they do expected to be part of the White Paper. Bet365 say that they have introduced default net deposit limits for new customers with them needing to supply “documentary evidence”. Also, They admit that obtaining this evidence has “a significant challenge” and support the call for “other available options” to explored.
Affordability checks:
The gambling company says they welcome news that any affordability checks are “frictionless”; and based on “financial risk.” Their hope is that this approach will avoid “millions of people”; who gamble safely at low levels being asked to hand over their personal information.
They also agree that any new affordability checks must be “tried and tested” before being implemented.
Online casinos boast a wide portfolio of slot games. What we do know of the possible contents of the White Paper is a need to introduce more regulation of the online side of the gambling industry. The last Gambling Act was passed in 2005 and that before the arrival of 24/7 online casinos.
There has been talk of reducing the stake limits for online slot games. This would hit the revenues earned by online casinos. If this is to introduced, bet365 say they have access to how much a customer spends on the site.
If linked with affordability checks, those customers who can actually afford to be placing high stakes on such games “should not be constrained by arbitrary limits at low levels.”
The concluding remarks by bet365 say that they believe “now is the time”; to “focus on the proposals that have developed to reduce problem gambling further. ” In their view, finally publishing the White Paper on gambling reform is “;an important first step to delivering a stable regulatory regime from which we can plan for the future.
Conclusion:
Parliament is due to shortly take its Easter recess. There are rumours that before that happens, the White Paper will finally be published. It will be interesting to see just what it finally contains. Stricter regulation of online casinos and sportsbooks anticipated. The hope of those in the UK gambling industry is that its proposals will be fair but that remains to be seen.