By Emily Caulkett-
The UK government has released a white paper outlining their plans for reforming the country’s gambling industry. One of the key proposals in the white paper is to introduce new regulations that would require gambling operators to perform checks on players who lose £1000 or more per day.
This measure is aimed at reducing the harm caused by excessive gambling, particularly among vulnerable individuals. Identifying those who are gambling large sums of money will help operators intervene and offer support to those who may be experiencing gambling problems.
The review was initially due to be published two years ago, but investors and gambling companies have been left in limbo amid delays.
It introduces a flurry of restrictions on online gambling, including a potential cap on online slot game stakes to between £2 and £15, with a £2 limit for under-25s.
An estimated 300,000 people are dubbed ‘problem’ gamblers in the UK, with campaign groups pushing for tighter measures to protect them.
The white paper also proposes a range of other measures to protect consumers, including a new Gambling Commission with increased powers to enforce regulations, new affordability checks for players, and a ban on gambling advertisements during live sports broadcasts.
The proposals have been met with a mixed response from industry stakeholders. Some have welcomed the increased focus on consumer protection, while others have expressed concerns about the impact that these new regulations could have on the industry.
The Betting and Gaming Council, a trade association representing the UK’s largest gambling operators, has expressed concerns about the proposed affordability checks, arguing that they could be overly intrusive and may deter some individuals from gambling altogether.
A representative of the Council told The Eye Of Media Com: ” it id absolutely important to ensure responsible gambling and protect those who may have a serious problem, but stringent affordability checks could at some point become intrusive. Not all gamblers who are prepared to take big risks fall under the category of problem gamblers”.
Similarly, some operators have expressed concerns about the potential impact of the proposed restrictions on high rollers, who may be deterred from gambling in the UK if the regulations are too stringent.
Other stakeholders have have welcomed the increased focus on consumer protection, while others have expressed concerns about the potential impact on the industry.
The CEO of the Rank Group- John O’Reilly- which operates casinos and bingo halls in the UK- has stated that they support the proposals for increased protections for consumers, but have concerns about the potential impact on their business.
On the other hand, the charity GambleAware has praised the proposals for their potential to reduce harm and protect vulnerable individuals.
Overall, the reactions to the government’s white paper have been varied, with some stakeholders expressing support for the proposals, and others raising concerns about their potential impact on the industry. The consultation process is ongoing, and it remains to be seen what the final regulations will look like.
Critics argue that the proposed regulations could lead to a reduction in revenue for operators, particularly those who rely on high rollers to generate income. There are also concerns that the proposed affordability checks could be overly intrusive, and may deter some individuals from gambling altogether.
Despite these concerns, the government has stated that it is committed to implementing these reforms in order to better protect consumers from the harms of excessive gambling. The white paper is currently open for consultation, and the government will be seeking feedback from industry stakeholders and the public before finalizing the regulations.
The proposed checks wil kick in when a gambler loses £1,000 in 24 hours, or £2,000 over 90 days. How these will be carried out is as yet unclear.
Culture Secretary Lucy Frazer, who will outline the plans in Parliament later, says the rise of smartphones means “now there’s a Las Vegas on every phone”.
Ms Frazer said her “balanced” proposal would still let people enjoy a flutter.
The announcement of what the government’s long-awaited white paper actually contains has been delayed at least four times, since the review of gambling laws was first announced by Oliver Dowden, then culture secretary, in 2020.
Since then, there have been regular reports of individual cases of problem gamblers – but the government’s solution has been crafted by three different culture secretaries and three prime ministers without seeing the light of day.
Now Ms Frazer believes she has a proposal that is suitable for the digital age.Culture Secretary Lucy Frazer will unveil the government’s white paper on gambling on Thursday
Writing in the Times, she said: “The internet and the rise of the smartphone means gambling is ubiquitous, not just on the high street but everywhere and anywhere, providing round-the-clock access to betting.”
Describing the “maze” of sports betting, virtual slot machines, roulette wheels and blackjack tables instantly available on many apps, she added: “Many enjoy these features – but within their means, infrequently or on particular event – but sadly we know this does not apply to everyone.”
She pointed out that, for those who become addicted, their smartphone becomes a trapdoor to despair – and said that the government’s new approach would “protect the most vulnerable, but not get in the way of the majority of people who want to have a flutter”.
One of the proposals that is known about is a mandatory levy to be imposed on gambling firms, to be used to pay for addiction treatment and research.
But it is not yet clear how that funding will be managed.
Other planned changes have been strongly welcomed by parliamentarians who have lobbied for reform.
Lord Foster, chairman of Peers for Gambling Reform, said they were “an important step in the right direction”.
Conservative MP, Iain Duncan Smith, vice chairman of the All Party Parliamentary Group on Gambling Related Harm said they will “make sure we hold the government’s feet to the fire to ensure these measures are implemented swiftly”.
The government is also expected to consult on introducing stake limits for online slot bets – the digital version of the old slot machines.
It is thought the range will be from £2 to £15, with suggestions of a lower level for those under 25.
Some gambling firms including Flutter, which owns Paddy Power, SkyBet and Betfair, imposed slot limits of £10 from September 2021.
The compulsory levy on gambling firms is expected to be 1% of net revenue and could raise £140 million a year for education, treatment and research.
At the moment, the levy is voluntary and the money is not put into the NHS – which has not wanted to accept it, for ethical reasons.