As the review of the 2005 Gambling Act is soon to be a fact, everyone’s focus is shifted towards ensuring better regulation of the gambling industry as well as protecting vulnerable individuals in the UK. A new regulatory measure was taken by the UK Gambling Commission (UKGC), issuing a £1.17 million fine to a gambling business. The reason for the financial penalty was promoting gambling services to vulnerable customers of the operator.
Last week, in a speech at the Gambling Reform Rally, the UK Gambling Minister confirmed that the review of the current Gambling Act is long overdue and too many gambling operators are failing to properly protect their customers. The Minister announced that the White Paper on the gambling law of 2005 is due to be published soon, with the revised Gambling Act setting up a new policy for the regulation of the gambling sector in the UK.
UKGC Imposes Fine to Gambling Business Due to Failed Protection of Vulnerable Players
Last week, the UKGC issued a fine of £1.17 million to Bonne Terre Limited, T/A Sky Betting and Gaming. The reason for the regulator issuing the financial penalty to the gambling business is a series of promotional emails sent from the operator to customers who have made use of self-exclusion or have opted out of marketing emails.
The case that caused the penalty was a promotional offer that was distributed on 2 November 2021. The business sent an email marketing Sky Vegas’ promotion that was offering customers to “Bet £5 get 100 free spins”. This email was sent to 41,395 customers who had opted for self-exclusion as well as 249,159 customers who had chosen not to receive marketing emails from the operator.
The distribution of these emails was in breach of the license conditions that require operators to ensure that they practice socially responsible gambling on the territory of the UK.
According to Andrew Rhodes, Chief Executive of UKGC, it is very likely that customers who had opted for a self-exclusion are people who suffer from gambling harm, which is why they should definitely not receive marketing messages or emails that may prompt them to return to gambling.
Mr Rhodes warned other operators to learn from Sky Betting and Gaming’s case and make sure to follow the license guidelines for customer protection. This implies no direct marketing sent to customers who have opted out of marketing emails as well as self-excluded customers. Mr Rhodes also added that the fine would have been much higher provided the operator had actually allowed self-excluded customers to gamble and did not take the proper measures to prevent the repeat of such actions.
The fine issued to Sky Betting and Gaming followed two similar actions taken against other gambling operators in the previous weeks. As the White Paper on the 2005 Gambling Act is due to be published very soon, the UKGC continues to take strict measures to ensure proper regulation of the gambling industry in the UK.
UK Gambling Minister Says Gambling Act Review is Long Overdue
Last week, in his speech at the Gambling Reform Rally, Chris Philp, the UK Gambling Minister, agreed that the reform of the current Gambling Act is way overdue. The event was held on Tuesday and was organized by the Gambling Related Harm APPG and Peers for Gambling Reform.
In his speech, the Minister ensured that the White Paper on the Gambling Act of 2005 is due to be finalized pretty soon, with the reformed piece of legislation setting up the new legal framework for gambling regulations in the UK. According to Mr Philp, those who have been harmed by gambling, as well as their families and loved ones, have been considered throughout the review of the gambling law.
While the Minister ensured that the White Paper on the 2005 Gambling Act will be issued soon, he could not give any specific information on the new policies that will be implemented as the review of the law is still ongoing. He also acknowledged that the reform of the gambling law is long overdue as the gambling industry has changed drastically from the last time the Gambling Act had been revised.
Mr Philp also criticized gambling operators as they have contributed to the rising gambling harm issues in the country. He noted that there have been way too many cases of operators failing to protect their customers and ensure a safe gambling environment. As a result, several companies have been penalized with hefty fines, with some also receiving official warnings as they were not fully compliant with license guidelines imposed by the UKGC.
The Gambling Minister asked gambling operators to make use of technology and collected data to prevent further gambling harms. He noted that such companies have access to enough data that is unfortunately used to prompt customers towards excessive gambling instead of resorting to the data to ensure better customer protection.