GAMBLING ACT REVIEW WHITE PAPER
What does the UK gambling white paper mean for operators?
After 18 years, the UK Government has published the Gambling Act Review White Paper which seeks to review the 2005 Gambling Act. Roger Redfearn-Tyrzyk, VP Global Gaming, IDnow, highlights the new approach to the regulation of online gambling in the UK and what this means for operators.
T
he world has changed in many ways since 2005 when the British government passed its most recent Gambling Act. One of the most monumental shifts has been the relentless development of online services and mobile technology, as almost the entire population now carries around with them a miniature computer that can be used to buy, try and access almost every conceivable service anytime and anywhere.
The UK gaming industry is just one of the many sectors that has benefited and been transformed by the internet. In fact, approximately 65% of its £11bn revenue in 2022 came from customers gambling online via one of the many UK gambling platforms that are available today. As the Gambling Act 2005 clearly needed updating in accordance with the changing habits of UK gamblers, in 2020, then-Prime Minister Boris Johnson announced a government review of the rules and regulations governing gambling. After many delays, the review’s white paper – titled ‘High Stakes: Gambling Reform for the Digital Age’ – has now been published.
WHAT DOES THE WHITE PAPER CONTAIN?
Policies, regulations and changes to gambling services offered in the UK are all covered in the review of the 2005 Act. The protection of consumers, mitigation of problem gambling, prevention of money laundering and making the enforcement of payment regulations easier are all issues that have mushroomed in the age of ‘the casino in your pocket’, and which now need to be addressed. The white paper sets out an ideal landscape where players can play various forms of mainstream games such as casino games, lotteries and sports betting safely. For their part, operators can continue offering the same products but within regulatory limits, as the ultimate goal is transparency, fairness and safety within all aspects of UK-based gaming activities.
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THE IMPORTANCE OF THE REFORM
Ensuring there are sufficient measures to protect consumers, prevent underage gambling and mitigate cybercrime are important to operators, players and the UK government. In a recent statement, Culture Secretary, Lucy Frazer said she also wants to protect those players vulnerable to addiction and harm, without affecting the overall experience of the majority of gamblers. The success of the proposed changes will be keenly observed by other regulators around the world.
Operators are urged to implement changes into their services quickly before the proposed changes become law. These range from more active measures in managing problem gambling behaviour, to the increase on minimum standards for the protection and safety of players who should soon be able to
access comprehensive information about their activities and improved customer support. They should also benefit from new limits on stake levels, more robust customer protection and more straightforward registration processes.
THE WHITE PAPER’S MAIN PROPOSALS
The white paper lays bare a number of proposed changes to the Gambling Act 2005, which would be implemented with the support of the Gambling Commission by, it is hoped, the summer of 2024. These include:
l The promotion of responsible gambling: • More prescriptive rules on when operators must check for pre-determined ‘harmful’ customer losses
• Stake limits for online slots being brought in line with those in physical locations, for
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