Can regulation help ‘cure’ problem gambling?

The UK’s All Party Parliamentary Group instigated a plea for limits on online stakes and prizes and raising concerns about a lack of action from Government and the Gambling Commission.

In 2019, the UK government’s All Party Parliamentary Group on gambling related harm (which included such luminaries as former Conservative leader Iain Duncan Smith) called for significant regulatory changes to protect vulnerable people against problem gambling. In short, the group recommended sweeping and potentially game-changing amends across four particular areas of betting marketing and operations:

• A £2 stake limit on online slot machines.
• Removing the ability for punters to bet with a credit card.
• Restrictions on VIP accounts.
• An investigation into non-disclosure agreements.

It’s worth noting that the Gambling Related Harm APPG is funded, at least in part, by a significant list of land-based casinos and amusement arcade owners.

The depth of recommended limitations for online casinos will send shockwaves through the industry, most significantly on collective balance sheets of more than £5.5bn each year. Share prices across the online gaming industry slumped by more than £1bn at the news with significant drops for all the main operators. GVC Holdings (which owns both Coral and Ladbrokes) was down nearly 10.5 per cent, William Hill fell more than 12 per cent and Flutter Entertainment (Paddy Power…