Major reform of gambling laws to protect vulnerable users in smartphone era
The Gambling Commission collects data on the outcome of individual gaming machine sessions (e.g. whether customers have won or lost overall and their net position). Legislation was subsequently enacted to reduce the maximum permitted stake on B2 gaming machines from £100 to £2, from April 2019. Debit card payments, including contactless, have emerged as an alternative to cash in the wider retail economy, but gambling premises have largely remained cash-based. Secondary legislation (the Gaming Machine (Circumstances of Use) Regulations 2007) prohibits the use of debit cards for direct payment on gaming machines, and prohibits any use of credit cards. Members’ clubs and miners’ welfare institutes may offer up to three gaming machines if they hold a club gaming permit (CGP) or a club machine permit (CMP).
Registration was the fastest of any site I tested this round — under two minutes including ID upload. Not the strongest casino bonus, but the breadth of the offering makes up for it. Sign-up and a £30 deposit via Skrill took about four minutes including the new-account ID check. The £15 minimum deposit and acceptance of Skrill and Neteller — which a chunk of UKGC operators dropped in 2024 — broaden the audience.
Game Variety – Something For Everyone
The Gambling Commission raised concerns that arcade and bingo venues have sought to maximise their number of Category B machines under the current rules by providing Category C and D gaming on tablets and in-fill machines. As outlined in the white paper, we strongly encourage operators to continue to improve player safety controls on Category B3 machines. In addition, we noted that some player safety improvements have been made to modern Category B3 machines which cannot easily be replicated on older machines, and that customers can and do play at lower stakes than the maximum on Category B3 machines. As above, 1968 Act casinos will retain the option of continuing to operate under the existing regime should they not wish to increase their machine allocations. Premises licence fees are collected by licensing authorities for applications and annual renewals to cover the cost of administration of their gambling duties and gambling enforcement. Currently, annual fees for 1968 Act casinos are between 65% and 90% of the annual fees that 2005 Act casinos in the equivalent fee category are required to pay.
Operators can only market to you if you have opted in per product (casino, bingo, sports) and per channel (SMS, email, push). Auto-play is prohibited on all licensed online slots. Every spin on a UKGC-licensed online slot must last at least 2.5 seconds. The Commission issues licences, writes the LCCP, investigates breaches, and has the power under Section 116 of the Gambling Act 2005 to warn, fine, suspend or revoke.
We will review the Commission’s licence fees during 2024 to ensure it has the resources to continue improving how it delivers its core responsibilities and the commitments across this white paper. We will ensure it has the powers and resources it needs to pursue the licensing objectives, with the flexibility to meet challenges like the black market or boundary-pushing products. A Code of Conduct for gambling sponsorship will complement the principles already in place for alcohol sponsorship through the Portman Group code, as well as further developing the established culture of self-regulation in the sport sector. The ASA’s ‘strong appeal’ guidance also recognises esports, like Premier League footballers, as high risk content in terms of its inherent appeal to children. The reduced exposure to sponsorship during matches that this measure will achieve in the world’s most popular league will complement the existing whistle-to-whistle ban, which prevents gambling adverts from being broadcast during live sporting events. Up to 40% of the UK population watches live Premier League coverage, meaning that reducing the visibility of gambling sponsors should result in a meaningful reduction in exposure to gambling branding for millions of children and adults alike.
The following documents can be used as resources to inform operators’ assessments. Operators are required to carry out their own money laundering and terrorist financing risk assessments. This will allow the missing SI number to be replaced in the draft Casinos Regulations which is currently marked by asterisks.
In the meantime, we welcome steps by some online platforms to empower individuals to ‘opt out’ of gambling advertising. The Commission will continue to closely monitor practices around online VIP schemes to make sure they are not used to exploit at-risk gamblers. There is good evidence that it can have a disproportionate impact on those who are already experiencing problems with their gambling. Where prize draws are not subject to regulation, we have limited information on the size of the market and the scale of possible gambling-related harm. Government is clear that cryptoassets must not become a vehicle for lower standards in the licensed gambling sector, either in terms of harm prevention or regulatory compliance.
As the Commission has set out, experience has shown that such applicants are normally unable to provide complete and satisfactory evidence to answer the questions used to determine applications, including those to assess whether criminal activity has been a source of funds. Similar issues have been raised by the Commission in relation to operating licence applicants seeking to use cryptoassets as evidence of source of funds. The volatility of cryptoasset prices may also impede safer gambling measures, including setting financial limits and identifying unaffordable gambling, and can effectively create a double unknown where the theoretical value of the stake fluctuates alongside the actual bet. Operators must declare to the Commission any changes to the payment options (including cryptoassets) through which they accept deposits and provide assurance this would not pose any risks to compliance. This will include further reinforcement on the due diligence checks necessary to mitigate risks to the licensing objectives. To ensure all licensees fully understand their responsibilities when entering into such arrangements, the Gambling Commission will consolidate existing information and good practice for operators on contracting with third parties, including white labels.
Firstly, it would split family groups, requiring adults who wish to play these machines to leave the group playing on non-gambling products. For example, Bacta commented that ‘cash-out’ Category D slot-style machines are substantially different from harder gambling slot machines, and are better described as fruit machines or amusement with prizes machines. These responses highlighted the low-risk nature of these machines. Concerns were also expressed that the exposure of these machines to children may normalise gambling behaviour. However, we will not mandate that these machines be moved into age-restricted areas as we do not believe that it is proportionate, considering the lower risk posed by these types of machines.
In smaller sports such as darts and snooker, a substantial amount of sponsorship revenue also comes from gambling operators. A parallel change in gambling operators’ approach to advertising has been the increasingly visible integration with sports. The sector will have continued to change since this estimate, and the COVID-19 pandemic caused the advertising market to shrink overall, but it is likely that the dominance of data-driven online advertising has been further cemented over recent years. Marketing online now accounts for well over half of operators’ advertising spend, with social media and paid-for online ads in particular having seen growth in recent years. Children’s exposure is lower but still significant, with 66% of the 11 to 16-year-old respondents to the 2022 Young People and Gambling Survey reporting their exposure to adverts or promotion about gambling happens offline and 63% stating they had seen advertising online or on an app. Since its implementation, gambling marketing has become highly visible and lucrative, with analysts Regulus Partners estimating that in 2017 gambling operators spent around £1.5 billion across all advertising channels in the UK — accounting for around 7% of the £22.2-billion UK advertising sector that year.
This empowers consumers with granular control over the gambling non gamestop casino advertisements they receive. This ensures steady funding for research, prevention, and treatment services while removing industry control over how the funds are spent. The voluntary industry contributions have been replaced with mandatory payments under the new statutory levy system.
We regulate most types of gambling in Great Britain, including The National Lottery in the UK.
This requirement is also subject to guidance issued by the Commission, the policy statement produced by the licensing authority and the three licensing objectives. The Council expects that applicants and existing operators will need to meet the specific GVZ policy and expect enhanced scrutiny from the Council to ensure that the operation is in line with that policy and the principles of the legislation. Westminster City Council recently introduced a new gambling policy statement which includes the designation of several Gambling Vulnerability Zones (GVZs). This enables a local planning authority (licensing authority) to take into account a variety of different factors, such as the balance of uses of an area or high street. Some submissions from licensing authorities suggested the ‘aim to permit’ provision should be removed altogether from the Act.
- We acknowledge that some player safety improvements have been made to modern Category B3 gaming machines which cannot be easily replicated on the older Category B3, C and D machines.
- According to the 2022 data, the problem gambling rate of 11 to 16-year-olds (using the DSM-IV-MR-J screen which is specially adapted for children) was 0.9%, equal to about 35,000 children aged 11 to 16 in mainstream secondary schools.
- Football pools and society lotteries have a statutory minimum age for play of 16 years, but some operators voluntarily apply a higher age limit of 18 years.
Cashless principles and player protections
Each should have its own casino premises licence and its own principal entrance from a street, and it must not be possible to enter one of them from other gambling premises. Currently, a number of 1968 Act casinos operate more than one premises licence at the same physical location. Allowing 1968 casinos to increase their machine offering above their current allowance of 20 could result in greater customer willingness to take breaks, which will likely increase reflection and reduce risk. The rules have also incentivised holders of multiple 1968 Act casino licences to operate them as separate entities in the same premises for the purpose of increasing machine numbers.
Similarly, PHE’s evidence review found no substantial evidence to establish that exposure to advertising is a risk factor for harmful gambling, although this may only indicate a lack of evidence rather than a lack of relationship as PHE only examined systematic review level evidence. We are calling on operators to take existing commitments in the industry code further, and use the full potential of available advertising technology to target all online advertising away from children and vulnerable people and those showing indicators of harm. The Commission will also take forward work to strengthen consent for direct marketing for online gambling, with both new and existing customers given more choice on what offers they want (including requiring consent to ‘cross-selling’ new products) and how marketing is sent to them. Although there are no specific laws preventing customers’ use of cryptoassets to fund gambling, operators may only accept them as payment if they can comply with all Gambling Commission requirements, including anti-money laundering, ‘know your customer,’ and safer gambling measures. Not only is self-exclusion an unsuitable substitute for account closure in most circumstances, but it is also a key proxy for harm used by operators to learn how to identify potentially harmful gambling within play data.
A response from an advocacy organisation opposed the introduction of direct debit card payments on the basis that there is evidence that cashless payments result in increased and unplanned spending when compared to cash. One betting shop operator was concerned that allowing direct debit card payments would minimise the interactions a customer has with betting shop staff as their current customer journey requires a certain level of interaction with a staff member. They stated that it would be an unnecessary and disproportionate burden for a low stake and low prize machine.
Other responses from outside of industry thought that the cooling-off period should be longer, with respondents stating either 60 or 120 seconds. There was consensus from industry that the length of the cooling-off period should be 30 seconds if these voluntary limits are hit. While Category D crane grabs may be a lower risk, they are more likely to be played by children and we think a cautious approach to debit card payments should be taken in general.
For operators, they establish higher compliance standards and greater accountability. The UK operates strict gambling frameworks, with the UK Gambling Commission charged with protecting players & ensuring market integrity. It is important to note that illegal gambling activities may not be safe in the UK.
Following the publication of the independent Football Index report, we also committed to looking at whether gambling companies should do more to demonstrate their ability to cover liabilities arising from long term bets, especially if they make up a large proportion of their business. These changes provide greater clarity to applicants that gambling products that could be mistaken for an investment are unlikely to be licensed by the Commission. In response to the recommendations, the Gambling Commission has updated its framework for how it assesses risk so that product novelty is fully considered. Both regulators have taken a number of steps to address points identified in the review, including agreeing to a strengthened Memorandum of Understanding which includes new escalation routes to make sure regulatory impasses and overlaps are identified and quickly overcome. The review set out a range of recommendations for the Gambling Commission and the FCA, including on how they worked together. The review provided a detailed and objective account of the regulatory circumstances around the granting of a licence to BetIndex Ltd, its subsequent suspension and the company’s ultimate financial failure.
However, online bingo will still fall under Remote Gaming Duty, and operators must continue to meet Gambling Commission regulations. For players, the levy funds research, prevention, and treatment for gambling harm, so clearer rules help ensure funding is calculated correctly. Following a review, the levy now applies only to gambling revenue generated from Great Britain customers, not income earned from overseas markets. For players, it is intended to ensure machines on the market meet regulatory standards and operate fairly. The goal is to ensure the Commission understands who owns and finances gambling businesses, helping reduce risks linked to crime or financial misconduct.
This GGY increase has been applied to all 1968 Act casinos (which will now be able to offer sports betting). Therefore, we have formed a range estimate around these figures, with a lower bound of 0.1% and an upper bound of 1% (to allow for the possibility of a structural transformation in the market with sports betting at casinos becoming a widely recognised option among consumers and therefore much more prevalent). In an illustrative example (based on an industry call for evidence response about one type of game), against £1 million staked, the operator might take £80,000, with £920,000 returning as winnings to the gambler. The Gambling Act 2005 prohibits land-based casinos from offering credit but they can accept payment by means of cheques that are not post-dated.
Nonetheless, we and the Commission continue to monitor this closely, and as the Commission has set out, it will take further action if there is evidence to suggest the new rules have not delivered the objectives. Its additional work to ensure that where bonuses are offered, they are constructed and applied in a socially responsible manner which does not encourage excessive or intense gambling, is detailed below. The Gambling Commission will explore the evidence base on the potential impacts of a range of targeting mechanisms further through consultation, and take action if required. In recent years, a number of jurisdictions across Europe have introduced greater controls on how operators are permitted to offer bonuses. We recognise this is limited evidence, and it is important that we continue to build the evidence base around bonuses.
We will also permit a smaller increase in machines for venues that do not meet the size requirements, proportionate to their overall size and non-gambling area. The land-based gambling sector, unlike the online gambling sector, has faced significant challenges in recent years as a result of business inactivity during periods of COVID-19 restrictions. However, we recognise that a minority of customers do experience gambling-related harm and that it is necessary to have safeguards in place to protect customers.
In the meantime, the Betting and Gaming Council (BGC) has provided us with an informal evaluation of some of the measures which were voluntarily adopted by most operators in September 2020. While we cannot preempt the outcomes of the Gambling Commission’s review, strengthening the verification procedures for gambling accounts (for instance by matching payment information) should bring benefits for all parties. For instance, we welcome the steps taken by some operators to introduce enhanced security measures, such as multi-factor authentication. With new payment regulations now in force, the Commission can reassess this issue and determine whether new requirements for licensees might be justified to address the risks identified above. SCA has now come fully into force, so card-based e-commerce transactions that are non-compliant should now be declined.
All UKGC-licensed casinos are required by law to verify your age before you can deposit or play for real money. We list only trusted casinos with transparent bonus terms. Most UK casinos support Visa and Mastercard debit cards, PayPal, Apple Pay, Skrill, and Neteller. Every casino we recommend is fully UKGC-licensed and independently tested for safety and fairness.Which is the best online casino for me? The UK Gambling Commission (UKGC) oversees all online gambling activities in the UK. You must be 18 or older to play.What casino games can I play online?