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As U.S. stakeholders at the federal and state levels consider tightening rules around advertising and putting more controls around responsible gambling messaging, the United Kingdom on Thursday released is highly anticipated gambling white paper, which calls for similar moves in a far more mature gaming environment.
The comprehensive study, which was presented at the House of Commons, offers guidance on brick-and-mortar casinos, online casino, and sports betting. The most relevant sections deal with advertising reform and “risk checks.” They suggest putting much of the responsibility on operators to curb “aggressive advertising practices” and do background or periodic checks to ensure that consumers aren’t betting above their means. Authors of the paper also suggest that operators should take a role in funding responsible and problem gambling initiatives.
In her introduction, Culture Secretary Lucy Frazer acknowledged that most UK gamblers bet responsibly and that it is a big part of the culture. She went on to note that the intention of the white-paper recommendations is not to “inhibit the development of a sustainable and properly regulated industry, which pays taxes and provides employment to service that demand.”
Unlike in the U.S., gambling parlors are ubiquitous in the United Kingdom, particularly in major cities like London, where William Hill and Ladbrokes are often as available as convenience stores are in America. Legal gambling has a long history in Europe and the UK, where guidance around gambling was last updated in 2005, before the introduction of the iPhone (2007), which changed the global technology equation for everything from shopping to banking to gambling.
Seeking balance between choice, harm
Frazer cautioned in her foreword that the white paper does not seek to punish responsible gamblers or the industry, but rather to protect minors and other vulnerable groups.
“At the heart of our review is making sure that we have the right balance between consumer freedoms and choice on the one hand, and protection from harm on the other,” she wrote. “It has become clear that we must protect those at risk of addiction and associated unaffordable losses. We must also pay particular attention to making sure children are protected, including as they become young adults and for the first time are able to gamble on a wide range of products. Prevention of harm will always be a better than a cure, so we are determined to strengthen our consumer protections and prevent exploitative practices.”
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A few more questions to go in the UK @HouseofCommons before the ministerial statement on the Gambling Act Review White Paper. 🇬🇧
Watch here: https://t.co/jWX28zTFQJ
I am guessing it will finally be published around 11 AM today?
It should appear here: https://t.co/lw8PL19Prv pic.twitter.com/UAv4pOxozF
— Leon Y. Xiao (@LeonXiaoY) April 27, 2023
If the words out of the UK sound familiar, it’s because stakeholders in the U.S. have been steadily moving in the same direction in recent months.
Regulators in Massachusetts and Maine are laying down some of the most stringent advertising and marketing guidelines in the country and, along with Ohio, led the charge to eliminate the use of the words “risk-free” and “free” in promotional advertising, as well as calling out operators that have advertised to minors. The three states have been keen to keep operators from mass-market advertising that could be seen by minors and to limit how celebrities are used in sports betting advertising.
The UK white paper appears to reflect what is becoming a worldwide concern with regard to protecting minors and those who are most at risk. Italian officials in 2018 adopted an advertising ban and lawmakers in Denmark may be heading down the same road with a proposal to restrict advertising, including a whistle-to-whistle ban on gambling ads during broadcasts.
Problem gamblers small part of UK population
In creating the white paper, the Ministry of Culture, Media, and Sport heard from 16,000 interested parties between December 2020 and March 2021. It also held “hundreds of meetings” and referred to recently released publications.
According to the executive summary, Great Britain has a “relatively low” number of problem gamblers — 300,000 among its approximately 67.5 million residents — but an additional 1.8 million “are identified as gambling at elevated levels of risk.” The 300,000 figure represents less than half of 1% of Great Britain’s population.
In addition to the restrictions on advertising, the Ministry of Culture recommends that the Gambling Commission introduce “risk checks” and impose limiting bets on online slots for between £2-£15 per spin, and a potentially tighter range of £2-£4 for those in the 18-24 range.
The UK White Paper is an opportunity to raise standards & make responsible play a priority, as we have done with our #PlayWell strategy.
We will continue to engage constructively with the Govt. & Gambling Commission as part of the consultation process.https://t.co/W06f0q9KeQ pic.twitter.com/3ki9jI0v8U
— Flutter plc (@FlutterPLC) April 27, 2023
Potentially more restrictive and invasive is a proposal to check risk for those who have a net loss of £125 ($156 USD) per month or £500 ($624 USD) per year. The proposal also includes risk-checking those who have lost £1,000 within 24 hours or £2,000 within 90 days.
Stakeholders will likely find those numbers to be low and time-consuming to track and enforce, though according to the executive summary, the expectation is that these checks will affect only about 3% of online gambling accounts. Conceptually, the checks would be frictionless and the consumer may not even know they are happening, though additional information could be requested from a consumer in some situations.
Authors of the paper suggest that operators be proactive by reviewing accounts and sharing information to ensure that consumers have a single account rather than multiple log-ins.
The white paper is, essentially, a study with a list of recommendations before consulting with the Gambling Commission beginning this summer and trials and discussions with operators. In advance of the white paper’s release, the Premier League adopted a front-of-jersey advertising ban in the Premier League on sportsbook sponsors beginning in 2025-26.
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