A system that allows problem gamblers to block themselves from all UK betting websites in one go has finally been approved by the industry regulator, 18 months after it was supposed to be ready, the Guardian understands.
All gambling companies will be told to sign up to Gamstop, developed by the trade body for online casinos and bookmakers, as a condition of their licence to operate in the UK.
The Gambling Commission, which regulates the industry, is expected to announce the requirement as soon as this week, after satisfying itself that concerns about the scheme’s effectiveness have been dealt with.
Earlier investigations, including by the Guardian, revealed flaws in the self-exclusion scheme which allowed problem gamblers to bypass self-imposed blocks.
In May last year, five months after Gamstop’s unofficial launch, the commission warned the industry trade body, the Remote Gambling Association (RGA), of specific failings in the system.
The commission said it was concerned that Gamstop did not synchronise its list of registered users with companies’ promotional mailing lists. This meant that addicts who signed up in an effort to curb their habit might still be bombarded with direct marketing emails. Such promotional emails have been a common feature of several regulatory rulings against gambling companies including Sky Bet and LeoVegas.
In a letter obtained by the Guardian at the time, the commission’s executive director, Tim Miller, said he was “yet to see proper evidence of the effectiveness” of Gamstop. He told the RGA that it was “unacceptable that currently Gamstop does not interact with marketing lists in that way”.
August 2017
Online casino 888 fined a record £7.8m for failures in its duty to protect more than 7,000 vulnerable customers.
March 2018
SkyBet hit with £1m penalty for allowing gamblers who had self-excluded to keep betting and sending them marketing material.
May 2018
Leo Vegas receives £600,000 penalty for accepting bets from problem gamblers and sending them marketing material.
November 2018
Three online casinos pay out £14m in regulatory penalties over failures in money laundering and problem gambling controls.
December 2018
Ladbrokes is revealed to have paid £1m to victims of a problem gambler who had stolen from them, in return for a pledge not to inform the industry regulator.
April 2019
Bookies withdraw new games after they are accused of trying to bypass laws cutting stakes on fixed-odds betting terminals from £100 a spin to £2. Rob Davies
Around 99% of gambling operators in the UK are understood to have committed themselves to using Gamstop already and those that do not will risk losing their licence to operate. Users of Gamstop, which is up and running but does not yet have the backing of the commission, are believed to number in their tens of thousands already.
The Gambling Commission declined to comment on whether it was on the verge of approving Gamstop. “We have nothing further to announce on this at the moment,” said a spokesperson.
Official approval of GamStop comes amid a broader push by campaigners, the Labour party and even the commission itself to tighten up regulation of online gambling, after curbs were imposed on fixed-odds betting terminals (FOBTs) in high street bookmakers.
Measures under discussion include a ban on betting with credit cards. Labour has called for legislation to replace the Gambling Act 2005, put in place by Tony Blair’s Labour government before an explosion of online casinos and bookmakers.
