Are UK Bookies Ignoring Problem Gamblers?

A system that identifies possible problem gamblers and urges them to take breaks is not being utilized by all UK bookmakers, according to a report. The system was developed by the gaming industry to curb addictive play.

No standardization in system

A system devised by UK bookmakers to address problem gambling in high street betting shops is being selectively applied across the gaming industry, according to a new study from PricewaterhouseCoopers that was recently reported in the Guardian. The publication said PwC “exposed vast differences in how firms apply the measures.”

The so-called player awareness systems are meant to detect addictive play on fixed-odds betting terminals and send text or email messages that encourage players to take a break.

The government is now planning a review of FOBTs, which have been called “the crack cocaine of betting” because they let players wager up to £100 (US$123) every 20 seconds. The PwC report, commissioned by the Responsible Gambling Trust, noted “multiple flaws” in the systems which pinpoint signs of compulsive gambling and high-stakes gambling.

Once a customer is identified as being “at risk,” he or she can be sent messages encouraging them to take a break or warning them of the dangers of addiction or be warned via pop-up messages on the FOBT screen. The report found that some companies are not using the system consistently. And in at least one case, a bookmaking firm was shown to engage with less than half of suspected problem gamblers. The report did not name individual companies.

For example, one bookmaker flagged a customer more than 1,700 times but sent fewer than 630 alerts to that customer for the period in question. The report also found that just two people asked bookmaking firms to ban them from play, which calls into question the industry’s commitment to self-exclusion programs.

“At this early stage of the initiative, the design of the systems and processes is still a work in progress,” said PwC.

Labor MP Carolyn Harris said the bookmakers are “paying lip service to the commitment to look after the punters, as they call them. It’s not acceptable. I wish they were as quick to send messages warning people to stop as they are to send adverts encouraging people to use FOBTs.”

“Clearly this system, designed by the bookmakers themselves, is in complete disarray and is far from adequate to address gambling addiction,” agreed Derek Webb, a former professional poker player who founded the Campaign for Fairer Gambling. “This is only another ineffective PR exercise and it should not deter the government from stake reduction to £2 in the pending review.”

A spokesperson for the national Gambling Commission said the regulatory body is “pleased that the Responsible Gambling Trust commissioned work to evaluate the effectiveness of player awareness systems across the industry, and making the findings publicly available demonstrates that it has been a transparent process.

“We look forward to seeing how the industry utilizes the results to shape best practice for operators in a bid to strengthen the protection of players.”

Malcolm George, chief executive of the Association of British Bookmakers, added that the report “has greatly helped in identifying some of the strengths and weaknesses of the varied systems that were developed by operators.

“While each operator was at different stages of development during the three month period examined by PwC, which immediately followed the launch of the program, identifying best practice has led to significant improvement since that time. We will continue to build on this work towards developing greater alignment between operator’s player awareness systems and a consistent set of standards.”

Meanwhile, the UK Gambling Commission will amend license conditions and codes of practice to help prevent gambling-related crime. According to the website Yogonet.com, the changes due by the end of October will require licensees to report criminal investigations they are involved in; assess and manage the risk of their business being used for money laundering and terrorist financing; create effective policies and procedures for handling cash and cash equivalents; and ensure advertising do not appear on sites that provide unauthorized access to copyrighted content.

The UKGC also requires licensees “to report irregular/suspicious betting patterns, prohibit employees from placing bets using information relating to these patterns, and include in their customer terms and conditions that the customer must not be in breach of relevant sports governing body or other rules.”

In a statement on its website, the UKGC said: “We think that the most effective regulatory approach is to focus on the outcomes we expect operators to achieve.

“In some areas we specify particular rules or processes, but where possible, we aim to allow licensees to take differing approaches to meet our requirements; this includes using rapidly developing technological tools and data analytics. We have powers to take action against licensed operators who fail to comply with the conditions of their license or codes of practice.”