The UK Gaming Commission is warning fantasy sports sites—both season-long leagues and daily fantasy sports sites—to acquire proper authorization and licensing if charging entry fees.
The commission issued guidelines just ahead of the British soccer season for fantasy leagues “run through the course of a business.” The guidelines say that operating, or even advertising, a fantasy contest could require a pool betting license in the country. The guidelines do not apply to privately run leagues among friends.
The commission also warned that promoting a fantasy sports contest—even on social media—could also require licensing. The commission said gambling advertising includes doing anything that encourages someone to gamble, or provides information about gambling facilities so that it will increase use. This also includes Twitter or Facebook posts, whether public, or private or within groups.
“Fantasy football is no doubt a popular pastime for many during football season and many will be thinking about setting up their own league this summer,” said Ben Haden, program director of the commission in a press release. “We want to ensure that those organizing these leagues—whether it’s between friends, work colleagues or otherwise—are aware of the legalities and do not breach gambling rules.”
The commission published these questions for businesses to ask themselves to determine if they need licensing:
• Does it look and feel like commercial gambling?
• Is it run for profit?
• Is there any deduction for running costs?
• Is the source of participants beyond a genuine circle of friends and relations?
• Is advertising used to obtain participants?
• Is the size of the league beyond what is normal for a private league?
• Can any member of the public view or join the league?
• What is the level of activity required in running the league?
• Are there any wider revenue sources?