The Gambling Commission (GC) and the Betting and Gaming Council (BGC) have jointly introduced two sets of new regulations and standards for gambling companies operating in the UK.
These measures aim to improve consumer protection and minimise the risk of harm associated with gambling activities. The regulations outlined by the GC will be phased in through four stages until completion in February 2025. Concurrently, the BGC’s Code on Customer Checks, developed in collaboration with the GC, represents a voluntary framework for financial assessments. Let’s break down the key provisions of both sets of rules:
New Rules by the Gambling Commission (GC):
- Financial Vulnerability Checks: The GC has implemented a set of financial vulnerability assessments to detect and support individuals susceptible to financial harm resulting from excessive gambling. These assessments will progressively tighten over time.
- Starting from 30th August 2024, individuals with a net gambling deposit of £500 or more per month will undergo these checks.
- By 28th February 2025, the threshold for these checks will be lowered to a net deposit of £150 per month.
- Frictionless Financial Risk Assessments: A pilot program will be launched to evaluate players’ financial risk of harm by using data from both gambling firms and credit reference agencies. This will be tested for six months to see its effectiveness. Importantly, these assessments won’t affect people’s credit ratings.
- Reduction of Intensity in Online Products: Certain features aimed at reducing the intensity of online gambling experiences will be implemented by 17th January 2025. These include the removal of several elements such as autoplay, turbo, and slam stop features, as well as limiting casino spin speeds to more than five seconds.
- Direct Marketing: Starting January 17th, 2025, online gambling firms are required to offer opt-in choices for direct marketing. This regulation solely applies to online gambling, empowering customers to control their exposure to advertising.
- Age Verification: Brick-and-mortar gambling venues must check the age of anyone who looks under 25 instead of 21. This begins on August 30, 2024.
- Personal Management Licences: Certain roles within gambling companies will have clearer responsibilities and longer expected commitments. These changes come into effect on November 30, 2024.
New Rules by the Betting and Gaming Council (BGC):
The BGC’s Code on Customer Checks focuses on protocols for operator engagements when players make significant net deposits exceeding £5,000 per month (£2,500 for individuals aged 18-24) or £25,000 annually. Presently, individuals aiming for the latter threshold might be asked to provide financial documentation to demonstrate their low-risk status. Key provisions include:
- Vulnerability Assessments: Operators must conduct vulnerability assessments for players who meet the specified threshold or the criteria outlined in the financial vulnerability checks established by the GC.
- Interaction Measures: Operators are required to engage with players through questionnaires, deposit limit requests, activity statements, and live interactions to identify and assist vulnerable individuals.
- Risk assessments will be carried out for players intending to deposit £5,000 or more per month, which may include income or wealth evaluations. Enhanced Due Diligence (EDD) documentation will be required for individuals depositing £25,000 or more annually.
- Intervention Measures: Operators must implement intervention measures for individuals deemed to be at risk, aimed at preventing further harm associated with excessive gambling.
Earlier, the British Gambling Commission outlined its strategic priorities for the upcoming four-year period.
