Ladbrokes investigated after possible breach of EU rules

Gambling operators, Ladbrokes, are currently under investigation by the European Commission in regard to their virtual betting terminals in Belgium and whether these terminals operate within the European state rules.

Investigation into Ladbrokes’ betting terminals

Ladbrokes have a huge presence in Belgium with over 300 high street betting shops operating there.

The investigation commenced after complaints were made about the digital terminals by two other gambling operators after they were denied the right to operate the same style of betting terminal during 2015 and 2016, yet Ladbrokes had been granted permission to operate these, both in stores and online, from 2014 to 2015. This obviously raised questions as to why Ladbrokes had been granted permission, yet other gambling operators were denied?

A spokesperson from the EU commission said: “The commission has concerns that the authorisation granted to Ladbrokes may have resulted in the betting company enjoying a de facto exclusive right to operate virtual betting in Belgium since 2014, without any remuneration in favour of the Belgian state by Ladbrokes in return. The commission has doubts that it complies with EU state aid rules.”

Turbulent year for Ladbrokes

News of this investigation has only added to the turbulent year for Ladbrokes and its owners, GVC Holdings. In the last few weeks, Kenny Alexander, long-term CEO of the company, swiftly left his position under a cloud of doubt and is now being investigated by HMRC, the UK’s tax authority.

GVC Holdings have also recently appointed a new Head of Media Relations, Tessa Curtis, who at present, has not commented on this recent investigation.