Low cap on betting could result in underground gambling
The Betting and Gaming Council have warned that placing soft betting limits of £100 per month could lead to a surge in underground and black-market gambling.
Review of the Gambling Act
The cap on betting came as part of a review of the 2005 Gambling Act which the Government are currently reviewing. The Social Market Foundation report recommended placing a ‘soft cap’ on betting of £100 per month which equates to £23 a week. The recommended betting limit would apply to all customers in a bid to curb spending on gambling and stopping players falling into serious harm from gambling.
The report also suggested a cap on online slot games of between £1 and £5. However, the suggestions have been criticised by the Betting and Gaming Council, saying such low and arbitrary limits would likely increase the risk of players then seeking illegal operators, creating a black market for gambling larger amounts. Players, although should be protected from harm, should not be dictated to on how much they are able to spend.
If the recommendations are approved, this would mean all operators with a UK Licence would have to adhere to the spending cap and ensure the limits are displayed on their sites
Illegal black market
The worry for many, is that should these caps come into force, more players would then look to play in either unlicensed online casinos or look for non-UK licensed casinos. Although there are many reputable non-UK licensed casinos out there, the UK licence offers players the most protection.
The BGC stated: “We disagree with the suggestion of an arbitrary and random low cap on spending and can think of no other area of the economy where the government determines how much an individual can spend.
“We must avoid measures that see safe regulated betting being driven to unregulated, offshore, illegal black-market operators online who don’t have the same checks, interventions and high standards that apply to regulated BGC members.
“Measures must be proportionate, evidence-led and fully thought through so as not to jeopardise the 100,000 jobs the industry supports or the over £3bn in tax revenues it generates for the Exchequer.”
