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The UK’s gambling paradigm is passing a turbulent time since the reforms to the Gambling Act 2005 were proposed in the House of Commons back in April 2023. Experts believe the new reforms will put pressure on operators as well as players. The UK’s existing legislation is already considered one of the strictest in the world.
Gambling Reform: The Highlights
As it is with most statutory mandates, the gambling reform includes a lot of proposals. Among them, only a handful have caused controversy and triggered a backlash from different communities. The main proposed changes include:
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- Stake Limits: The days of uncapped gambling may come to an end with the proposed stake limits for players. The proposed limits are up to £4 for players between 18 and 24. Players over 24 will be limited to £15.
- Affordability Checks: This is the primary source of the backlash among the general public. Most players believe the additional background changes will invade their online privacy. A limit on spendings is, apparently, a major issue for them.
- Mandatory Levy on Firms: This point of the proposed reform solely affects the gambling operators in the UK. Until now, there is no mandatory levy on the operators to fund gambling-related treatment or research. Once the reforms go live, the operators will need to donate a lot more to the cause.
Most UK casino sites such as those numbered at Casino Gambler strongly believe that the increased surveillance of regular players will impact the participation rate dramatically. The reform proposal is revealed in a time when the United Kingdom is leading in Europe’s booming gambling scene.
According to the latest projections, Europe's online gambling market will register a 9.20% CAGR for the next 5 years. The UK secured the leading position with at least 6% of users aged between 25-34 and 45-54 engaging in online gambling at least once every 3 months.
Once the proposed reforms go live, the participation rate will drop, decreasing the anticipated revenue for the gambling firms. With other proposals imposing mandatory levy on betting operators, the UK market may witness the withdrawal of services from a lot of international operators.
The Positive Feedback
The proposed gambling reforms in the UK are not exclusively criticized. Many casino operators believe the tightening of regulators will help mitigate unhealthy gambling practices among vulnerable communities. Also, the enhanced power of the Gambling Commission can be an excellent weapon to combat black market gambling.
The Interim Chief Commercial & Marketing Officer of the popular iGaming company Kindred Group said, “We welcome the measures outlined in the White Paper and support its ambition to update legislation to develop a dynamic regulatory system for gambling fit for the digital age.”
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