Gambling Ads Crackdown in the UK

February 20, 2018 2:00 PM
  • CDC Gaming Reports
February 20, 2018 2:00 PM
  • CDC Gaming Reports

The Committee of Advertising Practice (CAP) in the UK have announced a slew of new regulations designed to help protect vulnerable gamblers. These regulations will apply to all advertisements broadcast during live sporting events, of which the UK has an incredibly high number. A recent study by the BBC found that 95% of all advertising breaks during live football matches contained at least one gambling ad.

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CAP have stated that they will prevent any ads from airing which encourage repetitive play or offer “risk free” deposit options. This includes “bet now,” a very frequently used phrase in gambling adverts; any urgent encouragement to “bet now” will henceforth be banned in UK ads.

CAP has mentioned that they have received numerous complaints – indeed, the majority of complaints relating to gambling ads – concerning the requirement to deposit funds before accessing “free” bets or being able to withdraw winnings. In future, all such terms and conditions must be displayed much more clearly in ads, and cashback offers must be in real money, not bonus bets.

CAP mentioned, as an example of a troublesome ad, a Ladbrokes ad offering “up to £50 free bet”, where punters would have the value of their deposit matched up to £50. If they deposited £5, they would receive only £5 in free bets. This was explained in terms and conditions which needed to be clicked on and read through in a pop-up window. CAP stated, “this (advert) looks problematic under our new standards”.

The Advertising Standards Authority (ASA) are also planning to use these new standards in responding to complaints over advertising in future. The deadline from which these new rules will apply is the 2nd April, presumably to give operators time to adjust their advertorial offerings. However, the restrictions on promoting “risk free” bets will apply with immediate effect.

GVC have already faced a £350,000 fine after their brand Electraworks was found to have promoted a “matched deposit” of £30 which in fact required players to deposit over £100 to access the bonus funds. This fine was levied following an investigation by the UK Gambling Commission (UKGC).

Shahriar Coupal, Director of the Committees of Advertising Practice, stated that “We won’t tolerate gambling ads that exploit people’s vulnerabilities or play fast and loose with eye-catching free bet and bonus offers. Our new guidance takes account of the best available evidence to strengthen the protections already in place, ensuring that gambling is presented responsibly, minimising the potential for harm.”

These changes come in the wake of a rocky year for the UK gambling industry, with numerous scandals surrounding negligence with regard to customer due diligence, poor training of staff to support problem gambling issues, advertising using child-appealing content, and more. These regulatory adjustments are likely to be the first of many to be seen in the UK industry, and we can expect to see more fines levied if operators drag their heels in adjusting advertorial content. Frankly, it’s high time we saw some changes on the ground which allow for a healthier gambling environment here in the UK.