A Conservative MP has warned of the dire financial consequences to British horseracing if the Gambling Commission’s proposals for affordability checks are adopted and urged the sport to make its case to government.
Describing the Gambling Commission as “the most out-of-touch regulator in Britain,” Philip Davies said some of the details contained in the public consultation into affordability checks betrayed a complete lack of understanding of betting.
However, Davies, whose West Yorkshire constituency adjoins that of sports minister Stuart Andrew, believes the UK government can be persuaded to overrule some of the consultation’s most troubling proposals, while arguing that, in Rishi Sunak, Britain “could not have a more racing-friendly prime minister”.
At the end of April the government published its much-delayed white paper on gambling reform, in which it proposed two tiers of supposedly “frictionless” checks that would be conducted to check if individuals could afford their level of gambling. The first, which would be triggered by a spend of £125, would check for details such as bankruptcy orders, while a more invasive “enhanced” check of personal finances would be triggered at a spend of £1,000 over 24 hours, or £2,000 over 90 days.
Last month the Gambling Commission published its detailed proposals for operating the checks. These included the suggestion that for the purposes of calculating spend winnings should only be counted as winnings for as little as seven days, and that enhanced checks should be rerun every six months to check financial circumstances had not changed. Concerns have also been raised at the degree to which checks will be frictionless, or whether many bettors will still have to provide bank statements and payslips to their bookmakers.
Responding to the proposals, Davies said they were representative of a total lack of knowledge about the industry over which the Gambling Commission has jurisdiction.
“They must be the most out-of-touch regulator there is in the country, and that’s a strong field,” said Davies. “We’re going to find that tens of thousands of people, who are not problem gamblers, are going to be stopped from gambling any meaningful amount by the Gambling Commission.
“And it’s going to have devastating consequences for the horseracing industry. I think the racing industry and the bookmakers are being complacent about the effects, which are going to be crippling and absolutely devastating.”
One particularly contentious element contained in the consultation is the seven-day limit for calculating net loss on an account.
Davies said: “There’s the proposal that any winnings from more than seven days ago will not be taken into consideration. What on earth is that about?
Gambling Commission chief executive Andrew Rhodes
“Say you just bet at major meetings. You could win £20,000 at Cheltenham, and if you lose £1,000 at Aintree you’ll be facing affordability checks. You’d have to be an absolute moron to think that makes sense.”
Davies added: “It’s embarrassing. The people at the Gambling Commission are zealots.”
Davies also warned that if the government accepts the Gambling Commission’s proposals wholesale, there will be limited opportunities for MPs to make any alterations.
“The government has to get a grip of the Gambling Commission,” he added. “They can’t leave it to them because they will destroy the racing industry and people’s enjoyment of betting.”
While Davies enjoys a reputation as someone who has not been afraid to defy the Conservative whip on occasion, he feels that racing’s leaders and professionals will continue to enjoy a sympathetic ear from the government as they press their case.
“Stuart Andrew is my next door neighbour as an MP and I know for a fact he does not intend any harm to come to the racing industry,” said Davies. “If he understands the seriousness of what the Gambling Commission is proposing, I think he will seek to intervene.
Stuart Andrew has ministerial responsibility for gambling
“And we could not have a more racing-friendly prime minister. Obviously Middleham is in his constituency, and he has a very good relationship with the trainers there.
“I would urge those trainers to go and speak to Rishi as a matter of urgency and to warn him how catastrophic this could be for the racing industry if the government doesn’t intervene and bring the Gambling Commission to heel. Rishi is very pro-horseracing and the trainers in Middleham know that.”
The Gambling Commission consultation closes on October 18.
- How to respond to the Gambling Commission consultation: Views can be provided at this page. After completing the introductory questions, select ‘Remote gambling: financial vulnerability and financial risk’ from the ‘Consultations contents page’. You may choose to answer as many or as few questions as you wish. Further Racing Post guidance on responding to the consultation can be found here.
- The Racing Post wants to hear from you: What has been your experience of affordability checks since the white paper was published at the end of April, and what do you think of the government’s proposals? Have affordability checks affected your betting behaviour?
It’s a chance for your voice to be heard. Email the Racing Post at [email protected] with the subject ‘Affordability checks’ to share your experiences, your thoughts about the government’s proposals, and your contact details.
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Affordability checks explained and how to respond to the Gambling Commission consultation
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