Gambling minister Stuart Andrew has said proposals contained in the government’s gambling review white paper would only impact “a small minority” of customers and cause as little disruption as possible.
However, he also claimed that the Gambling Commission’s requirements around the controversial subject of affordability checks had been “misrepresented”.
Andrew, who recently became the sixth gambling minister to be appointed since the gambling review was launched in December 2020, was commenting in letters seen by the Racing Post in response to “concerns relating to affordability checks and the potential impact they may have on horseracing in Britain” following a letter-writing campaign to MPs organised by Racecourse Media Group.
British racing’s leadership has warned that it would be “financially devastating” if blanket affordability checks were to be introduced as a result of the white paper.
The sport has also claimed checks introduced by operators under pressure from the Gambling Commission are already reducing the sport’s revenues by tens of millions of pounds.
In his letter Andrew said the government recognised “the significant contribution that racing makes to British sporting culture and its particular importance to the British economy, especially in rural areas”.
He added: “The Gambling Act review is a comprehensive look at regulation to make sure it is fit for the digital age and we want to make sure we get the right balance between respecting freedom of choice and preventing harm. Through the review, we are considering whether the right protections are in place to protect people who gamble online and whether there are sufficient controls to prevent unlicensed gambling.
Stuart Andrew: Gambling Commission “has not imposed blanket checks on spending levels”
“Proposals in the white paper will be proportionate and targeted to prevent harm, impacting a small minority of customers and with as little disruption as possible. The government is giving full consideration to the impact of proposals, including on horseracing.”
Andrew said he was aware of the debate about affordability checks and said the government would continue to work closely with the Gambling Commission.
However, he added: “Some recent media coverage has misrepresented the Gambling Commission’s existing requirements. The regulator expects operators to have proportionate and effective approaches to managing financial risk as part and parcel of preventing gambling-related harm and operating a sustainable business. It has not imposed blanket checks on spending levels for any form of gambling.”
British racing is calling for the government to review the levy to provide extra income for the sport by extending it to include a share of money bet on overseas racing by British punters and also switching it to a system based on turnover rather than gross profits as it is now.
Andrew said the government was committed to reviewing the levy by 2024, adding: “It meets regularly with racing stakeholders and will consider carefully any information they provide. In the meantime, we will continue to work with racing and the Horserace Betting Levy Board to make sure the benefits of the levy are maximised.”
Publication of the government’s white paper has been subject to a number of delays and the document is not expected to appear until the second half of April at the earliest.
Comment: racing will be hoping Andrew is right about white paper proposals
By Bill Barber, Industry editor
Having had six ministers to deal with since the government launched its review of gambling regulation in December 2020, operators probably have a league table of those they have liked best. The comments in Stuart Andrew’s letter would suggest he is in the middle of the pack.
His predecessor Paul Scully said earlier this year that it was not up to the Gambling Commission to decide how much money someone could afford to gamble.
Andrew’s comments are much more in line with the Gambling Commission’s arguments as he said the regulator’s position on affordability checks had been “misrepresented”, arguing it had not imposed “blanket” checks and citing the same examples of operator failures which the commission’s chief executive Andrew Rhodes had mentioned in a speech last month.
Of course, racing’s leadership, among others, has not said the commission has imposed “blanket” checks, but fears the consequences if they are introduced.
They are also concerned about the checks already taking place for some customers which the commission has unconvincingly argued it has had nothing to do with.
It is to be hoped for British racing that Andrew is correct in saying that proposals in the white paper will be targeted at the small minority who are suffering harm from gambling and leave the rest to enjoy their pastime in peace.
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