Why 38 betting companies got secret deals from the UKGC 6v4d5e

The UKGC has withheld information surrounding the naming of betting companies in exchange for firms to pay failed regulatory profits to charities.

The Gambling Commission kept secret over 30 companies that had committed regulatory violations, provided that they donated their profits from those violations to charitable organisations.

The UK’s regulator has been criticised for protecting these firms over the past five years. But is the criticism justified?

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While it is correct that the names of gambling firms have been kept secret from the public and have not received official sanctions, those who have broken the rules have not gone unpunished.

Those found guilty of violating regulations cannot keep profits from those activities. Instead, it is encouraging to see charities benefiting from this pact at least.

As of 2020, 38 operators have been made to donate these profits to charities. This figure has reached £2 million over the five-year period.

The Gambling Commission has argued that it allows firms to address their regulatory issues quickly. However, they have specified that companies should only be eligible for these special measures if “there is no or limited risk of consumer harm.”

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Critics have argued that betting firms that have gone against UKGC rules should be held publicly able. Member of the House of Lords Don Foster has denounced their actions:

"It's totally wrong to do these things behind closed doors. It doesn't help protect players and it's unacceptable."

The issue surrounding player safety is clear. Operators who are failing to protect players need to be identified, especially if they are also avoiding official and stricter penalties for doing so.

Firms such as Betfair have previously failed to identify problem gamblers and have been protected by the UKGC pact. Controversy surrounding Betfair came following the death of Luke Ashton, who committed suicide and was struggling with gambling addiction in April 2001.

Betfair has since stated that they have improved its consumer protection measures:

“We hold ourselves to the highest standards in the industry and we reiterate our sincere condolences to Mrs Ashton and her family over this tragic case. We have made a number of improvements to our player protections since early 2021.”

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In November 2024, a request was made to the UKGC to reveal the full list of operators who had been placed in the “special measures” pact.

However, they rejected the request, stating that:

“The Commission acknowledges that there is a public interest in promoting the ability and transparency of public authorities and the importance of having sufficient information in the public domain to consumers with their choice of operator, however, disclosure of the information would be damaging to the Commission as a regulatory body which ultimately serves to protect the wider public interest.”

“We consider that the public interest is better served by withholding the documentation ensuring that consumers are protected through our processes rather than releasing information about our processes which in our view will not benefit the public as a whole.”

For the time being, the regulator will continue to protect the names of operators who act swiftly to rectify violations.