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Gambling act review: How to stay ahead of the latest changes
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Gambling act review: How to stay ahead of the latest changes

We explore the soon approaching gambling act review and how it'll push operators to take action on player protection.

Gambling act review: How to stay ahead of the latest changes

The hotly anticipated gambling act review has emerged as a critical initiative in the UK, aimed at modernising gambling regulation and ensuring the industry is fit for the digital age. The review was initially set to come into play in 2021, but due to various delays from COVID and Government priority, has slipped to only now coming into effect.  

Whilst the updated regulation will initially be imposed on operators in the UK, global jurisdictions have been keeping a close eye on the changes to regulation and how it impacts the industry.  

Originally enacted in 2005, the gambling act was designed to regulate betting activities, ensuring fairness and protecting vulnerable players. However, with the rise in online gambling and significant changes in how people engage with betting and gaming, it has become clear that the existing framework is no longer fit for purpose.  

One of the pivotal aspects of the gambling act review is the introduction of new financial risk checks (formerly known as affordability checks). These are designed to enhance responsible gambling initiatives and ensure that players are not gambling beyond their means.

The need for change within the industry is underscored by rising concerns about problem gambling. With an increasing number of people affected by gambling addition, with an estimated 0.5 of the adult population having a gambling problem, 3.8% gambling at at-risk levels, and 7% being negatively impacted by other people’s gambling, it’s critical to implement updated regulation that prioritises players over commercial goals.  

With the first round of changes set to be implemented from 30th August 2024, this blog will explore the financial risk requirements the gambling industry needs to to act on and how to stay ahead of the regulation to avoid penalties and reputational damage.  

Financial risk and vulnerability checks

Light-touch checks: From 30th August 2024, operators must implement these checks on their players. These need to be triggered when players have £500 net deposits in a rolling 30-day period (reducing to £125 from 28th February 2025).

The checks will trigger public records for bankruptcy, CCJ, IVA, HCJ, AO, or DRO.

The purpose of these checks is to inform customer interaction decisions, where the operators must act in response to results whilst considering all other information on the players. Once triggered, the check doesn’t need to be repeated for 12 months.  

Enhanced checks: Currently in a pilot phase for remote operators in fee categories J1+ from 30th August 2024 to 31st March 2025.

The gambling commission specified threshold include triggering a request for a financial risk assessment from a Credit Reference Agency (CRA), to include (where available) credit performance data and aggregated current account turnover.

Operators do not need to act in response to findings during the pilot phase.

Interim Betting & Gaming Council code: The code laid out by the BGC is voluntary but also not endorsed by the Gambling Commission.  

It includes a risk assessment of customers (without production of documents) before they are permitted net deposits of over £5000 per rolling month (or £2500 for under 25-year-olds), enhanced consideration of documentation triggered by a net deposit of over £25,000 in a rolling year.  

How FullCircl can help

FullCircl works with some of the biggest gambling operators including Entain, Novibet, and Fitzdares to understand their pain points in balancing revenue generation with player protection.  

We have developed a financial risk solution which satisfies the need for light-touch checks by evidencing data on players including bankruptcy, CCJ, IVA, HCJ, AO, or DRO. Our solution is designed to remove friction with players whilst staying ahead of the latest gambling commission regulatory guidance.  

FullCircl offers both no-code and low-code integration options to ensure that operators can efficiently implement new services without technical overheads or lengthy integration processes.

Contact us here to find out more.

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