Gambling Using A Credit Card Will Be Banned From April 14

Marco Green
January 15, 2020

Long in the making, a credit card ban related to the online gambling industry in the United Kingdom is now under way, with regulators and lawmakers agreeing to give the measure the go-ahead.

This latest announcement from the Gambling Commission comes after the introduction of certain measures such as reducing the maximum stake on fixed-odds betting terminals from £100 to £2.

Separate research undertaken by the Commission shows that 22%** of online gamblers using credit cards to gamble are classed as problem gamblers - with even more at some risk of harm. Moreover, gambling with money they do not actually own could prevent players from actually realising the extent of their gambling, not to mention it could lead to chasing losses to a great extent, too.

In addition, during 2019 the Department for Digital, Culture, Media and Sport (DCMS) had held discussions with United Kingdom banks and gambling operators to discuss growing concerns on credit wagering, assessing how incumbents could use customer data and technology to stop problem gambling transactions.

The culture minister, Helen Whately, said: "There is clear evidence of harm from consumers betting with money they do not have, so it is absolutely right that we act decisively to protect them".

"Nearly a quarter of people who gamble with credit cards then come into this category of being "problem gamblers" where gambling is really damaging their lives".

The UK Gambling Commission on Tuesday announced that from this date all online operators licensed by them must participate in the multi-operator self-exclusion scheme.

"Gambling is a public health issue and mobile technology gives people access to gambling anytime, anywhere".

The scheme that has been developed for the online sector will allow consumers to self-exclude from online operators with one request rather than from each operator individually.

Brigid Simmonds, head of the Betting and Gaming Council which represents the industry, said: "We will implement a ban on credit cards and indeed our members will go further to study and improve the early identification of those at risk".

Picture: Credit cards (SOPA Images/SIPA USA/PA).

A spokesperson says the company is "committed to safer gambling and will continue to work with all relevant stakeholders to ensure [it] provides a safe gambling environment for all [its] customers".

The Commission has also adopted and updated new rules on age verification in the last two years. The thing is, credit cards do not simply offer them convenience for payments regardless of the place and time but also make cash availability much easier. All operators among our coverage have disclosed that their credit card exposure in the United Kingdom is mid-single digits in terms of their deposits.

"The most likely impact is that this will represent a small revenue headwind to operators United Kingdom online revenues in 2020".

Other reports by Click Lancashire

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