FOBT crackdown is coming

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RIP Brian
Feb 22, 2001

UK government releases its gambling review.

Bookmakers can anticipate a cut in the maximum bet permitted on Fixed Odds Betting Terminals of at least 50 percent, according to the UK government's review of gambling published today (Tuesday).

The long awaited report leaves the exact size of the cut in abeyance pending the results of a 12-week consultative period, but a cut there will be, with the review suggesting that the maximum bet allowed should be between GBP 50 and GBP 2 (the current level is GBP 100).

There are now around 34,000 FOBTs across the UK and it is estimated that 1.5 million people have used them.

A spokesperson for the Association of British Bookmakers told Sky News:

"Betting shops cater for over 6 million customers every year and the vast majority of them gamble responsibly.

"The average amount lost on a betting shop gaming machine in a session is just £9.17…

"Betting shops are investing very significant sums of money to help identify those at risk so that they get the help that they need."

The Reuters news agency reported that bookmaking company profits will take a "massive" hit from the reduction.

Other elements in the Department of Digital, Culture, Media and Sport (DDCMS) review include:

* Raising standards of player protection for online gambling;
* Creating a responsible gambling awareness campaign, with an annual budget of GBP 5-7 million - probably funded by gambling firms;
* New advertising guidelines around gambling;
* Reducing the number of FOBTs per retail betting shop.

DDCMS minister Tracey Crouch said in a statement Tuesday:

"It is vital that we strike the right balance between socially responsible growth and protecting the most vulnerable, including children, from gambling-related harm.

"Given the strong evidence and public concerns about the risks of high stakes gaming machines on the high street, we are convinced of the need for action. That is why today we have set out a package of proposals to ensure all consumers and wider communities are protected.

"We have seen online gambling grow rapidly and we need to protect players in this space, while also making sure those experiencing harm relating to gambling receive the help they need."

The review also addressed the fast-growing GBP 4.5 billion-a-year online gaming sector, calling on online gaming companies to speed up the pace of initiatives to prevent problem gambling, including “self-exclusion” schemes.

“The government, and [industry regulator] the Gambling Commission, will be paying close attention to industry progress in this area and will act accordingly,” the review advises, warning that if improvements can not be achieved through cooperation with the sector, legislation strengthening the regulator's hand will be considered.

Whilst the review did not meet anti-gambling activist demands for restrictions on gambling advertising, it does introduce the idea of public problem gambling awareness campaigns funded up to GBP 7 million a year by gambling firms.

Government will also support efforts by problem gambling charity GambleAware to launch more specialised clinics to assist compulsive gamblers...possibly funded by a levy on gambling companies.

DDCMS will now consider proposals over the 12-week consultative period and within the broad framework it has recommended; that suggests that there will be extensive lobbying and media coverage in the months ahead.