The government of United Kingdom has recently declared a strict measure to control the online gambling industry, which has put stake controls for the online slot games in order to prevent the vulnerable people from the potential risks of gambling. This measure, announced by the Department for Digital, Culture, Media and Sport, is a dramatic change in the UK’s strategy for the rapidly growing segment of the internet gambling market.
In the new measures, it shall be mandatory to have staking caps ranging from £2 to £15 on online slot games in order to avoid massive losses within a short span of time. This has been arrived at following consultations with stakeholders in the industry, addiction specialists and advocacy organizations due to emerging threats posed by online gambling on the health and well-being of society.
These stake limits are expected to be rolled out in the next six months meaning that operators will have enough time to adapt to the new rules. The government has reassured the public that such measures are meant to ensure that vulnerable persons are shielded but at the same time the gambling industry remains sustainable since it is one of the significant sources of the UK’s revenue.
Besides the limits on stakes, the government has laid down measures to increase the measures of verifying the affordability of online gamblers. These checks will mean that an operator will be forced to confirm the financial status of a player before they are allowed to participate in high stakes betting with a view of ensuring that the player will not gamble more than what he or she is able to afford. This has been applauded by the gambling addiction charities, which have been calling for tough measures to be put in place to safeguard vulnerable people.
The market of online gambling has been rapidly growing in the UK over the last couple of years and was boosted by the pandemic. This growth, nevertheless, has been associated with certain benefits in terms of economic returns while at the same time creating some concerns regarding the availability of the products that may cause problematic gambling. These are perceived as resulting from such concerns, and the new regulations are perceived to reflect a more active role by the government in the regulation of the digital gambling.
The reactions of the various industries to this announcement have however been mixed. A few of the major operators have endorsed the measures arguing that the measures are viable ways of practicing responsible gambling. Still, some have cautioned that excessively stringent provisions could push players to offshore sites that are not regulated and could therefore be risky.
The UK Gambling Commission, the body in charge of the industry, has said that it will engage operators to ensure a smooth transition to the new regulation. The Commission has also declared intentions to step up surveillance and regulation to ensure that the limits on stakes and the affordability measures are complied with.
This change in regulation of online gambling in the UK is being keenly observed by other countries which are facing similar problems. The effectiveness or failure of such measures could have implications for gambling policies in different countries because governments aim at capturing the economic value of the industry while trying to prevent harm to vulnerable persons.
It also means that as the implementation date nears gambling operators are likely to spend a lot of money to upgrade their systems and come up with new responsible gambling products. This may bring about innovations in the sector, where companies look for ways on how to make interesting games in compliance with the new set of regulations.
The regulation of the gambling industry in the UK has made a new step forward by introducing the stake limits for online slot games. In the following months it will be important to assess the efficiency of these measures in preventing and reducing gambling disorders, while continuing to develop and sustain a healthy and socially responsible gambling environment in this industry.
