According to BBC News, the UK Gambling Commission has introduced new regulations that will make online casinos less competitive. One of the rules includes limiting the spin speeds of online slots or other related games with a similar feature.
However, the new regulations were introduced to quell concerns because 70 percent of legal online casino losses are recorded at online slot games. Furthermore, the Gambling Commission has shown that online slots have the highest average losses per player at online casinos.
More so, the new regulations are set to commence on the 31st of October 2021. Let’s check out other aspects of these new regulations.
The New Regulations for Online Slot Games
Considering the UK Gambling Commission approach, it appears as if they intend to reduce the losses recorded by Britons that play online slots. According to the Gambling Commission, the British public spent a total of £2.2billion on online slots in 2019. Also, the new regulations aim at making online slots fairer.
Meanwhile, online slots and other games that mimic the real-life slot machine account for 70 percent of the online games played in the UK. With players recording the highest average losses on these games, it means that they may not be fair. Other regulations set to be introduced include:
Reverse Withdrawals: Ordinarily, reverse withdrawals allow players to re-gamble the money they had requested to withdraw earlier. In other words, a player can cancel his request for withdrawal and re-gamble with the said money. The Gambling Commission plans to stop reverse withdrawals.
Sponsoring Football Shirts: The Gambling Commission is also planning to ban gambling operators from sponsoring football shirts in the UK. This ban is supposed to take effect sometime this year.
Some of the reasons outlined by the Gambling Commission for making these new regulations are:
To prevent the risk of continuous gambling by players
How Will the New Regulations Affect Online Casino Operators?
No doubt, these new regulations by the Gambling Commission may not go down well with many operators. For instance, the proposed reduction in the online slot spin’s speed intensity may reduce the adrenalin that players enjoy while waiting on the reel to stop spinning.
The proposed ban on the sponsoring of football shirts by gambling operators will most likely not sit well with the operators. Sponsoring of these football shirts are some of their gambling operators advertising avenues that get attention globally. The football clubs may also kick against the new regulation. The reason is that the football clubs also earn revenue from the gambling operators.
With over 70 percent of Britons engaging in slot games annually, this new restriction will obviously affect online casino patronage. Similarly, the revenue of the operators may likely reduce too.
Overview of the UK Online Gambling Market
Before the break out of the COVID-19, the UK online gaming industry had remained one of the biggest earners. Most of the online platforms are licensed by the UK Gambling Commission. The UKGC monitors and regulates all the activities of online gambling operators. The most popular games offered at online gaming platforms in the UK are:
Online lotto and lotteries
The UK gambling market accrues more than £2 billion annually. Recently, they are one of the biggest online gambling markets in the world. With most gamblers staying indoors during the lockdown, online platforms were the only available options to gamble.
Can the Gambling Commission Implement the New Regulations?
Some top government officials doubt the ability of the Commission to implement these policies. Once, the UK MPs described the Commission as toothless and ill-equipped to face the current wave of online gambling. Also, the government seems to be making plans to increase funding for the Commission.
A few months ago, the government made consultations on the best way to fund the regulator. Consequently, the government also accepted that the Commission was too small to police the industry effectively.
Nonetheless, a few months ago, the Gambling regulator cracked down on one of the bookmakers’ highest revenue generators, the fixed odds betting terminal. In the same vein, they have gone after their online counterparts.
Will the New Restrictions Hinder the Online Casino Market Expected Growth?
Frankly, it is not likely that these recent restrictions will affect the expected online casino for real cash growth in 2021. Don’t forget, the aim of these restrictions is basically to protect the consumers.
Finally, if the online casinos keep coming up with innovative ways to attract new players, the much-anticipated growth expected in the industry in 2021 will be achieved. Responsible gaming is highly advised!