The UK’s Gambling Commission persistently keeps a check on the activities of the gambling sector within the country to ensure that its licensees stick to the regulatory framework and that consumers’ rights are safeguarded. In instances where violations are identified, the regulatory body imposes penalties which may take the form of monetary punishment or, in serious situations, suspension or revocation of licenses.
Last Thursday, the Commission made known that it had detected a violation of social responsibility obligations by a gambling operator, leading to a penalty. The investigation carried out on PPB Counterparty Services Limited, who operates Paddy Power and Betfair, revealed their lack of adherence to social responsibility rules. The regulatory body mentioned that the company incurred this breach by sending advertisement messages to clients who had previously self-excluded from gambling activities.
As per the current gambling laws, licensed operators are bound to respect self-exclusion, which necessitates taking all essential steps to guarantee that such individuals are not on the receiving end of promotional offers. Once an individual chooses to self-exclude from gambling activities, it is incumbent upon gambling businesses to respond within a two-day window to ensure the individual is shielded from any subsequent marketing correspondence.
According to the Commission, the breaches of social responsibility regulations by the company can be traced back to November 21, 2021. It was then that the operator’s app pitched an offer of enhanced betting odds for an English Premier League football match to devices either connected to accounts registered with GAMSTOP or linked to accounts that had self-excluded with the license holder. On account of these infringements, the regulator proposed a penalty of £490,000 ($606,300) against PPB Counterparty Services Limited.
Ongoing Monitoring of Gambling Activities by the Commission
Recent revelations about the fine follow closely on the heels of the regulator levying a $380,000 fine on SkillOnNet, for breaches related to safer gambling and anti-money laundering norms as disclosed by the gambling watchdog.
“Though there is no substantiated proof of the marketing being deliberate, or that all the users with apps viewed the notification or that self-excluded clients were permitted to gamble, we consider such infringements to be serious.“
Kay Roberts, executive director of operations at the Gambling Commission
Speaking on the latest penalty, Kay Roberts, executive director of operations at the Commission, admitted there is no supporting evidence to suggest that the breach was deliberate. Additionally, she highlighted the lack of clarity surrounding whether the self-excluded people were exposed to the promotional notifications.
However, Roberts emphasized that the Commission attaches great importance to regulatory breaches. In closing, she urged operators to guarantee that their procedures are in alignment with the existing framework concerning self-exclusion, in an endeavour to safeguard the interested consumers.