New Proposal – UK Online Gambling Operators' Daily Betting Limit
A cross-party group from the UK MPs is urging UK online gambling operators to start implementing a new limit. They believe that because of current circumstances, iGaming business operators should apply a daily spending limit of £50. That suggestion was in a letter to the trade association, the BCG (British and Gaming Council); the APPG urged online gaming operators to step up, increase their efforts and take the needed measures to protect the customers in these challenging times. The letter proposed several measures, and they include a self-imposed £50 daily spending limit. The proposal is meant to be temporary and not a life-ling betting cap.
They believe that such a betting cap is going to be a clear demonstration. It will show that the industry is more than willing to act responsibly to protect the mental and financial health of the nation. The party is also calling for online operators to introduce new blocks on players who are opening multiple accounts. The reason behind that is that it will help them bypass the recommended and proposed cap. They also aim to accelerate intervention for players who start displaying any signs of problem gambling.
The Letter Discusses Further Worries
The letter also highlighted two more issues. One of them is affordability. It discussed what a person could afford to lose each day, as that amount is not the same for everyone. Therefore, checks should be made by the operators. There are plenty of rumors that new rules will be applied. These new rules will tighten the restrictions on UK online gambling as well as ads and sponsorships.
British Bingo Operator Tombola's Revenue Increase
Tombola, the British Bingo operator, stated that its revenue increased by fifteen percent to reach £120.1m. That covered the year that ended on the 30th of April of 2020. On the other hand, the highest cost of staffing contributed to the declining in profit. The current situation did not only affect UK Online Gambling but Bingo as well. The year mentioned has witnessed six weeks of shutdown for all bingo halls in the key markets of Tombola. That included shops in the United Kingdom and Europe. Regulus Partners, the UK Gambling advisory, stated that around 60% of that number came from the United Kingdom.
The costs of sale reached £85.3m, which is an increase of 19.7%. That left the gross profit at £34.7m, which is an increase of only 4.3%. The operator also paid administrative expenses equal to £22.7m. Most of that amount was in the shape of salary and wages, which increased by 13.3% as the staff cost increased by 12.8%. All of that left it with £12m in operating profit, which is a 6.7% decrease from the year before. Regulus noted that Tombola has top-quality and strict player protection measures. That includes a £500 deposit cap per week. That may offer a glimpse of UK Online Gambling's possible future, given the proposed changes in regulations.