JAKARTA - The British government has announced a proposal that is eagerly awaited to crack down on problem gambling, with the aim of bringing regulations into the digital era with increased online gambling and on smartphones.
The proposals launched on Thursday 27 April include the introduction of online betting limits between 2 pounds (Rp37 thousand) and 15 pounds (Rp275,000) while forcing gambling companies to increase financial feasibility checks on their customers.
"Betching once in a while is one thing, uncontrollable addiction is another thing. So today we bring our pre-smartphone regulations into the digital era with White Paper gambling for the digital age," Lucy Frazer, Minister of Culture, Media and Sports, told parliament., as quoted by Reuters.
Frazer said that the draft law, which was heavily postponed, would also introduce a special tax on betting companies to fund research, education, and treatment for gambling addiction issues.
This change will be the biggest overhaul to the industry worth 14 billion pounds (Rp257.1 trillion) since the 2005 Gambling Act. Habits have changed significantly since then, with an exponential increase in online betting in line with the increase in smartphone usage.
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The COVID-19 lockdown accelerated the shift, with gambling companies, including Ladbrokes and Coral, Entain, and a Dublin-based company behind Paddy Power and Betfair, Flutter Entertainment, hitting much higher profits.
Enter and Flutter, the two largest gambling companies in the world, welcomed the proposal.
The Gambling Commission, which regulates the UK market, estimates the overall gambling problem rate is 0.2% per year until December 2022. Observers themselves have claimed that the figure is higher.
The Premier League this month said its clubs had collectively agreed to stop betting sponsors in front of the football jersey from the 2026-27 season.
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