February 3, 2025 3 min read

likes:

Fact-checked by Velimir Velichkov

Sky Betting Ruling May Trigger Wider Effects on the Industry

Campaigners are urging the UKGC and ICO to investigate gambling operators' advertising practices and data tracking following the High Court’s recent ruling that found Sky Bet in violation of UK data protection laws

Last month, we reported on High Court judge Rowena Collins Rice’s ruling that Sky Betting & Gaming (SBG) unlawfully processed a customer’s personal data to deliver targeted marketing materials over a long period.

Based on the same ruling, campaigners are now calling on the UK Gambling Commission (UKGC) and the Information Commissioner’s Office to investigate how gambling operators use advertising algorithms and track consumer data. 

The ICO had previously reprimanded Sky Bet following a complaint from the campaign group Clean Up Gambling.

Broader Effects on the Industry

Over the weekend, the Guardian reported that gambling reform advocates believe Justice Collins Rice’s ruling has broader implications for industry advertising and data collection practices. 

While operators must now adhere to stricter advertising safeguards requiring user consent, campaigners argue that “the industry has repeatedly failed to identify gamblers who are at the greatest risk of harm.”

Will Prochaska, founder of the Coalition to End Gambling Ads, is leading calls for stricter advertising and data tracking oversight. 

The independent third/public sector advisor and campaigner also commented that the Sky Bet ruling “has had little attention from press so far,” aside from Olivia Solon’s “excellent article for Bloomberg” on the topic. 

Prochaska went on to describe the case as potentially “seismic for the gambling industry,” provided it “stops operators from using customers’ data against them.”

“It will inevitably lead to questions for the regulator too. Why has the Gambling Commission permitted such unethical marketing practices for so long,” he added.

Customers Will Opt-In to Receive Marketing Materials

New UKGC rules will require online gambling operators to allow customers to opt in to receive specific product marketing and choose preferred communication channels from May 1, 2025.

Operators must ensure consumers do not receive unsolicited marketing materials.

Ahead of these changes, the Betting and Gaming Council implemented the seventh Industry Code for Socially Responsible Advertising, requiring gambling ads on digital platforms to target users aged 25 and over

However, the code does not explicitly address the necessity to offer consent to receive marketing materials.

Sky Bet’s parent company, Flutter, will consider appealing the ruling, maintaining its policy of not sharing customer data with third parties. 

Pros in the legal field have emphasized the complexity of the case, while Justice Collins Rice noted the ruling was strictly connected to the circumstances and historical context of the case.

Justice Collins Rice evaluated Sky Bet’s faults by analyzing consent through three key aspects: whether the individual genuinely understood and agreed, whether the process allowed for real choice, and whether the company could prove consent was properly obtained.

The UKGC now wants operators to review the ruling and make sure they are fully compliant with data protection regulations to prevent gambling-related harm. 

Meanwhile, Labour has signaled its intention to scrutinize gambling advertising further as the Gambling Review progresses.

The case against Sky Bet has advanced to a remedial hearing. The court will next decide on financial compensation for losses and the distress caused by the unlawful marketing practices.

According to the Office for Health Improvement and Disparities, nearly 1.6 million adults in England who gamble may require treatment or support for gambling-related harm.

After finishing her master's in publishing and writing, Melanie began her career as an online editor for a large gaming blog and has now transitioned over towards the iGaming industry. She helps to ensure that our news pieces are written to the highest standard possible under the guidance of senior management.

Leave a Reply

Your email address will not be published. Required fields are marked *