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Velimir Velichkov May 25, 2023 2 min read
UKGC Fines Paddy Power and Betfair $600K over Marketing Breaches
The fine comes after the Commission uncovered failures related to social responsibility dating back to November 2021
UK’s gambling regulator, the Gambling Commission, constantly monitors the market in the country to ensure that licensees adhere to the established framework and that consumers are protected. In case any breaches are uncovered, the gambling regulator imposes sanctions which can be monetary or in severe cases, suspends or revokes licenses.
On Thursday, the Commission unveiled that it uncovered a social responsibility breach by an operator, which resulted in a fine. The gambling watchdog said that an investigation into PPB Counterparty Services Limited, trading as Paddy Power and Betfair, uncovered breaches of social responsibility. Describing the breaches, the Commission claimed that the company sent promotional notifications to customers that have previously self-excluded from gambling activities.
Under the current gambling regulations, licensed operators must adhere to self-exclusion, which means that they need to take all necessary steps to ensure that such individuals do not receive marketing offers. Once a person self-excludes from gambling, gambling businesses need to take action within two days and ensure that this person doesn’t receive any further marketing communication.
The Commission said that the social responsibility breaches date back to November 21, 2021, when the “operator’s app distributed an offer of enhanced odds for bets on an English Premier League football match to devices either linked to accounts that were GAMSTOP registered or devices linked to accounts that were self-excluded with the Licensee.” Due to the aforementioned breaches, the regulator imposed a £490,000 ($606,300) fine against PPB Counterparty Services Limited.
The Commission Continues to Monitor Gambling Activities
Details about the fine come after recently, the gambling watchdog imposed a $380,000 financial penalty against SkillOnNet. At the time, the Commission said that it uncovered breaches related to safer gambling and anti-money laundering regulations.
“Although there is no evidence the marketing was intentional, nor that all the people with apps saw the notification or that self-excluded customers were allowed to gamble, we take such breaches seriously.“Kay Roberts, executive director of operations at the Gambling Commission
Addressing the latest fine, the Commission’s executive director of operations, Kay Roberts, acknowledged that no evidence supports that the breach was intentional. Additionally, she said that it is unclear whether or not the self-excluded people have seen the push notifications.
Yet, Roberts stressed that the Commission takes breaches of the regulations seriously. Finally, the executive director urged operators to ensure that their systems comply with the established framework regarding self-exclusion in an effort to protect such consumers.
William Velichkov is a research-driven writer. His strengths lie in ensuring factual accuracy, vetting government documentation and reaching out to regulators and other officials. He is particularly fond of financial reporting, the sports betting industry, B2B partnerships and esports betting developments. William is a strong asset to the GamblingNews team as he adds a bedrock to our reporting.
Legal May 25, 2023