Further regulation may prove to be detrimental to the UK gambling industry, according to John Heaton, Chairman of Scottish independent bookmaker Scotbet. Mr. Heaton wrote in an opinion piece for The Scotsman that stricter regulatory measures, increasing costs, and competition have already taken their toll and will further affect the industry in near future.
Over 300 betting shops across the UK faced closure over a two-year period, including ones located in Scotland. Mr. Heaton pointed out that Scotbet had to shutter over 25 retail facilities over the past several years, or around one-third of all properties it managed.
As the bookmaker’s Chairman pointed out, it has become a common practice for gambling operators to be criticised fiercely for creating favourable conditions for increased gambling addiction rates. However, the official noted that this may not be the case in Scotland as Government figures show that the number of problem gambling cases dropped 0.7% in 2015 and was lower than the figure reported for 2012.
In his opinion piece, Mr. Heaton tried to bust another issue he considered a gambling industry myth. He pointed out that he recognised the UK and Scottish Governments’ efforts to curb problem gambling. However, he argued that bookmakers should not be deemed the sole culprit for the rise in the number of problem gambling and gambling addiction cases among betting shop customers.
The Scotbet Chairman noted that all retail facilities are strictly regulated and monitored by the UK Government and the Gambling Commission as well as by local authorities and regulators so as to make sure that operations are conducted in the right manner.
Now, as the industry will likely face further regulation, Mr. Heaton said he believes this may result in more closures and hundreds of people losing their jobs. The official pointed out that betting shops are important community supporters, particularly in less densely populated regions.
In October, the UK Government launched its triennial gambling industry review, saying that it would this time be focused on fixed-odds betting terminals and their regulation. Many believe that the review will result in stricter regulatory measures being introduced regarding the operation of the controversial machines. And if such measures are indeed adopted, this will certainly hit bookmakers’ profits as many of them rely heavily on revenue from FOBTs.
The devices have long been bashed for encouraging players to spend recklessly and lose considerable amounts of money in very short periods of time. Speaking in support of the FOBTs, Mr Heaton said that there was no scientific evidence that they stimulated addictive behaviour.
- Author
Daniel Williams
