UK government to launch independent review into Football Index collapse

The UK government will launch an independent review into the circumstances surrounding the collapse of Football Index, Minister for Gambling and Lotteries John Whittingdale has confirmed. The review will be led by an independent expert who is yet to be appointed. The findings will be published in the summer and will be used as evidence during the Gambling Act 2005 review, which is expected to set out proposals for reform by the end of 2021. The review into Football Index, which has been demanded by more than 40 cross-party MPs, will look to establish how the business fell apart before losing its licence and slipping into administration, along with £90m of customer funds. The role of the Gambling Commission (UKGC) will also be investigated as part of the review. The government has seen fit to take responsibility away from the regulator on this occasion. Former UKGC CEO Neil McArthur exited the regulator on 15 March after almost three years in the hot seat. The UKGC was accused of being “asleep at the wheel” after having been made aware of the issues and concerns surrounding Football Index’s operating model as early as January 2020 before commencing a formal review of the business in May of the same year. A UKGC spokesperson said: “We strongly welcome the government’s independent review into the regulation of Football Index and the focus it will bring on the way that complex products, which to consumers can have the appearance of both gambling and financial characteristics, are currently regulated. “Alongside other regulators, we look forward to fully engaging with the review. Our own regulatory investigation is continuing and will not be adversely impacted by the review.” The review period covers September 2015 to March 2021. Former media and data minister Whittingdale – who took over responsibility for gambling at the beginning of March – said: “We know how difficult it has been for people affected by the collapse of Football Index with some losing significant sums of money. “We are setting up an independent inquiry so that we can find out how this happened. We are determined to ensure that regulators have the right tools to protect customers and to deal with novel products. “The gambling landscape is evolving rapidly and so we are also taking action by reviewing the Gambling Act to make sure our laws are fit for the digital age,” he added.