CMA closes online gambling investigation
Consumer watchdog praises industry for its changes but warns there is still plenty more to be done
The CMA has completed its two-and-a-half year investigation into the gambling industry, concluding it has seen significant changes in the way the sector treats consumers, but insisting there is still more to be done.
The initial investigation was launched in concert with the Gambling Commission back in October 2016 and initially looked at unfair terms and conditions, particularly around bonusing, before being expanded to withdrawal restrictions and dormancy fees in March last year.
In a letter sent yesterday to operators, co-signed by the UKGC, the consumer watchdog noted it does not intend to take any further action against gambling companies, but it was “not the end of its relationship with the Commission or its interest in the sector”.
The CMA’s work with the UKGC saw six gambling firms provide undertakings to the CMA: Ladbrokes, William Hill, PT Entertainment, bgo, Jumpman Gaming and Progress Play.
Each of these firms committed not to continue or repeat certain practices which the CMA considered unfair.
The CMA yesterday praised the industry for its changes, suggesting recent figures from IBAS showed “a significant reduction” in the number of disputes raised by consumers over bonuses and other promotions.
“Making changes to promotions and withdrawal practices is an important start, but it is only one aspect of achieving compliance,” the watchdog added. “More needs to be done by the sector to win back consumer trust. The best operators going forward will be those who lead by example, build on the work undertaken by the CMA and treat their customers fairly and responsibly.”
Industry analyst Alun Bowden welcomed the end of the investigation, suggesting it could be a sign that “the firm hand of regulation might soften a little”.
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