Kenny Alexander: Affordability limit could hit racing harder than Covid-19

Former GVC CEO Kenny Alexander has warned the betting and horseracing industry will face dire consequences if a monthly £100 affordability soft cap is introduced in the UK.

Affordability is a central theme in the UK government’s ongoing review of the 2005 Gambling Act and the Gambling Commission has suggested a monthly loss limit could be introduced to protect at-risk consumers.

It remains to be seen what the regulator considers a sensible amount, but it has previously flagged £100 as the lowest possible threshold. That figure has been widely discussed ever since.

Talking to ITV Racing before his Rachael Blackmore-ridden mare Honeysuckle made it 10 straight career wins, Alexander was asked how such a limit would impact the UK betting industry.

He responded: “Everyone talks about the £100 stop loss affordability check and I think that is wrong.

“For the gambling industry and for racing it will be material. For racing, if you compare it to the damage the pandemic has caused, it will pale in significance to the damage this could cause.

“The damage would be enormous. There will be a lot of job losses and I don’t think it will solve the issue of problem gambling.

“There is no doubt about it, if you do anything to excess in your life then you will get damaged, whether you drink too much or smoke too much or eat junk food.

“But where else do you have to prove after £100 that you can afford it? I just don’t think its required and is a breach of social liberty that could actually make the matter worse,” he added.

Kenny Alexander

Horseracing in particular has suffered financially as a result of the ongoing Covid-19 pandemic with spectators banned from racetracks and betting shops closed.

Alexander, who led GVC (now Entain) for 13 years until July 2020, insists gambling firms have made huge progress in protecting at-risk customers in recent years and that government intervention could be counter-productive.

“I ran GVC for what felt like 100 years and let me tell you Ladbrokes Coral has made massive strides in the area of affordability and looking after vulnerable gamblers,” he said.

“All of the big UK gambling companies have made massive strides and are doing a great job in that area and I don’t think there is any need whatsoever for this £100 soft cap.

“It could make it worse by driving players to the black market where they will never get the protection you get at William Hill or Ladbrokes or Betfair or bet365.”

Alexander did admit a review into the sector was overdue and added: “I don’t agree with it [the £100 limit], but the train left the station a long time ago and it will take quite an effort to stop it.”