No widespread failings in bookies' T&Cs, says RGA
Body representing likes of Hills, bet365 and Coral says it will co-operate with CMA investigation
The UK’s online gambling sector is not guilty of using complex terms and conditions to mislead consumers, according to Remote Gambling Association chief executive Clive Hawkswood (pictured).
Speaking in response to news that the Competition and Markets Authority had this morning launched an investigation into what it described as potentially “unfair” and “misleading” trading practices, Hawkswood said there was no evidence to suggest that was the case.
“There is no reason to believe that there are widespread failings,” Hawkswood, whose firm represents the likes of bet365, William Hill and Sky Bet, said.
“However, it would be wrong to pre-judge the outcome of an inquiry that has only just begun. If there are faults it is right that the CMA shines a light on them and that we collectively learn lessons from that,” he added.
The CMA said its investigation, which will be supported by the Gambling Commission, was in response to complaints that online gambling firms were unfairly cancelling bets, altering odds after bets had been accepted, and offering misleading sign-up promotions.
There have also been suggestions firms were using money laundering checks as a way to make it difficult for winning punters to withdraw their cash.
However, contrary to some reports, the scope of the investigation does not include a remit to look at online bookmakers refusing bets, closing accounts, or offering wagers for smaller stakes.
“This [investigation] has nothing to do with an operator’s ability to close the account of a punter they don’t wish to do business with,” a spokesperson at the Gambling Commission told EGR.
Gambling Commission chief executive Sarah Harrison said many operators’ T&Cs “bamboozle” rather than help the customer and gaming lawyer Stephen Ketteley at law firm Wiggin told EGR there was a case for more clarity around conditions.
And although operators must offer customers fair terms as part of its LCCP requirements, Ketteley said his firm was regularly asked by clients to check through their T&Cs, although added not all operators have the resource to do similar.
“Some of the terms you can see from a common sense point of view are unfair and if a player in dispute with an operator was to be cited some of the T&Cs we have seen, you’d think “how can that be fair?” Ketteley said.
“However, there will be some operators unable to afford lawyers and those will likely have some unfair terms, so there is certainly a requirement from the industry to pull its socks up â not the entire industry but there certainly a part of it,” he added.
Steve Donoughue of Gambling Consultant described the investigation as “excellent news”, although refused to blame the bookmakers for the flurry of complaints which have prompted the probe.
“The fact is that customers are often victim to opaque small print in promotions, which often means the promotion is not quite as it was sold,” Donoghue said.
“Planets have to realign and the French monarchy be re-established before you can withdraw the highly advertised cash bonus.”
Donoughue also highlighted complaints around bookmakers supposedly withholding customer cash in order to carry out detailed money laundering identification checks.
“Neither of which is the bookmakers fault,” he said. “They do what they can within the rules. We need better rules. We need a tighter set of rules about what makes a promotion fair and we need a set of rules about how long and what recourse there is about AML checks and decisions to void bets.”
Today’s news is the second piece of negative press for the industry in as many weeks after it was suggested that the Department for Culture, Media & Sport was ready to pull the plug on all forms of TV gambling advertising prior to the watershed in order to protect children.
EGR contacted a number of operators this morning for responses to the investigation but all declined to comment.