Regulation round-up 28 November 2017
The biggest regulatory news from the egaming industry in the last seven days (21 November to 28 November 2017)
CMA calls for wholesale changes to bonusing
Consumer watchdog and Gambling Commission warn operators of grave consequences unless they start putting the consumer first
The Competition and Markets Authority (CMA) has warned operators that some bonusing practices are “inherently unfair” and need to change, as the body continues its ongoing investigation of the online gambling industry.
Speaking at the Gambling Commission’s annual Raising Standards conference in Birmingham, George Lusty, who is leading the CMA’s investigation, outlined several key areas where he expected to see improvements.
Chief among these was the removal of restrictions on withdrawing deposit winnings.
“A common feature of deposit match and bonus promotions is that consumers are prevented from being able to access any winnings obtained using their deposit funds unless and until the specified wagering requirements of the promotion are met,” Lusty said.
Health Lottery ad banned for exaggerating jackpots
The Advertising Standards Authority (ASA) has banned a Facebook promotion for the Health Lottery after the post exaggerated the likely winnings available in the draw.
The Facebook post for the Health Lottery in January read: “You know what they say five chances to win is better than one, that’s why we run five weekly draws!
“What’s more, each draw has a jackpot of up to £100k – that means that there is a potential half a million pounds up for grabs week in week out!… Up to £500k can be won every week.
Three complainants understood the jackpot was usually significantly lower than £100,000 and argued the claim “up to £100k jackpot” and “up to £500k every week” was misleading.
Malta Gaming Authority records 74% increase in remote licences
The Malta Gaming Authority (MGA) reported a 73.8% year-on-year increase in the number of licences it issued to remote gambling companies in H1 2017.
According to the authority’s H1 interim report, 73 licences were issued during the six-month period and 25 were terminated upon the operators’ request.
The MGA said the figures were proof it had “re-established its position in attracting new investment in the sector”.
A total of 119 licence applications were submitted, bringing the overall number of licensed companies up to 558 in June 2017