New Financial Risk Assessments for High-Spending Gamblers
The Gambling Commission has announced that online gamblers who spend more than £1,000 within a 24-hour period will be required to undergo a financial risk assessment. This measure will also apply to individuals spending over £3,000 in a rolling 90-day timeframe. For gamblers under the age of 25, the spending thresholds will be set lower.
The assessments will utilize data from credit reference agencies; however, the commission emphasized that these are not "affordability checks." Instead, operators will use the information to identify gamblers who may be at risk of financial harm or experiencing financial difficulties.
The commission has not provided a specific timeline for the implementation of these changes, stating they will be introduced in a "very careful, staged way." Initially, the checks will target over-25s who gamble more than £5,000 in a rolling 24-hour period. The regulator estimates this will affect less than 0.5% of customers. Engagement with companies and other stakeholders is planned for the summer to facilitate this rollout.
Eventually, the threshold will be lowered to £1,000 within 24 hours.
Background and Statistical Insights
In 2023, a white paper on gambling recommended enhanced checks for customers experiencing very high losses. On Tuesday, the Gambling Commission reported that high-spending gamblers are between two and four times more likely to have a debt management plan, and between two and five times more likely to have a default recorded in the previous 12 months compared to the general population.
The commission has been investigating the potential for gambling companies to use credit reference data to identify customers at risk of financial harm.
Comments from the Gambling Commission
The acting chief executive of the Gambling Commission, Sarah Gardner, stated:
The vast majority of customers would "never, ever" require an assessment.
She also explained that those who do undergo assessments will experience a frictionless, document-free process provided by credit reference agencies, which will not affect their credit score.
The commission reiterated that these assessments differ from affordability checks, which Gardner described as "deeply unpopular" with gamblers.
Stakeholders had expressed concerns that more regulation could push problem gamblers onto the black market.
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