Pandemic-Induced Surge in UK Online Casino Market Is A Cause For Worry

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For most of the pandemic, UK online casinos have seen a steady rise in their Gross Gambling Yield (GGY) ever since the first lockdown was announced in March 2020. The gambling companies in the UK have been shoring up and expanding their online services since the pandemic-induced lockdown has shut the betting shops.

A lot of betting companies have reported that their earnings have surged in the pandemic and 50% of the hike has come from their online gambling offerings. A report by The Gambling Commission, i.e. the UK’s regulatory body for gambling suggests that not many people started with online gambling during the lockdown.

However, the already engaged online gambling customers started expanding and exploring new activities in the pandemic. While doing so, they have been spending a lot of time and money at online casinos. Statistics suggest that the time and resources spent on online gambling during the COVID pandemic have risen by 25%.

Main Reasons Behind The Growth in UK’s Online Casino Market

• Commercial and social venues were closed and shut down during the lockdown. That and the lengthy cancellation of major sports events has led to a rise in the online gambling landscape in the UK

• There have been concerns around a spike in addictive and harmful online gambling due to the impending isolation, boredom and worries during the pandemic.

• Since the sports events were cancelled, the casino market has increased its digital advertisement by threefolds of what it was before the first UK lockdown. Due to the same reason, plenty of casual betters have been lured into casino games.

Concerns Regarding The Hike In UK Online Casino Market

• The Gambling Commission, UK, has stated that people engaging with a broader spectrum of casino betting correlates with high levels of risky and problematic gambling addiction.

• It has been reported that the number of people calling the gambling addiction support groups for help has steadily increased and is now above the pre-COVID level.

• Moreover, there has been a correlation between gambling addiction and related harms like drug and alcohol addiction along with domestic abuse.

• A study conducted by the University of Liverpool last year suggests that the vulnerable gamblers, i.e. the gamblers who are at most risks of harm, were responsible for 86% of the online gambling companies’ overall GGY. Figures like this are even more frightening.

Striking A Balance In The Gambling Industry

Currently, the British government has been conducting a review of The Gambling Act passed back in 2005. This is the basis of all regulatory actions in the gambling market. Ever since 2005, the online gambling sector has grown exponentially with smartphones enabling online betting. Although the safer gambling ads and messages have doubled on online casino websites, gambling has kept increasing nevertheless.

With the review, it is hoped that there will be stricter regulations in place. At the same time, it should also aim to create a balance to protect vulnerable gamblers. This should not spoil the fun and frolic of millions of UK citizens who safely enjoy their online gambling experiences.

This article does not necessarily reflect the opinions of the editors or the management of EconoTimes