The Prevalence of Gambling in the UK

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Friday, March 25th, 2016 | Written by Shane Larson

Gambling has a long history in the UK, but it wasn’t until the 1960s that an appropriate regulatory framework was adopted to extend beyond racecourses, dog tracks, and small private members clubs. In 1961, betting shops were subsequently legalized in the country, and today UK residents can walk into a bookies and bet on every sport imaginable, or visit bingo halls, amusement arcades, as well as land-based or online casino.

As a result, the UK now has one of the world’s most liberal gambling industries with television channels continually broadcasting commercials encouraging people to gamble online, visit a bookie, or buy a lottery ticket from the majority of newsagents selling the product. The high visibility of gambling, together with recent data out of the UK, however, is beginning to raise questions about the impact gambling is really having on society.

Prevalence of Advertising

Between 1960 and 2007, the advertising of gambling activities and businesses was severely restricted, and effectively policed by the Gaming Board for Great Britain. With the onset of the internet in the 1990’s, followed by the introduction of the National Lottery in 1994, however, a commission of inquiry eventually led to a piece of legislation called the Gambling Act 2005, which paved the way forward for the non-stop advertising of gambling companies we see in the media today.

UK Gambling Statistics

There are currently seven major players in the UK gambling industry, namely 888, Betfair, Bwin.party, GVC Holdings, Ladbrokes, Paddy Power and William Hill. Out of the almost 9,000 betting shops in the country, William Hill and Ladbrokes have the most with more than half that total between them.

In 2015, the UK gambling market generated £7.1 billion in revenues, with land-based betting accounting for 47% of that total, followed by online sports (19%), online casinos (16%), bingo (9%), arcades (5%) and social lotteries (5%). Needless to say, the online arena is of increasing importance for operators, and in 2016 the vertical is expected to generate £3.2 billion in revenues, and provide £400 million in taxes for the UK government.

Here are some further statistics, facts and figures related to gambling in the UK:

– The amount of gambling advertisements has increased by 600 percent from when laws were changed to allow commercials to run on TV. Gambling amongst UK residents aged 18 to 24 has also risen by 5% over the last few years.

– An estimated 9 to 10 million people gamble online in the UK every year. About 1 million of those people are believed to be addicts, and another 500,000 are thought to be at risk from addiction.

– Each week, more than 30 million people participate in the National Lottery. Only 4,000 people have won lottery winnings of $1 million or more since the National Lottery was launched.

– Betting shops in the UK provide access to fixed odd betting terminals, with each betting machine believed to generate average revenues of £825 on a weekly basis.

Responses to the Numbers

Anyone who looks at the data can see that gambling is pervasive in the UK, and that for many people, it is problematic. Still, gambling brings in needed revenues for the country, and it remains to be seen whether the government and organized sports will ultimately look beyond profits and make changes that can minimize the negative impact of gambling.

In the meantime, British lawmakers are beginning to raise questions regarding the prevalence of gambling addiction in the UK. Many are calling for changes, particularly in the deluge of TV commercials that run nearly all day advertising gambling and sports sites, and have led to concerns that gambling is being over promoted and is driving addiction rates higher. Others criticize the UK Gambling Commission for not doing enough to protect consumers, particularly those at risk from addiction.

One recent case involving Paddy Powers helps highlight concerns that the UK’s gambling industry is slowly getting out of control. Management at the bookies was seen encouraging an addict to continue gambling despite protestation from junior employees, and as Matt Zarb-Cousin, spokesman for The Campaign for Fairer Gambling (CFG), explains:

“It’s happening again and again and it’s not operational staff, they’re the ones reporting it. It’s the guys at the top overriding these concerns for commercial reasons. They’re just turning a blind eye to this.”