UK Gambling Commission to ban credit card use from April 2020
Regulator confirms ban will come into effect on 14 April, with GamStop also to become mandatory from March
The Gambling Commission (UKGC) will ban the use of credit cards in online gambling from April 2020, the UK regulator has confirmed.
The ban, which officially comes into effect from 14 April, follows an earlier consultation conducted last year.
UKGC research conducted during the consultation process has claimed that as many as 22% of online gamblers using credit cards could be classified as at-risk gamblers.
UKGC CEO Neil McArthur claimed the ban was to address the significant financial harm caused by gambling on such cards.
“The ban that we have announced today should minimise the risks of harm to consumers from gambling with money they do not have,” McArthur said.
Our CEO, Neil McArthur, explains the importance of the ban and why we have put this in place. Read the full details here: https://t.co/pBGUggypoy pic.twitter.com/nGjHV9lKIA
— Gambling Commission (@GamRegGB) January 14, 2020
The ban had previously been opposed by operators during the consultation process, with many claiming that it would drive punters towards less reputable forms of lending such as payday loans. They also said this would result in “less visibility” over player source of funds during AML checks.
However, McArthur also claimed that high credit card fees could “exacerbate the situation”, inducing consumers to chase losses to a greater extent.
The UKGC said National Lottery tickets bought with credit cards alongside other non-gambling products will be exempt from the ban, claiming it would create “a disproportionate burden on retailers” to block credit card payments as part of a wider shop.
GambleAware CEO Marc Etches welcomed the decision to ban credit cards in online gambling, asserting it was “essential” that consumers at risk of harm be protected.
“Gambling is a public health issue and mobile technology gives people access to gambling anytime, anywhere. Anyone who chooses to gamble should be able to do so in a safe environment, where the risks and available support options are made crystal clear,” Etches added.
In addition to announcing the credit card ban, the UKGC has also confirmed that national self exclusion scheme GamStop will also come into effect from 31 March.
McArthur said he was happy that the long-delayed scheme had now reached the final stage, making connection mandatory for all UK licensed operators.
Last year the UKGC was forced to admit that the scheme was not ready to be made mandatory for all UK-licensed operators as the regulator had not received “necessary assurances” that this could occur.
Brigid Simmonds, chairman of the Betting and Gaming Council, also said the trade body was pleased GamStop would soon become mandatory.
We welcome the requirement for all companies to join GamStop as part of our continued and ongoing determination to raise standards in the industry,” Simmonds said.
“Measures already introduced include new age-verification and affordability checks, additional funding for research, education and treatment and new codes of conduct,” she added.
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