January 20, 2020

The Gambling Commission has announced a ban on gambling businesses allowing consumers in Great Britain to use credit cards to gamble.

The ban, which comes into effect on 14 April 2020, follows the Commission’s review of online gambling and the Government’s Review of Gaming Machines and Social Responsibility Measures. A public consultation was carried out between August and November 2019.

According to the Commission, 24 million adults in Great Britain gamble, with 10.5 million of those gambling online. According to data from UK Finance, 800,000 consumers in the UK used a UK-issued credit card for gambling in 2018.

The Commission says that according to separate research it undertook in March 2019, 22% of online gamblers using credit cards to gamble are classed as problem gamblers, with even more at some risk of harm.

The Commission says that the ban, which will apply to all online and offline gambling products with the exception of non-remote lotteries, will provide a significant layer of additional protection to vulnerable people.

Neil McArthur, Gambling Commission chief executive, said that although he understood that some consumers used credit cards because they were convenient, the risk of harm to others was too high to allow the use of credit cards to continue. He also warned that although likely to reduce gambling harm, the banning of credit cards needed to be accompanied by other efforts: “The ban is part of our ongoing work to reduce gambling harm. We also need to continue the work we have been doing with gambling operators and the finance industry to ensure consumers only gamble with money they can afford to spend”, he said.

Last year Department for Digital, Culture, Media and Sport ministers also met with banks and gambling operators to discuss their growing concerns, and how companies could use technology and customer data to help those at risk of developing gambling problems, including those using credit cards.

The Commission has also announced changes to licence conditions, which will require all online gambling operators to participate in the GAMSTOP scheme and offer their customers the service from 31 March (see item below). To read the Commission’s press release in full, click here.