Sport Betting Industry Seeks To Protect Itself

Betting on sport is big service.

Sport England estimates the value of costs on sport-related betting in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

And that figure is most likely to have grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.

Meanwhile, German research firm Sport & Markt estimates the overall global gaming market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting.

But when the stability of are hit the betting market suffers, and profits are put under risk if consumers can not wager with confidence.

And there can have been few higher-profile sport wagering stories than those impacting cricket and snooker this year.

High-profile

As Sport & Markt’s Gareth Moore observes: “Everyone discuss the sports betting gambling market now.

“Not only is it a substantial market in world company, it is one that is now on the front pages of papers.”

Four Pakistan cricketers have been questioned by cops over spot-fixing claims relating to a test versus England at Lord’s last month.

Three of these gamers have stated they will likewise challenge the corruption charges installed against the trio by the sport governing body the International Cricket Council.

Meanwhile, three-times snooker world champion John Higgins was cleared of match-fixing accusations, however was banned recently for six months for stopping working to report the prohibited approach to him to throw frames.

There are also two other continuing investigations – not associated to Mr Higgins – into snooker.

‘Honest’

David O’Reilly is legal counsel for Betfair, among the UK’s biggest online sporting exchanges.

“If the sport is perceived as honest, straight and fair that is great for betting firms due to the fact that individuals will invest cash betting with self-confidence,” he says.

“If you take the Pakistan claims, although unassociated to the UK regulated wagering market … it is not truly a favorable story for betting in the UK.

“That is because the understanding is that ‘cricket is now something we may need to beware about’.”

‘Education’

So what can be done to prevent future scandals?

According to professionals at a World sports betting Law Report conference into sports gambling, the focus needs to be on sportspersons and sportswomen.

As Simon Taylor of the Professional Players’ Federation mentions: “The only individuals who can repair a match are the competitors or the referee.”

His organisation represents males and females in 15 sports betting in the UK, being an umbrella organisation for all player organisations, such as the Professional Footballers’ Association.

He believes that it is inadequate to merely have deterrents, sanctions and disciplinary treatments, but that the method to deal with prospective issues around players is also through education.

Mr Taylor says rules need to be discussed plainly to gamers with clear examples, and by people they respect.

“Through educating players about sports betting you reinforce integrity which is in everyone’s interest,” he adds.

“If gamers are harder to corrupt then sport will be more difficult to corrupt.”

‘Brand damage’

Matt Johnson, head of regulative legal suggestions at the Football Association, concurs.

“Prevention is much better than treatment, and we likewise make a point of informing gamers ‘you are going to be captured’.”

“It is necessary that sport is directly, and is seen to be directly,” he adds.

“If it loses that then people don’t wish to wager, that is not in betting firms’ interests, and it is not in our interests.”

He said that when a good reputation was lost, the damage to a sport was “incalculable”.

FA rules mean gamers are not permitted to bank on a competition in which they are involved.

Mr Johnson says gamers need to be seen not to be cashing in on any inside understanding, which he states could cause “brand name damage” to football and its competitors.

So, even a Second Division player knocked out of the FA Cup in the autumn can not bank on a Manchester United v Chelsea cup last the following spring.

“We need to get over to players the reputational threat to the game,” he says. “Once confidence has actually been harmed it is hard to get it back – mud sticks.”

‘Overwhelmingly legal’

If this represents the “carrot” technique, then perhaps Nick Tofiluk, director of regulation at the Gambling Commission, represents the “stick”.

The Gambling Commission was set up under the Gambling Act 2005 to regulate business betting in Great Britain.

An ex-chief constable of West Midlands authorities, Mr Tofiluk has obligation for policing all wagering in the UK apart from spread betting, which is the remit of the FSA.

“The frustrating bulk of sports betting happening through UK operators is legal and reasonable,” he says.

“But for some there is the temptation to … corruptly interfere with the outcome of a sporting event.

“Such cheating has the potential to undermine the integrity of a sport, and it also harms the industrial interests of sports betting bodies and sports betting.”

The commission has actually developed an in-house Sports Betting Intelligence Unit to receive and distribute info to sporting authorities, betting firms and policing authorities.

“Since 2007 we have actually experienced a considerable insight into world of corrupt sports wagering,” he says.

“We will notify sports of our issues, to help prevent or cut [unlawful] activity”

In May 2010, the commission likewise presented a private telephone hotline for those with information or suspicions.

‘Vulnerabilities’

But in a two-and-a-half year duration there has been simply one prosecution, a 24-year-old guy who was warned for cheating in relation to greyhound racing.

However, Mr Tofiluk states there are still 8 continuous investigations, which much useful details has also been passed to sports betting authorities.

He said that where an examination by a sport governing body was quicker, and more expense reliable, then the commission would consider discontinuing a criminal examination “in favour of letting sports betting governing bodies take the lead”.

Meanwhile, he states a lot of those wanting to cheat the sports betting wagering market were educated about sports and sporting people, and about wagering operations and the movement of cash.

“They look for the vulnerabilities of these to help in their business.”