The ban, which will come into force on April 14, is being implemented to provide an additional level of protection to vulnerable people. It is the latest in a series of legislative changes to be introduced that are designed to ensure that the UK gambling industry is seen to operate in a fair manner.<\/p>\n
Studies have shown that 800,000 consumers in the UK used a credit card for gambling during 2018, with almost a quarter of those classed as problem gamblers, highlighting why the UKGC has introduced the new rule.<\/p>\n
Read on as we take a closer look at the newly-introduced ban on credit card payments and assess how it will affect betting websites in the UK over the next few years.<\/p>\n
Research by the Royal College of Psychiatrists says that gambling is a problem for approximately one percent of the population in the UK.<\/p>\n
While this is a relatively small amount in the grand scheme of things, it is a figure that many organisations have expressed a desire to see reduced even further.<\/p>\n
Charity groups such as Citizens Advice, GamCare and GambleAware have all called for the gambling industry to do much more to tackle betting addiction.<\/p>\n
The Gambling Commissions chief executive, Neil McArthur, acknowledged that gambling with a credit card can cause significant financial harm to people.<\/p>\n
The ban that we have announced should minimise the risks of harm to consumers from gambling with money they do not have, he told the UKGCs Official Website.<\/p>\n
Research shows that 22% of online gamblers using credit cards are problem gamblers, with even more suffering some form of gambling harm.<\/p>\n
We also know that there are examples of consumers who have accumulated tens of thousands of pounds of debt through gambling because of credit card availability.<\/p>\n
There is also evidence that the fees charged by credit cards can exacerbate the situation because the consumer can try to chase losses to a greater extent.<\/p>\n
Realistically speaking, the new legislation should certainly go a long way to addressing the issue of problem gambling.<\/p>\n
While just 1% of the population in the UK are said to be problem gamblers, the other 99% of people who place bets on a regular basis do so without any issues.<\/p>\n
Preventing vulnerable people from racking up huge credit card debts is undoubtedly a major step in the right direction, but it is not one which will have a huge impact on bookmakers profits in the long term.<\/p>\n
Most betting websites in the UK will continue as normal, with gambling firms still able to offer many other popular payment methods to their customers.<\/p>\n
Punters can still bet with payment methods like Boku and many others that are easy-to-access, providing the funds do not come from a credit card.<\/p>\n
With all online gambling operators also needing to sign-up to the GamStop self-exclusion scheme by the end of March 2020, the industry appears to be well on its way to tackling problem gambling.<\/p>\n
For the people who sadly struggle with addiction, the new rules will clearly put much-needed barriers in their way with regards to placing bets online.<\/p>\n
However, for the 99% of punters who enjoy gambling without any such issues, the revised landscape is unlikely to make too much different to their activities moving forward.<\/p>\n
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How will the credit card ban affect the online gambling industry in the UK? - Business MattersBusiness Matters<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" The ban, which will come into force on April 14, is being implemented to provide an additional level of protection to vulnerable people. It is the latest in a series of legislative changes to be introduced that are designed to ensure that the UK gambling industry is seen to operate in a fair manner. Studies have shown that 800,000 consumers in the UK used a credit card for gambling during 2018, with almost a quarter of those classed as problem gamblers, highlighting why the UKGC has introduced the new rule. Continue reading