Striking a Balance Within Gambling Industry, a Tightrope Walk for Lisa Nandy

The National Lottery, charity bingo, and even local duck races all have gambling at their roots. One could argue whether it’s fair and balanced that these outlets don’t attract the same criticism as legitimate casino destinations, which provide employment, boost the economy, and often contribute to charitable causes.

How Does Lisa Nandy Keep Everyone Happy?

As Secretary of State for Culture, Media, and Sport, Lisa Nandy must navigate this tightrope carefully. On one side is the massive gambling industry, which she must consider, while on the other is the need to ensure “players can continue to enjoy gambling as a pastime without the harm." 

There’s also pressure from the anti-gambling lobby, which would prefer gambling to be banned altogether.

Writing on the Wall as Paddy Power Closes Outlets

The signs aren’t encouraging for the gambling industry, especially with taxes set to double. Paddy Power has already announced the closure of several outlets in Ireland.

Nandy has asked the public not to believe everything they read in the papers (but that’s a story for another day). The gambling industry has been warning for some time about the impact higher taxes and tougher regulations could have. The general consensus is that many businesses will close, and players may be driven to unregulated black-market options.

Acknowledging the Importance of the Gambling Industry

Nandy wants to “strike the right balance” when it comes to regulation. She said: “We’re aware of the value of this industry and the importance of it, not just to the UK economy, but to the joy it brings to many, many people, and the employment prospects it offers to people in every nation and region of the United Kingdom.

“We’re also very aware of the problems caused by problem gambling and, like the previous government, we’re determined to talk to the widest range of partners to ensure we strike the right balance—to protect people from the associated harms but also support the growth of the industry.”

There’s no doubt a lot of work is being done behind the scenes by organisations like the Gambling Commission, Parliamentary Committees, Lords Committees, and gambling harm charities. Baroness Twycross has met with representatives from across the industry as well as those affected by problem gambling, in an effort to gather the broadest range of views and ensure the government develops a robust policy.

CEOs of Gambling Organisations Warn of the Consequences of Imbalance

CEOs from the Betting and Gaming Council and Flutter Entertainment have echoed the need for balance but also warned about the dangers of higher taxes and tougher regulations, which they say could ‘reduce competition, weaken the consumer offering, and reduce tax revenues as investors take their business elsewhere.'

Flutter’s CEO, Peter Jackson, said: “While my comments about balance were in relation to the US, the point also applies to the UK operating environment and beyond. Setting taxes too high reduces competition, weakens the consumer offering, and can lead to a reduction in tax revenues. This is in no one’s interest.”

Nandy has confirmed that the government is committed to “reviewing all available evidence and listening to the experiences of members of Parliament.”