House of Lords Discuss Impact of Gambling Advertising on Gambling-Related Harm
The UK House of Lords Liaison Committee recently convened to hear insights from gambling industry experts who authored a report titled “Gambling Harm – Time for Action.” This report presents 66 recommendations aimed at addressing gambling-related issues and guiding government policy.
Calls for Stricter Regulation of Gambling Advertising
James Grimes, director of Chapter One at Gambling with Lives, emphasized that government strategies must adapt to the current landscape of the gambling industry rather than rely on outdated frameworks from several years ago. He highlighted that while traditional advertising remains a concern, the more pressing challenge stems from modern digital marketing techniques.
Will Prochaska, who leads the Coalition to End Gambling Ads (CEGA), advocates for the complete removal of gambling advertisements. Nonetheless, he prioritizes curbing content marketing efforts. Dr. Raffaello Rossi, a senior marketing lecturer at the University of Bristol Business School, noted that content marketing now accounts for roughly half of all organic gambling-related social media content.
Baroness Twycross, Parliamentary Under-Secretary of State at the Department for Culture, Media and Sport (DCMS), affirmed the government’s commitment to tackling the illegal gambling market. She also highlighted the DCMS’s awareness of the distinctions between traditional gambling and swiftly evolving online gambling products. These differences were considered in recent gambling tax reforms announced during the Autumn Budget, underscoring the government’s preference to foster growth in the regulated gambling sector.
Debate Over the Link Between Gambling Ads and Gambling Harm
Advocates argue that increased gambling advertising boosts participation rates, which in turn may lead to higher incidences of gambling-related harm. Establishing a definitive connection between advertising and harm would help evaluate the stance of Sarah Gardner, acting CEO of the UK Gambling Commission (UKGC), who aims to grow the gambling industry.
Gardner, who took on the leadership role in February, succeeding Andrew Rhodes, has faced expectations to deliver tangible results. She acknowledged that although there is a clear association between advertising exposure and increased gambling participation, proving a direct causal relationship with harm remains elusive despite extensive research.
Will Prochaska described the gambling industry’s business model as “top-heavy,” with approximately 700,000 adults registered with GamStop, a UK self-exclusion program that helps individuals restrict access to online gambling platforms. Prochaska suggested that the heavy advertising expenditure reflects the industry’s need to replace customers lost due to harm or self-exclusion.
Contrasting views were provided by Dan Waugh, partner at Regulus Partners, who contested the notion that gambling advertising directly causes gambling harm. He pointed out that about 60% of GamStop users choose the longest exclusion period of five years, while others select shorter terms. Waugh cautioned against assuming all GamStop users are problem gamblers, emphasizing the importance of interpreting these figures carefully.
The House of Lords has engaged in similar debates on this issue in recent years, but consensus on a definite link between gambling advertisements and harmful behavior has remained elusive.
