Betfred Hit With A £900,000 Fine

What has Betfred done wrong?

Petfre (Gibraltar) Limited, which operates the brand Betfred.com, has been found not to be doing enough to protect customers who were showing signs of gambling harm.

The main issue was that Betfred’s systems in place weren’t properly picking up warning signs.

The main signs that UKGC-licensed operators are expected to step in and act include when players spend unusually large amounts of money, gamble for longer periods, or change their betting habits.

Accounts flagged for a safer gambling review couldn’t be reviewed again for 7 days, allowing some players to continue gambling without anyone from the Betfred team stepping in. In one case, a customer lost £17,900 in just 24 hours without any further contact.

UKGC said these failures were serious because gambling companies are expected to identify at-risk customers and act quickly. Betfred responded by improving its systems and implementing a plan to meet the required standards, but it still had to pay the £900,000 settlement.

Why did Betfred have to pay £900,000?

The size of the fines that the UKGC imposes on UK-licensed brands depends on the seriousness and scale of the breach.

The Gambling Commission said the breaches were serious because Betfred wasn’t acting quickly enough when customers showed signs of gambling harm.

The regulator did say that Betfred responded well once the problems were identified. It quickly put temporary measures in place, developed a proper action plan, and made major improvements to demonstrate that its systems now meet the required standards.

The Commission also gave Betfred credit for fully cooperating with the investigation and promptly fixing the issues. However, the final £900,000 settlement was higher because the company had previous regulatory issues, and similar problems had already been seen across the gambling industry.

Why is the UKGC fining licensed brands?

The UK regulator fines gambling companies when they don’t follow the rules designed to keep customers safe.

A big part of those rules is making sure companies can spot when someone might be developing a gambling problem. If a customer is losing a lot of money, gambling for long periods, or showing other warning signs, the company is expected to step in and offer support or limit their gambling. If they don’t do that properly, they can get fined.

Companies can also be fined if they don’t do enough to stop things like money laundering or if they break other conditions of their gambling licence.

The main reason the UKGC issues these fines is to make sure gambling companies take customer safety seriously. It also signals to the rest of the industry that if they don’t meet the required standards, there will be consequences.