Sport Betting Industry Seeks To Protect Itself

Sport betting market looks to protect itself

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Betting on sport is big business.

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

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And that figure is most likely to have actually grown further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.


Meanwhile, German research company Sport & Markt estimates the total worldwide betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gambling.


But when the integrity of events are struck the gambling industry suffers, and incomes are put under danger if consumers can not bet with confidence.


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


High-profile


As Sport & Markt's Gareth Moore observes: "Everyone talks about the sports betting gambling market now.


"Not just is it a considerable market in world company, it is one that is now on the front pages of newspapers."


Four Pakistan cricketers have actually been questioned by authorities 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 champ John Higgins was cleared of match-fixing allegations, but was prohibited recently for six months for failing to report the illegal method to him to throw frames.


There are also 2 other continuing investigations - unrelated to Mr Higgins - into snooker.


'Honest'


David O'Reilly is legal counsel for Betfair, one of the UK's biggest online sporting exchanges.


"If the sport is viewed as truthful, straight and fair that is excellent for betting companies because individuals will spend cash wagering with confidence," he states.


"If you take the Pakistan claims, although unrelated to the UK regulated wagering industry ... it is not really a favorable story for betting in the UK.


"That is since the perception is that 'cricket is now something we might have to take care about'."


'Education'


So what can be done to avoid future scandals?


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


As Simon Taylor of the Professional Players' Federation explains: "The only people who can repair a match are the competitors or the referee."


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


He thinks that it is not sufficient to merely have deterrents, sanctions and disciplinary procedures, however that the way to tackle potential concerns around gamers is likewise through education.


Mr Taylor states guidelines need to be described clearly to gamers with clear examples, and by people they appreciate.


"Through educating gamers about sports betting you reinforce integrity which remains in everyone's interest," he adds.


"If players are harder to corrupt then sport will be more difficult to corrupt."


'Brand damage'


Matt Johnson, head of regulatory legal recommendations at the Football Association, agrees.


"Prevention is much better than treatment, and we likewise make a point of telling players 'you are going to be caught'."


"It is imperative that sport is straight, and is seen to be directly," he adds.


"If it loses that then individuals do not wish to bet, that is not in gaming companies' interests, and it is not in our interests."


He said that as soon as a great reputation was lost, the damage to a sport was "incalculable".


FA guidelines suggest players are not allowed to bank on a competitors in which they are included.


Mr Johnson says gamers have to be seen not to be cashing in on any inside knowledge, which he states could cause "brand damage" to football and its competitions.


So, even a 2nd Division gamer knocked out of the FA Cup in the autumn can not wager on a Manchester United v Chelsea cup last the following spring.


"We have to overcome to gamers the reputational risk to the video game," he states. "Once self-confidence has been harmed it is tough to get it back - mud sticks."


'Overwhelmingly legal'


If this represents the "carrot" method, then perhaps Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".


The Gambling Commission was established under the Gambling Act 2005 to regulate commercial betting in Great Britain.


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


"The overwhelming bulk of sports betting wagering taking location through UK operators is legal and fair," he says.


"But for some there is the temptation to ... corruptly disrupt the result of a sporting event.


"Such cheating has the prospective to weaken the stability of a sport, and it also hurts the industrial interests of sports betting bodies and sports betting wagering."


The commission has actually established 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 substantial insight into world of corrupt sports betting," he says.


"We will alert sports betting of our issues, to help avoid or cut [illegal] activity"


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


'Vulnerabilities'


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


However, Mr Tofiluk states there are still eight ongoing examinations, which much helpful details has likewise been passed to sports authorities.


He said that where an investigation by a sport governing body was quicker, and more expense reliable, then the commission would think about terminating a criminal examination "in favour of letting sports betting governing bodies take the lead".

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Meanwhile, he states a number of those aiming to cheat the sports betting industry were educated about sports betting and sporting individuals, and about betting operations and the motion of money.


"They look for the vulnerabilities of these to assist in their business."


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