2024 has been another good year for the UK gambling industry. Gross Gambling Yield (GGY) has again been on the increase but there remains the possibility of stricter regulation in the future but when?
Statistics released by the UK Gambling Commission for the period April to June 2024 revealed a GGY of £1.46 billion. That’s 12% higher than the same period in 2023. There was also an increase in the number of total bets and/or spins with 24.5 billion being recorded. The average number of monthly active accounts also saw a 9% increase from last year.
More good news for the UK gambling industry has come from Entain. Their online net gaming revenue (NGR) has been higher than expected in the second quarter of the new financial year. The first quarter of the new financial year had seen a 6% rise in total group NGR. Euro 2024 helped boost figures.
Online NGR in the UK and Irish markets have seen them back in a year-on-year growth position sooner than they thought would take place. This has been achieved through improved volumes and markets.
It’s not just their results in the UK that are pleasing new CEO Gavin Isaacs. Many UK gambling companies have been busy expanding their presence in other markets, particularly the USA.
Entain has a joint venture with BetMGM (who launched in the UK last year among other new casinno sites) in America and that has been boosting their figures. The new NFL season is now underway and new features have been introduced that will hopefully see even more revenue earned.
This could have been the year in which stricter regulation was imposed on the UK’s gambling industry. Last year saw a White Paper on gambling reform published and the online sector of the industry was going to be targeted.
Plans were announced to reduce the maximum stakes for online slot games. While that would protect gamblers, such a measure would inevitably see revenue figures for gambling companies being reduced.
Then came the UK General Election and the return of Labour to power. They agreed with most of the content of the White Paper in areas such as stricter affordability checks but little has happened since they took over in Downing Street.
There is already pressure on Labour to take action against the number of gambling-related advertisements seen during English Premier League matches. If that does happen, life for UK gambling companies will become increasingly difficult.
Yet more discussions are being held with members of the gambling industry before policy statements are released. This means more delays including those new stake limits for online slots and possible impact on the new player bonuses. This simply causes uncertainty in the industry and fears that 2025 will be the year when the new regulatory measures are finally introduced.
