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Sport wagering market wants to protect itself
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16 September 2010

By Bill Wilson

Business press reporter, BBC News

sports betting on sport is big service.

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

And that figure is 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 approximates the overall global gaming market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting.

But when the stability of occasions are struck the sports betting market suffers, and earnings are put under threat if consumers can not wager with confidence.

And there can have been few higher-profile sport sports betting stories than those impacting cricket and snooker this year.

High-profile

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

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

Four Pakistan cricketers have actually been questioned by authorities over spot-fixing accusations connecting to a test against England at Lord's last month.

Three of these players have actually stated they will likewise challenge the corruption charges mounted 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 accusations, however was banned last week for six months for stopping working to report the illegal method to him to toss frames.

There are likewise 2 other continuing examinations - not associated to Mr Higgins - into snooker.

'Honest'

David O'Reilly is legal counsel for Betfair, among the UK's most significant online sporting exchanges.

"If the sport is perceived as sincere, straight and fair that benefits sports betting firms since people will spend money betting with confidence," he says.

"If you take the Pakistan allegations, although unrelated to the UK managed wagering market ... it is not truly a favorable story for wagering in the UK.

"That is since the understanding is that 'cricket is now something we may need to take care about'."

'Education'

So what can be done to avoid future scandals?

According to professionals 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 fix a match are the competitors or the referee."

His organisation represents guys and 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 insufficient to merely have deterrents, sanctions and disciplinary treatments, but that the method to deal with potential concerns around players is also through education.

Mr Taylor says rules need to be described clearly to gamers with clear examples, and by individuals they respect.

"Through informing gamers about sports betting you enhance integrity which is in everybody's interest," he adds.

"If gamers are harder to corrupt then sport will be harder to corrupt."

'Brand damage'

Matt Johnson, head of regulative legal recommendations at the Football Association, concurs.

"Prevention is better than remedy, and we also make a point of telling gamers 'you are going to be captured'."

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

"If it loses that then individuals don't desire to bet, that is not in gambling companies' interests, and it is not in our interests."

He stated that as soon as a good track record was lost, the damage to a sport was "incalculable".

FA rules suggest gamers are not allowed to bet on a competitors in which they are included.

Mr Johnson says gamers have actually to be seen not to be cashing in on any inside understanding, which he states could trigger "brand name damage" to football and its competitions.
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So, even a Second Division player knocked out of the FA Cup in the fall can not bank on a Manchester United v Chelsea cup last the following spring.

"We need to get over to players the reputational risk to the video game," he states. "Once self-confidence has been damaged it is difficult to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" approach, 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 business betting in Great Britain.

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

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

"But for some there is the temptation to ... corruptly interfere with the outcome of a sporting event.

"Such cheating has the potential to weaken the integrity of a sport, and it also damages the industrial interests of sports betting bodies and sports betting."

The commission has established an in-house Sports Betting Intelligence Unit to get and disseminate info to sporting authorities, sports betting firms and policing authorities.

"Since 2007 we have experienced a considerable insight into world of corrupt sports betting wagering," he says.

"We will alert sports betting of our concerns, to assist prevent or reduce [illegal] activity"

In May 2010, the commission likewise introduced a personal telephone hotline for those with information or suspicions.
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'Vulnerabilities'

But in a two-and-a-half year period there has actually 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 continuous examinations, and that much helpful information has also been passed to sports betting authorities.

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

Meanwhile, he states much of those wanting to cheat the sports betting industry were educated about sports betting and sporting people, and about wagering operations and the motion of money.

"They look for the vulnerabilities of these to help in their enterprises."

Related internet links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission

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