A Slash of FOBTs Stakes Recommended by MPs

Posted by Harry Kane on Monday, January 2, 2017

A group of British MPs have recently filed a report prompting a few significant changes to UK betting laws when FOBTs are concerned. A fixed odds betting terminal (FOBT) is a machine found in betting shops that allows betting on games and events with fixed odds. These were introduced in UK shops in 2001 and include roulette, bingo, simulated horseracing and greyhound racing, and slot machines.

The most striking proposition in the report states that fixed odds betting terminals stakes should be limited to £2, not £100. The second suggestion has to do with a reduction of the number of FOBTs in a betting shop – there could be up to four FOBTs at the moment but bookmakers are finding ways around that restriction. Finally, the MPs demand that the speed at which punters can bet be slowed down – currently, they can bet £100 every 20 seconds.

The report is significant not only with the considerable reduction proposed but also because it is supported across parties. Members of all major parties in the British parliament, including the senior Conservative backbencher Sir Peter Bottomley, come together to take a stand against the ability of punters to lose as much as £300 per minute. The said report also publishes the findings of a six-month-long research and inquiry into the machines and their influence on gamers.

The MPs believe that the current state of UK gaming encourages people to bet and lose money and, thus, paves the way to problem gambling. The parliamentarians think that it’s the government’s job to put limits on the use of those addictive machines and protect gamers. Actually, problem gambling was once again in the news recently when a report from GambleAware reminded the public that it costs the UK up to £1.2bn a year, with British gamblers losing a record £12.6bn in 2015.

The bookmakers were not pleased with the report, as might be expected, and a spokesperson for William Hill accused the mix-party group of being biased, saying, ‘This is a small group of anti-FOBT MPs who formed their conclusions before they began any report process. The fact the group is funded by the commercial interests of the arcades and the Hippodrome Casino says it all. They are not a Select Committee and have little credibility in terms of independence.’ On a similar note, the Association of British Bookmakers (ABB) called the group of MPs ‘a kangaroo court’.

GambleAware took the chance to highlighted the need for more changes and limitations. The independent national charity published a 135-page report, called ‘Key Issues in Product-Based Harm Minimization’ with their observations and suggestions for improvement. This comes shortly after GambleAware introduced a 5-year strategy for solving gambling-related issues.

The government is in the process of reviewing the report, which will be published in its entirety in early 2017, but it has already made its mark on the gaming world. Right after the cutdown proposal, shares of leading UK bookmakers plummeted. For example, William Hill shares dropped down 7.2% and newly-merged Ladbrokes Coral – 6.8%.