Sport betting market looks to protect itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is substantial company.
Sport England estimates the value of costs on sport-related gambling in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
Which figure is most likely to have grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.
Meanwhile, German research study company Sport & Markt approximates the total global gaming market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gaming.
But when the stability of events are struck the gaming market suffers, and earnings are put under hazard if clients can not wager with confidence.
And there can have been few higher-profile sport sports betting stories than those affecting cricket and snooker this year.
High-profile
As Sport & Markt's Gareth Moore observes: "Everyone discuss the sports betting gambling market now.
"Not only is it a considerable market in world business, it is one that is now on the front pages of newspapers."
Four Pakistan cricketers have been questioned by police over spot-fixing claims relating to a test against England at Lord's last month.
Three of these gamers have 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 champion John Higgins was cleared of match-fixing allegations, however was prohibited recently for six months for stopping working to report the unlawful approach to him to toss frames.
There are also 2 other continuing investigations - not related 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 sincere, straight and reasonable that benefits sports betting companies since individuals will spend money wagering with confidence," he states.
"If you take the Pakistan claims, although unassociated to the UK regulated wagering industry ... it is not actually a positive story for wagering in the UK.
"That is because the understanding is that 'cricket is now something we may need to beware 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 gambling, the focus has to be on sportsmen and sportswomen.
As Simon Taylor of the Professional Players' Federation points out: "The only people who can fix a match are the rivals or the referee."
His organisation represents guys and ladies in 15 sports betting in the UK, being an umbrella organisation for all gamer organisations, such as the Professional Footballers' Association.
He believes that it is inadequate to merely have deterrents, sanctions and disciplinary procedures, however that the method to deal with prospective problems around gamers is likewise through education.
Mr Taylor says rules need to be discussed plainly to gamers with clear examples, and by individuals they appreciate.
"Through informing gamers about sports betting wagering you reinforce integrity and that remains in everybody's interest," he includes.
"If players are more difficult to corrupt then sport will be harder to corrupt."
'Brand damage'
Matt Johnson, head of regulative legal advice at the Football Association, agrees.
"Prevention is much better than remedy, and we likewise make a point of telling players 'you are going to be captured'."
"It is important that sport is straight, and is seen to be straight," he adds.
"If it loses that then individuals do not desire to bet, that is not in sports betting firms' interests, and it is not in our interests."
He said that as soon as an excellent reputation was lost, the damage to a sport was "incalculable".
FA rules mean gamers are not enabled to bet on a competition in which they are involved.
Mr Johnson says players have actually to be seen not to be cashing in on any inside understanding, which he states might trigger "brand damage" to football and its competitions.
So, even a 2nd Division player knocked out of the FA Cup in the fall can not bank on a Manchester United v Chelsea cup final the following spring.
"We have to get over to gamers the reputational danger to the game," he states. "Once self-confidence has actually been damaged it is tough to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" approach, then maybe Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".
The Gambling Commission was set up under the Gambling Act 2005 to regulate business sports betting in Great Britain.
An ex-chief constable of West Midlands authorities, Mr Tofiluk has responsibility for policing all betting in the UK apart from spread wagering, which is the remit of the FSA.
"The frustrating majority of sports betting wagering occurring through UK operators is legal and reasonable," he says.
"But for some there is the temptation to ... corruptly disrupt the result of a sporting occasion.
"Such unfaithful has the possible to undermine the stability of a sport, and it also damages the commercial interests of sports betting bodies and sports betting."
The commission has actually developed an in-house Sports Betting Intelligence Unit to get and disseminate details to sporting authorities, wagering companies and policing authorities.
"Since 2007 we have actually experienced a significant insight into world of corrupt sports betting wagering," he states.
"We will signal sports betting of our issues, to assist avoid or reduce [prohibited] activity"
In May 2010, the commission likewise presented a private telephone hotline for those with details or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has actually been simply one prosecution, a 24-year-old guy who was warned for cheating in relation to greyhound racing.
However, Mr Tofiluk says there are still 8 ongoing investigations, and that much helpful information has actually likewise been passed to sports betting authorities.
He said that where an examination by a sport governing body was quicker, and more expense reliable, then the commission would think about stopping a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he says a lot of those seeking to cheat the sports betting wagering market were educated about sports betting and sporting people, and about wagering operations and the movement of money.
"They look for the vulnerabilities of these to help in their business."
Related web links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission