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Sport sports betting market looks to secure itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is big business.

Sport England approximates the value of costs on sport-related sports betting in from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

And that figure is likely to have grown further, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer season.

Meanwhile, German research firm Sport & Markt approximates the overall worldwide gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gaming.

But when the stability of occasions are struck the gambling industry suffers, and incomes are put under hazard if customers can not wager with confidence.

And there can have been couple of higher-profile sport 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 gambling market now.

"Not just is it a substantial market in world business, it is one that is now on the front pages of papers."

Four Pakistan cricketers have been questioned by police over spot-fixing allegations associating with a test versus England at Lord's last month.

Three of these gamers have said they will also 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 claims, but was prohibited last week for 6 months for failing to report the unlawful technique to him to toss frames.

There are likewise 2 other continuing examinations - unrelated to Mr Higgins - into snooker.

'Honest'

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

"If the sport is viewed as honest, straight and reasonable that is good for wagering firms due to the fact that people will invest cash sports betting with confidence," he says.

"If you take the Pakistan accusations, although unassociated to the UK controlled wagering market ... it is not truly a positive story for wagering in the UK.

"That is because the perception is that 'cricket is now something we may have to beware about'."

'Education'

So what can be done to prevent future scandals?

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

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

His organisation represents males and females 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 not enough to merely have deterrents, sanctions and disciplinary procedures, however that the way to take on prospective issues around gamers is likewise through education.

Mr Taylor says guidelines need to be discussed clearly to gamers with clear examples, and by people they respect.

"Through educating players about sports betting you enhance stability which is in everyone's interest," he adds.

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

'Brand damage'

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

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

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

"If it loses that then individuals don't wish to wager, that is not in gambling firms' interests, and it is not in our interests."

He said that once a good reputation was lost, the damage to a sport was "incalculable".

FA rules imply players are not enabled to wager on a competitors in which they are included.

Mr Johnson states players need to be seen not to be capitalizing any inside knowledge, 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 bet on a Manchester United v Chelsea cup final the following spring.

"We have to overcome to gamers the reputational threat to the game," he says. "Once self-confidence has 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 manage commercial gaming in Great Britain.

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

"The overwhelming bulk of sports betting occurring through UK operators is legal and reasonable," he states.

"But for some there is the temptation to ... corruptly disrupt the outcome of a sporting occasion.

"Such unfaithful has the prospective to undermine the stability of a sport, and it also harms the commercial interests of sports betting bodies and sports betting wagering."

The commission has established an internal Sports Betting Intelligence Unit to get and share info to sporting authorities, sports betting firms and policing authorities.

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

"We will inform sports betting of our concerns, to help avoid or curtail [prohibited] activity"

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

'Vulnerabilities'

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

However, Mr Tofiluk states there are still eight continuous examinations, which much useful info has actually 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 consider discontinuing a criminal examination "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he says a lot of those wanting to cheat the sports betting wagering market were experienced about sports betting and sporting people, and about sports betting operations and the motion of money.

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

Related internet links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt
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BLP

Gambling Commission
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