Sport sports betting industry seeks to safeguard itself
16 September 2010
By Bill Wilson
Business press reporter, BBC News
sports betting on sport is huge business.
Sport England approximates the value of spending on sport-related sports betting in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
Which figure is likely to have actually grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research company Sport & Markt approximates the overall international gambling market will deserve 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gaming.
But when the integrity of occasions are struck the gambling industry suffers, and revenues are put under hazard if customers can not wager with confidence.
And there can have been couple of higher-profile sport wagering stories than those affecting cricket and snooker this year.
High-profile
As Sport & Markt's Gareth Moore observes: "Everyone talks about the sports betting 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 actually been questioned by police over spot-fixing accusations relating to a test versus England at Lord's last month.
Three of these gamers have actually 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, however was prohibited recently for six months for failing to report the prohibited method to him to toss frames.
There are likewise two other continuing examinations - unrelated to Mr Higgins - into snooker.
'Honest'
David O'Reilly is legal counsel for Betfair, among the UK's biggest online sporting exchanges.
"If the sport is viewed as sincere, straight and reasonable that is excellent for sports betting companies due to the fact that individuals will spend cash sports betting with self-confidence," he states.
"If you take the Pakistan allegations, although unassociated to the UK controlled sports betting market ... it is not truly a favorable story for sports betting in the UK.
"That is due to the fact that the perception is that 'cricket is now something we might have 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 repair a match are the competitors or the referee."
His organisation represents guys and females in 15 sports betting in the UK, being an umbrella organisation for all gamer organisations, such as the Professional Footballers' Association.
He thinks that it is inadequate to simply have deterrents, sanctions and disciplinary procedures, but that the method to tackle prospective concerns around gamers is also through education.
Mr Taylor states guidelines need to be discussed clearly to players with clear examples, and by people they appreciate.
"Through informing gamers about sports betting wagering you strengthen stability and that is in everybody's interest," he includes.
"If gamers are harder to corrupt then sport will be harder to corrupt."
'Brand damage'
Matt Johnson, head of regulative legal guidance at the Football Association, concurs.
"Prevention is better than treatment, and we likewise make a point of telling players 'you are going to be caught'."
"It is imperative that sport is directly, and is seen to be directly," he adds.
"If it loses that then people do not want to wager, that is not in gaming companies' interests, and it is not in our interests."
He said that when an excellent credibility was lost, the damage to a sport was "enormous".
FA guidelines imply players are not allowed to bank on a competition in which they are included.
Mr Johnson says gamers need to be seen not to be capitalizing any inside knowledge, which he says could cause "brand name damage" to football and its competitors.
So, even a 2nd Division player knocked out of the FA Cup in the autumn can not bet on a Manchester United v Chelsea cup last the following spring.
"We need to overcome to gamers the reputational risk to the video game," he says. "Once confidence has been harmed it is hard 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 established under the Gambling Act 2005 to regulate commercial gambling in Great Britain.
An ex-chief constable of West Midlands cops, Mr Tofiluk has duty for policing all wagering in the UK apart from spread sports betting, 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 interfere with the result of a sporting occasion.
"Such cheating has the prospective to weaken the stability of a sport, and it likewise damages the commercial interests of sports bodies and sports betting wagering."
The commission has actually developed an internal Sports Betting Intelligence Unit to get and distribute info to sporting authorities, wagering companies and policing authorities.
"Since 2007 we have experienced a substantial insight into world of corrupt sports betting wagering," he states.
"We will notify sports betting of our concerns, to assist prevent or reduce [prohibited] activity"
In May 2010, the commission also presented a confidential telephone hotline for those with information or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has actually been just one criminal prosecution, a 24-year-old guy who was cautioned for unfaithful in relation to greyhound racing.
However, Mr Tofiluk says there are still eight continuous examinations, which much helpful details has actually also been passed to sports betting authorities.
He said that where an examination by a sport governing body was quicker, and more cost efficient, then the commission would consider ceasing a criminal examination "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he says numerous of those aiming to cheat the sports betting wagering market were experienced about sports betting and sporting people, and about wagering operations and the motion of cash.
"They look for the vulnerabilities of these to assist in their enterprises."
Related web links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission