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Sport wagering market looks to safeguard itself
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16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is big company.

Sport England approximates 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 likely to have actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summertime.

Meanwhile, German research company Sport & Markt approximates the overall international will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gambling.

But when the integrity of occasions are struck the sports betting market suffers, and incomes are put under threat if clients can not wager with self-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 speak about the sports betting gambling market now.

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

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

Three of these players have actually stated they will also challenge the corruption charges installed 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 accusations, however was prohibited recently for 6 months for stopping working to report the unlawful technique to him to throw frames.

There are also two other continuing examinations - not related 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 honest, straight and reasonable that benefits sports betting companies since people will spend cash wagering with self-confidence," he says.

"If you take the Pakistan allegations, although unassociated to the UK managed sports betting industry ... it is not actually a positive story for sports betting in the UK.

"That is since the perception is that 'cricket is now something we might 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 needs to be on sportspersons and sportswomen.

As Simon Taylor of the Professional Players' Federation points out: "The only individuals who can fix a match are the competitors or the referee."

His organisation represents males and females in 15 sports betting in the UK, being an umbrella organisation for all player organisations, such as the Professional Footballers' Association.

He believes that it is inadequate to simply have deterrents, sanctions and disciplinary treatments, however that the way to tackle prospective problems around gamers is likewise through education.

Mr Taylor states rules require to be discussed plainly to gamers with clear examples, and by individuals they respect.

"Through informing gamers about sports betting wagering you reinforce integrity and that remains in everyone's interest," he adds.

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

'Brand damage'

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

"Prevention is much better than cure, and we likewise make a point of telling gamers 'you are going to be caught'."
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"It is imperative that sport is straight, and is seen to be directly," he adds.

"If it loses that then people do not desire to wager, that is not in gaming firms' interests, and it is not in our interests."

He said that when an excellent credibility was lost, the damage to a sport was "incalculable".

FA rules suggest gamers are not enabled to bank on a competition in which they are included.

Mr Johnson says gamers have actually to be seen not to be capitalizing any inside knowledge, which he says might cause "brand damage" to football and its competitions.

So, even a 2nd Division player knocked out of the FA Cup in the autumn can not wager on a Manchester United v Chelsea cup final the following spring.

"We have to get over to gamers the reputational threat to the game," he says. "Once self-confidence has actually been harmed 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 established under the Gambling Act 2005 to regulate business gaming in Great Britain.

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

"The frustrating bulk of sports betting wagering occurring through UK operators is legal and fair," he says.

"But for some there is the temptation to ... corruptly hinder the result of a sporting occasion.

"Such cheating has the possible to undermine the integrity of a sport, and it likewise hurts the business interests of sports betting bodies and sports betting."

The commission has established an internal Sports Betting Intelligence Unit to receive and share information to sporting authorities, sports betting companies and policing authorities.

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

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

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

'Vulnerabilities'

But in a two-and-a-half year period there has been just one prosecution, a 24-year-old male who was warned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk states there are still 8 continuous investigations, which much beneficial information has actually likewise been passed to sports betting authorities.

He said that where an investigation by a sport governing body was quicker, and more cost effective, then the commission would consider ceasing a criminal examination "in favour of letting sports betting governing bodies take the lead".

Meanwhile, he states much of those looking to cheat the sports betting wagering market were experienced about sports betting and sporting individuals, and about sports betting operations and the movement of money.

"They look for out 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
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Gambling Commission

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