Sport sports betting market looks to safeguard itself

16 September 2010

By Bill Wilson

Business press reporter, BBC News

Betting on sport is big company.

Sport England approximates the value of spending on sport-related gaming in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.

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

Meanwhile, German research company Sport & Markt estimates the total global sports betting market will deserve 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 gambling market suffers, and earnings are put under threat if customers can not bet with self-confidence.

And there can have been couple of 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 market now.

"Not just is it a considerable market in world organization, it is one that is now on the front pages of newspapers."

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

Three of these gamers have actually stated they will also challenge the corruption charges installed versus 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 banned recently for 6 months for stopping working to report the unlawful technique to him to toss frames.

There are also 2 other continuing investigations - not associated 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 perceived as truthful, straight and fair that is good for wagering companies due to the fact that individuals will spend cash wagering with self-confidence," he states.

"If you take the Pakistan accusations, although unassociated to the UK regulated wagering market ... it is not really a positive story for sports betting in the UK.

"That is because the perception is that 'cricket is now something we may 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 gambling, the focus needs to be on sportsmen and sportswomen.

As Simon Taylor of the Professional Players' Federation explains: "The only people 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 thinks that it is inadequate to simply have deterrents, sanctions and disciplinary procedures, however that the method to deal with prospective concerns around players is also through education.

Mr Taylor states rules need to be described clearly to players with clear examples, and by individuals they respect.

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

"If players are more difficult to corrupt then sport will be more difficult 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 informing gamers 'you are going to be captured'."

"It is vital that sport is directly, and is seen to be directly," he includes.

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

He stated that as soon as an excellent credibility was lost, the damage to a sport was "enormous".

FA guidelines mean gamers are not enabled to wager on a competition in which they are included.

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

"We have to overcome to players the reputational danger to the video game," he states. "Once self-confidence has 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 guideline at the Gambling Commission, represents the "stick".

The Gambling Commission was set up under the Gambling Act 2005 to control commercial sports betting in Great Britain.

An ex-chief constable of West Midlands police, Mr Tofiluk has obligation for policing all sports betting in the UK apart from spread sports betting, 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 interfere with the outcome of a sporting event.

"Such unfaithful has the potential 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 in-house Sports Betting Intelligence Unit to get and share details to sporting authorities, wagering firms and policing authorities.

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

"We will signal sports betting of our concerns, to help avoid or cut [illegal] activity"

In May 2010, the commission also introduced a private telephone hotline for those with details or suspicions.

'Vulnerabilities'

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

However, Mr Tofiluk states there are still eight continuous examinations, which much beneficial info has actually likewise been passed to sports betting authorities.

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

Meanwhile, he says a lot of those looking to cheat the sports betting industry were knowledgeable about sports betting and sporting people, and about sports betting operations and the movement of money.

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

Related internet links

World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission