Sport sports betting market aims to protect itself

16 September 2010

By Bill Wilson

Business reporter, BBC News

sports betting on sport is substantial organization.

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

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

Meanwhile, German research company Sport & Markt approximates the overall international 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 sports betting market suffers, and revenues are put under threat if customers can not wager with self-confidence.

And there can have been couple of higher-profile sport wagering 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 only 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 cops over spot-fixing accusations associating with a test against England at Lord's last month.

Three of these gamers have actually stated they will likewise challenge the corruption charges installed versus the trio by the sport governing body the International Cricket Council.

Meanwhile, three-times snooker world champ John Higgins was cleared of match-fixing allegations, however was prohibited last week for six months for failing to report the illegal technique to him to toss frames.

There are likewise two other continuing examinations - not associated 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 honest, straight and fair that is excellent for betting firms due to the fact that people will spend money sports betting with self-confidence," he says.

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

"That is because the perception is that 'cricket is now something we may need to be mindful about'."

'Education'

So what can be done to prevent future scandals?

According to specialists 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 mentions: "The only individuals who can repair 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, but that the way to deal with possible problems around gamers is likewise through education.

Mr Taylor states guidelines require to be discussed plainly to gamers with clear examples, and by people they appreciate.

"Through informing gamers about sports betting you strengthen stability and that is 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 regulatory legal suggestions at the Football Association, agrees.

"Prevention is better than cure, and we also make a point of informing gamers 'you are going to be caught'."

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

"If it loses that then individuals do not wish to bet, that is not in gaming companies' interests, and it is not in our interests."

He stated that as soon as a great credibility was lost, the damage to a sport was "incalculable".

FA rules imply gamers are not allowed to wager on a competition in which they are involved.

Mr Johnson states players have to be seen not to be capitalizing any inside knowledge, which he says could trigger "brand name damage" to football and its competitors.

So, even a Second Division gamer knocked out of the FA Cup in the fall can not bank on a Manchester United v Chelsea cup last the following spring.

"We have to overcome to gamers the reputational threat to the video game," he says. "Once self-confidence has actually been damaged it is hard to get it back - mud sticks."

'Overwhelmingly legal'

If this represents the "carrot" method, then perhaps Nick Tofiluk, director of guideline at the Gambling Commission, represents the "stick".

The Gambling Commission was set up under the Gambling Act 2005 to manage business gaming in Great Britain.

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

"The overwhelming majority of sports betting taking location through UK operators is legal and reasonable," he states.

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

"Such cheating has the prospective to weaken the stability of a sport, and it likewise hurts the business interests of sports betting bodies and sports betting."

The commission has developed an in-house Sports Betting Intelligence Unit to receive and distribute details to sporting authorities, wagering companies and policing authorities.

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

"We will signal sports of our concerns, to help avoid or reduce [prohibited] activity"

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

'Vulnerabilities'

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

However, Mr Tofiluk states there are still 8 continuous examinations, which much helpful info has actually likewise been passed to sports betting authorities.

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

Meanwhile, he states a lot of those wanting to cheat the sports betting wagering market were knowledgeable about sports betting and sporting individuals, and about wagering operations and the movement of cash.

"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

Gambling Commission

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