Gambling Act Review: UKGC Introduces Financial Vulnerability Checks and Pilot Scheme

On Friday, the Gambling Commission announced the implementation of new "light-touch" financial vulnerability checks for online gambling operators. This move, part of a broader reform following the Government's review of the Gambling Act 2005, includes a pilot scheme for additional financial risk assessments targeting the largest online operators.

The new rules require operators to conduct financial checks when customer spending reaches specific thresholds. Initially, a £500 threshold will apply for six months, reducing to £150 from February 28, 2025. Operators must assess financial vulnerability indicators such as bankruptcy or debt relief orders and take proportionate actions if risks are identified.

Additionally, the GC's pilot scheme, running until March 2025, will involve the highest-turnover operators. These operators must request financial risk assessments from credit reference agencies for customers exceeding certain gambling spend thresholds. The scheme is a data-gathering exercise aimed at exploring the feasibility of broader implementation in the future.

The GC also introduced amendments to the Licence Conditions and Codes of Practice (LCCP) to enhance age verification in physical gambling premises, including adopting a "Think 25" approach, up from the previous "Think 21" standard.

Helen Rhodes, the GC's Director of Major Policy Projects and Evaluations, emphasized the need to balance protecting vulnerable customers with maintaining a frictionless experience for most users. The results of the pilot will guide future decisions on financial risk assessments.

Further regulatory updates, including changes to Remote Technical Standards and new game design requirements, are scheduled to take effect later this year and into 2025.