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Sport wagering market aims to secure itself
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16 September 2010
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By Bill Wilson
Business press reporter, BBC News
sports betting on sport is big business.
Sport England estimates the worth of costs 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 grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.
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Meanwhile, German research study company Sport & the total global sports betting market will be worth 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 risk if consumers can not bet 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 just is it a substantial market in world company, it is one that is now on the front pages of papers."
Four Pakistan cricketers have been questioned by police over spot-fixing claims relating to a test against England at Lord's last month.
Three of these players have stated they will also challenge the corruption charges mounted 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 accusations, but was banned last week for 6 months for failing to report the prohibited method to him to throw frames.
There are likewise 2 other continuing investigations - 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 perceived as honest, straight and reasonable that benefits sports betting companies because individuals will invest cash wagering with self-confidence," he states.
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"If you take the Pakistan accusations, although unrelated to the UK regulated sports betting market ... it is not actually a positive story for wagering in the UK.
"That is due to the fact that the understanding is that 'cricket is now something we may need to be cautious about'."
'Education'
So what can be done to prevent future scandals?
According to experts 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 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 gamer organisations, such as the Professional Footballers' Association.
He thinks that it is inadequate to simply have deterrents, sanctions and disciplinary treatments, but that the way to deal with prospective issues around gamers is also through education.
Mr Taylor says guidelines require to be explained clearly to players with clear examples, and by individuals they appreciate.
"Through educating players about sports betting wagering you reinforce integrity and that is in everyone's interest," he includes.
"If gamers are more difficult to corrupt then sport will be harder to corrupt."
'Brand damage'
Matt Johnson, head of regulatory legal suggestions at the Football Association, agrees.
"Prevention is much better than cure, and we also make a point of telling gamers 'you are going to be captured'."
"It is imperative that sport is directly, and is seen to be straight," he adds.
"If it loses that then people don't want to wager, that is not in sports betting firms' interests, and it is not in our interests."
He said that as soon as a good credibility was lost, the damage to a sport was "incalculable".
FA guidelines imply players are not allowed to wager on a competitors in which they are involved.
Mr Johnson states players need to be seen not to be cashing in on any inside understanding, which he says could trigger "brand name damage" to football and its competitors.
So, even a Second Division player knocked out of the FA Cup in the autumn can not wager 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 actually been harmed it is difficult 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 manage commercial sports betting in Great Britain.
An ex-chief constable of West Midlands police, Mr Tofiluk has duty for policing all wagering in the UK apart from spread sports betting, which is the remit of the FSA.
"The overwhelming majority of sports betting occurring through UK operators is legal and fair," he states.
"But for some there is the temptation to ... corruptly interfere with the outcome of a sporting event.
"Such cheating has the prospective to undermine the stability of a sport, and it also damages the industrial interests of sports betting bodies and sports betting wagering."
The commission has actually established an internal Sports Betting Intelligence Unit to receive and distribute details to sporting authorities, wagering firms and policing authorities.
"Since 2007 we have actually experienced a significant insight into world of corrupt sports betting wagering," he states.
"We will signal sports betting of our concerns, to assist prevent or cut [prohibited] activity"
In May 2010, the commission also introduced a personal telephone hotline for those with information or suspicions.
'Vulnerabilities'
But in a two-and-a-half year period there has actually been simply one criminal prosecution, a 24-year-old guy who was warned for unfaithful in relation to greyhound racing.
However, Mr Tofiluk states there are still eight continuous examinations, and that much helpful details has also been passed to sports betting authorities.
He stated that where an examination by a sport governing body was quicker, and more expense efficient, then the commission would think about discontinuing a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states a lot of those aiming 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 help in their enterprises."
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Related web links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
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BLP
Gambling Commission
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