Sport Betting Industry Aims To Protect Itself

Betting on sport is huge business.

Sport England estimates 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 further, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.

Meanwhile, German research study company Sport & Markt estimates the general worldwide gambling market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports gambling.

But when the integrity of events are hit the betting market suffers, and profits are put under threat if consumers can not bet with 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 gambling market now.

“Not just is it a substantial 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 relating to a test versus England at Lord’s last month.

Three of these gamers have actually said 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, but was banned last week for six months for failing to report the illegal technique to him to throw frames.

There are likewise two other continuing investigations – unrelated 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 perceived as truthful, straight and fair that benefits wagering companies because people will invest money betting with confidence,” he says.

“If you take the Pakistan claims, although unrelated to the UK regulated wagering industry … it is not really a positive story for betting in the UK.

“That is because the understanding is that ‘cricket is now something we might need to beware about’.”

‘Education’

So what can be done to avoid future scandals?

According to specialists at a World Sports Law Report conference into sports betting gambling, the focus needs to be on sportspersons and sportswomen.

As Simon Taylor of the Professional Players’ Federation explains: “The only people who can repair a match are the competitors or the referee.”

His organisation represents males and women in 15 sports 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 tackle prospective issues around players is also through education.

Mr Taylor says guidelines need to be described plainly to players with clear examples, and by people they respect.

“Through educating players about sports wagering you strengthen integrity which 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 regulatory legal recommendations at the Football Association, agrees.

“Prevention is better than treatment, and we also make a point of telling gamers ‘you are going to be caught’.”

“It is crucial that sport is straight, and is seen to be directly,” he adds.

“If it loses that then individuals don’t wish to bet, that is not in betting firms’ interests, and it is not in our interests.”

He stated that when an excellent track record was lost, the damage to a sport was “enormous”.

FA rules suggest gamers are not enabled to bank on a competitors in which they are involved.

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

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

“We need to get over to gamers the reputational threat to the video game,” he states. “Once confidence has been damaged it is tough to get it back – mud sticks.”

‘Overwhelmingly legal’

If this represents the “carrot” method, then possibly Nick Tofiluk, director of policy at the Gambling Commission, represents the “stick”.

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

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

“The frustrating majority of sports betting happening 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 occasion.

“Such cheating has the prospective to undermine the integrity of a sport, and it also damages the business interests of sports bodies and sports betting.”

The commission has actually established an in-house Sports Betting Intelligence Unit to get and disseminate info to sporting authorities, wagering firms and policing authorities.

“Since 2007 we have experienced a significant insight into world of corrupt sports wagering,” he says.

“We will inform sports of our issues, to assist avoid or curtail [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 duration there has actually been simply one criminal prosecution, a 24-year-old man who was cautioned for unfaithful in relation to greyhound racing.

However, Mr Tofiluk states there are still eight ongoing examinations, which much useful information has actually also been passed to sports authorities.

He stated that where an examination by a sport governing body was quicker, and more expense efficient, then the commission would consider stopping a criminal investigation “in favour of letting sports governing bodies take the lead”.

Meanwhile, he states much of those seeking to cheat the sports wagering industry were educated about sports and sporting people, and about betting operations and the movement of money.

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