Sport wagering market seeks to secure itself

16 September 2010

By Bill Wilson

Business press reporter, BBC News

sports betting on sport is huge company.

Sport England approximates the worth of costs on sport-related gambling in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
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Which figure is most likely to have actually grown further, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summertime.

Meanwhile, German research study company Sport & Markt approximates the general global sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gaming.
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But when the stability of occasions are struck the gambling market suffers, and revenues are put under hazard if consumers can not bet with 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 gambling market now.

"Not just is it a substantial market in world business, it is one that is now on the front pages of papers."

Four Pakistan cricketers have been questioned by police over spot-fixing claims connecting to a test versus England at Lord's last month.

Three of these gamers have stated they will also challenge the corruption charges installed against 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 prohibited last week for 6 months for failing to report the illegal approach to him to toss frames.

There are also 2 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 perceived as truthful, straight and reasonable that benefits betting companies because individuals will spend cash wagering with self-confidence," he states.

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

"That is because the perception is that 'cricket is now something we might have to be careful about'."
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'Education'

So what can be done to avoid future scandals?

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

As Simon Taylor of the Professional Players' Federation mentions: "The only people 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 gamer organisations, such as the Professional Footballers' Association.

He believes that it is inadequate to merely have deterrents, sanctions and disciplinary procedures, but that the method to tackle possible concerns around players is also through education.

Mr Taylor says rules need to be described clearly to gamers with clear examples, and by people they appreciate.

"Through informing gamers about sports betting wagering you reinforce stability which is 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 recommendations at the Football Association, agrees.

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

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

"If it loses that then people do not wish to wager, that is not in gaming firms' interests, and it is not in our interests."

He said that as soon as a good track record was lost, the damage to a sport was "incalculable".

FA guidelines mean players are not enabled to bank on a competition in which they are involved.

Mr Johnson says gamers have actually 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 out of the FA Cup in the autumn can not wager on a Manchester United v Chelsea cup last the following spring.
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"We have to get over to gamers the reputational threat to the video game," he states. "Once self-confidence has actually been damaged it is difficult to get it back - mud sticks."

'Overwhelmingly legal'
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If this represents the "carrot" method, then perhaps Nick Tofiluk, director of regulation at the Gambling Commission, represents the "stick".

The Gambling Commission was established under the Gambling Act 2005 to manage commercial gaming in Great Britain.

An ex-chief constable of West Midlands police, Mr Tofiluk has responsibility 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 reasonable," he states.
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"But for some there is the temptation to ... corruptly interfere with the result of a sporting occasion.

"Such unfaithful has the prospective to undermine the stability of a sport, and it likewise hurts the industrial interests of sports betting bodies and sports betting wagering."

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

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

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

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

'Vulnerabilities'

But in a two-and-a-half year duration there has actually been just one criminal prosecution, a 24-year-old male 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 likewise been passed to sports betting authorities.

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

Meanwhile, he says a lot of those wanting to cheat the sports betting market were well-informed about sports betting and sporting people, and about wagering operations and the motion of money.

"They look for out the vulnerabilities of these to assist in their business."

Related internet links
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World sports betting Law Report

ICC

Professional Players Federation

Professional Footballers' Association

The FA

Betfair

Sport & Markt

BLP

Gambling Commission