Sport wagering market wants to secure itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is substantial company.
Sport England estimates the value of spending 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 actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer season.
Meanwhile, German research study company Sport & Markt approximates the total international gambling market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by web and sports betting gambling.
But when the stability of events are hit the sports betting market suffers, and earnings are put under threat if consumers can not wager with self-confidence.
And there can have been few higher-profile sport sports betting stories than those impacting cricket and snooker this year.
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High-profile
As Sport & Markt's Gareth Moore observes: "Everyone discuss the sports betting gambling market now.
"Not only is it a substantial market in world service, it is one that is now on the front pages of papers."
Four Pakistan cricketers have actually been questioned by authorities over spot-fixing claims connecting to a test versus England at Lord's last month.
Three of these gamers have actually stated 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 allegations, however was banned recently for six months for failing to report the prohibited technique to him to throw frames.
There are also two other continuing investigations - unrelated to Mr Higgins - into snooker.
'Honest'
David O'Reilly is legal counsel for Betfair, among the UK's greatest online sporting exchanges.
"If the sport is perceived as truthful, straight and reasonable that is good for wagering companies because individuals will spend money wagering with self-confidence," he says.
"If you take the Pakistan allegations, although unrelated to the UK controlled wagering industry ... it is not truly a favorable story for wagering in the UK.
"That is due to the fact that the understanding is that 'cricket is now something we might have to take care about'."
'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 explains: "The only people 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 not adequate to merely have deterrents, sanctions and disciplinary treatments, but that the method to deal with potential concerns around players is also through education.
Mr Taylor states guidelines need to be explained clearly to players with clear examples, and by individuals they appreciate.
"Through educating players about sports betting wagering you enhance integrity which is in everyone's interest," he adds.
"If gamers are more difficult to corrupt then sport will be more difficult to corrupt."
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'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 informing players 'you are going to be captured'."
"It is imperative that sport is directly, and is seen to be directly," he includes.
"If it loses that then individuals don't wish to wager, that is not in gambling firms' interests, and it is not in our interests."
He said that when a great credibility was lost, the damage to a sport was "enormous".
FA rules imply gamers are not allowed to bank on a competition in which they are included.
Mr Johnson states gamers need to be seen not to be cashing in on any inside understanding, which he states could trigger "brand name damage" to football and its competitors.
So, even a 2nd Division player knocked out of the FA Cup in the autumn can not bank on a Manchester United v Chelsea cup final the following spring.
"We have to get over to gamers the reputational danger to the game," he states. "Once confidence has actually been damaged it is tough to get it back - mud sticks."
'Overwhelmingly legal'
If this the "carrot" approach, then perhaps Nick Tofiluk, director of policy at the Gambling Commission, represents the "stick".
The Gambling Commission was set up under the Gambling Act 2005 to regulate commercial gaming in Great Britain.
An ex-chief constable of West Midlands police, Mr Tofiluk has responsibility for policing all sports betting in the UK apart from spread wagering, which is the remit of the FSA.
"The overwhelming majority of sports betting happening 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 event.
"Such cheating has the potential to weaken the integrity of a sport, and it likewise hurts the industrial interests of sports betting bodies and sports betting."
The commission has actually developed an in-house Sports Betting Intelligence Unit to receive and distribute details to sporting authorities, sports betting firms and policing authorities.
"Since 2007 we have experienced a considerable insight into world of corrupt sports betting," he states.
"We will alert sports betting of our concerns, to help avoid or curtail [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 period there has been simply one criminal prosecution, a 24-year-old male who was warned for cheating in relation to greyhound racing.
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However, Mr Tofiluk says there are still 8 continuous investigations, which much beneficial details has actually also been passed to sports betting authorities.
He stated that where an examination by a sport governing body was quicker, and more cost effective, then the commission would consider discontinuing a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he says a lot of those aiming to cheat the sports betting wagering market were experienced about sports betting and sporting individuals, and about wagering operations and the movement of cash.
"They seek out the vulnerabilities of these to help in their business."
Related internet 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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Sport Betting Industry Aims To Protect Itself
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