UKGC Attempts To Streamline Promotional Rules Ahead Of January Rollout

The United Kingdom Gambling Commission (UKGC) has published fresh guidance on a new policy that will prohibit cross-selling betting promotions across several verticals. Essentially, operators can’t mix two types of gambling within the same offer, and the rules have been streamlined.

Originally, it was anticipated that the policy would come into effect this month. However, the new guidelines will be rolled out instead in the New Year, and will be implemented on January 19.

What’s been the hold-up?

The prohibition of multi-product promotions was initially banned by the Gambling Commission in March this year when the gambling white paper was updated. At the time, the Commission deemed mixed bonuses as ‘potentially harmful’.

Several consultations have taken place over the past year or so, and concerns were raised by respondents, further delaying things. Among the reservations expressed were comments that the research didn’t ‘substantiate claims’ that the mixing of products would affect a customer’s understanding of an offer.

Clearing up confusion

To clear up any confusion, the Commission has confirmed that the initial customer activity and reward or prize in the promotion must refer to the same type of gambling. This is unless the offer is unrestricted. In essence, there should be no crossover between products or verticals.

A short statement by the Commission referring to the promotional policy read:

“The important point to note is that the customer must have full freedom of choice in which product category (betting, bingo, casino, lottery) to use their credits or bonus money - it must not be restricted in any way by the operator.”

What offers are acceptable?

The Commission was keen to stress that promotions must be specific to one vertical. In no circumstances, therefore, would it be acceptable to crossover promotions between varying products.

To make things simple for players to understand, the Commission provided examples of compliant and non-compliant offers, offering a quick explanation of the rationale behind them. The warning also applies to free-to-play games within operator apps, as bonuses need to be restricted to one product.

• Bet £5 and get £10 free bet - This offer is compliant as it doesn’t mix product types between the initial customer activity and the prize.
• Spend £5 on casino products and get 20 free spins - This offer is solely focused on casino, and it is accepted, as it doesn’t mix product types between the initial customer activity and the prize.
• Bet £5 and get a £5 free bet and 20 casino spins - This offer isn’t compliant as it provides a mix of product types. The prize advertised consists of free bets and free spins.
• Log onto the app, play the daily reward game, which gives the opportunity to win a £1 free bet, 5 free spins, or £10 cash - With the new provision, this offer would be non-compliant as customers have a chance to win prizes across mixed products.

Increased financial pressure on operators

The introduction of the new policy comes at a time when established UK betting sites are facing increased financial pressures. With Remote Gambling Duty (RGD) set to increase from 21% to 40%, and general duty on online sports betting set to be bumped up from 15% to 27% in April 2027, operators have little leeway.

The Betting and Gaming Council (BGC), in particular, have expressed their disapproval over the contents of the budget announced last month, describing it as a ‘massive win’ for the black market. Perhaps the new ruling on promotional offers could further motivate disgruntled customers to side more with unlicensed offshore sites.