Sport sports betting market seeks to secure itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is substantial service.
Sport England approximates 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 grown even more, with an approximated ₤ 1bn bet on the World Cup alone in the UK this summertime.
Meanwhile, German research study firm Sport & Markt approximates the total worldwide sports betting market will be worth 263bn euros (₤ 220bn) by 2012, with much of that driven by internet and sports betting gambling.
But when the integrity of occasions are hit the gaming market suffers, and revenues are put under hazard if consumers can not bet with confidence.
And there can have been few higher-profile sport wagering 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 only is it a substantial market in world business, it is one that is now on the front pages of newspapers."
Four Pakistan cricketers have been questioned by cops over spot-fixing accusations connecting to a test versus England at Lord's last month.
Three of these players have said they will likewise challenge the corruption charges installed 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 claims, however was banned last week for six months for failing to report the illegal technique to him to throw frames.
There are also two other continuing examinations - not associated 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 benefits wagering companies because individuals will invest cash wagering with self-confidence," he says.
"If you take the Pakistan allegations, although unassociated to the UK controlled sports betting industry ... it is not actually a favorable 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 mindful about'."
'Education'
So what can be done to prevent future scandals?
According to specialists at a World sports betting Law Report conference into sports betting, the focus has to be on sportspersons and sportswomen.
As Simon Taylor of the Professional Players' Federation mentions: "The only individuals who can fix a match are the rivals or the referee."
His organisation represents males and females in 15 sports betting in the UK, being an umbrella organisation for all player organisations, such as the Professional Footballers' Association.
He thinks that it is inadequate to merely have deterrents, sanctions and disciplinary procedures, but that the way to deal with possible concerns around gamers is also through education.
Mr Taylor says guidelines need to be explained plainly to gamers with clear examples, and by people they respect.
"Through informing gamers about sports betting you enhance integrity and that is in everybody's interest," he adds.
"If gamers are more difficult to corrupt then sport will be harder to corrupt."
'Brand damage'
Matt Johnson, head of regulatory legal guidance at the Football Association, agrees.
"Prevention is much better than cure, and we also make a point of informing gamers 'you are going to be captured'."
"It is imperative that sport is straight, and is seen to be straight," he includes.
"If it loses that then individuals do not wish to bet, that is not in gaming firms' interests, and it is not in our interests."
He said that once an excellent reputation was lost, the damage to a sport was "enormous".
FA rules suggest gamers are not allowed to bet on a competition in which they are involved.
Mr Johnson states players need to be seen not to be capitalizing any inside understanding, which he says might cause "brand damage" to football and its competitors.
So, even a 2nd Division player knocked out of the FA Cup in the autumn can not bet on a Manchester United v Chelsea cup last the following spring.
"We need to get over to gamers the reputational danger to the video game," he says. "Once confidence has been damaged it is hard to get it back - mud sticks."
'Overwhelmingly legal'
If this represents the "carrot" method, then maybe 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 industrial sports betting 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 wagering, which is the remit of the FSA.
"The frustrating bulk of sports betting happening through UK operators is legal and fair," he states.
"But for some there is the temptation to ... corruptly hinder the result of a sporting occasion.
"Such cheating has the potential to weaken the integrity of a sport, and it also harms the business interests of sports betting bodies and sports betting wagering."
The commission has developed an internal Sports Betting Intelligence Unit to receive and disseminate information to sporting authorities, sports betting firms and policing authorities.
"Since 2007 we have actually experienced a substantial insight into world of corrupt sports betting," he states.
"We will inform sports betting of our concerns, to help avoid or cut [prohibited] activity"
In May 2010, the commission also presented a private 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.
However, Mr Tofiluk says there are still eight ongoing examinations, and that much beneficial details has also been passed to sports betting authorities.
He stated that where an investigation by a sport governing body was quicker, and more expense effective, then the commission would think about terminating a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states many of those seeking to cheat the sports betting wagering market were knowledgeable about sports betting and sporting people, and about wagering operations and the motion of cash.
"They look for the vulnerabilities of these to help in their enterprises."
Related web links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission