Sport sports betting market wants to protect itself
16 September 2010
By Bill Wilson
Business reporter, BBC News
sports betting on sport is substantial service.
Sport England estimates the worth of spending on sport-related sports betting in England grew from ₤ 1.7 bn in 1985 to ₤ 2.8 bn in 2008.
And that figure is likely to have actually grown even more, with an estimated ₤ 1bn bet on the World Cup alone in the UK this summer.
Meanwhile, German research company Sport & Markt approximates the overall international 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 stability of events are hit the gambling market suffers, and incomes are put under risk if clients can not bet with confidence.
And there can have been few higher-profile sport sports betting stories than those affecting cricket and snooker this year.
High-profile
As Sport & Markt's Gareth Moore observes: "Everyone talks about the sports betting 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 been questioned by cops over spot-fixing allegations connecting to a test versus England at Lord's last month.
Three of these players have actually stated they will likewise challenge the corruption charges mounted 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 claims, but was banned recently for 6 months for stopping working to report the prohibited approach 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, one of the UK's greatest online sporting exchanges.
"If the sport is perceived as honest, straight and reasonable that benefits wagering firms since individuals will invest cash wagering with self-confidence," he states.
"If you take the Pakistan claims, although unrelated to the UK controlled betting industry ... it is not really a positive story for wagering in the UK.
"That is because the perception is that 'cricket is now something we may have to beware 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 gambling, the focus has to be on sportspersons and sportswomen.
As Simon Taylor of the Professional Players' Federation mentions: "The only individuals 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 player organisations, such as the Professional Footballers' Association.
He thinks that it is insufficient to simply have deterrents, sanctions and disciplinary treatments, but that the way to tackle possible issues around gamers is also through education.
Mr Taylor states guidelines need to be described clearly to gamers with clear examples, and by people they respect.
"Through educating gamers about sports betting wagering you enhance integrity which remains in everyone's interest," he includes.
"If players are harder to corrupt then sport will be more difficult to corrupt."
'Brand damage'
Matt Johnson, head of regulatory legal guidance at the Football Association, concurs.
"Prevention is much better than remedy, and we also make a point of informing gamers 'you are going to be caught'."
"It is imperative that sport is straight, and is seen to be directly," he adds.
"If it loses that then individuals don't desire to bet, that is not in gaming companies' interests, and it is not in our interests."
He stated that when an excellent reputation was lost, the damage to a sport was "incalculable".
FA guidelines indicate gamers are not allowed to bank on a competitors in which they are involved.
Mr Johnson says gamers need to be seen not to be capitalizing any inside knowledge, which he says could cause "brand damage" to football and its competitions.
So, even a 2nd Division gamer knocked out of the FA Cup in the autumn can not bet on a Manchester United v Chelsea cup last the following spring.
"We have to overcome to players the reputational threat to the video game," he states. "Once confidence has been harmed it is difficult 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 regulate commercial sports betting in Great Britain.
An ex-chief constable of West Midlands police, Mr Tofiluk has duty for policing all sports betting in the UK apart from spread sports betting, which is the remit of the FSA.
"The frustrating bulk of sports betting happening through UK operators is legal and reasonable," he states.
"But for some there is the temptation to ... corruptly disrupt the result of a sporting occasion.
"Such unfaithful has the possible to weaken the integrity of a sport, and it likewise damages the business interests of sports betting bodies and sports betting."
The commission has developed an in-house Sports Betting Intelligence Unit to receive and disseminate information to sporting authorities, wagering companies and policing authorities.
"Since 2007 we have experienced a considerable insight into world of corrupt sports betting wagering," he says.
"We will alert sports of our concerns, to help prevent or reduce [unlawful] activity"
In May 2010, the commission likewise 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 prosecution, a 24-year-old male who was cautioned for cheating in relation to greyhound racing.
However, Mr Tofiluk says there are still eight continuous examinations, and that much beneficial info has also been passed to sports betting authorities.
He said that where an examination by a sport governing body was quicker, and more expense effective, then the commission would consider stopping a criminal investigation "in favour of letting sports betting governing bodies take the lead".
Meanwhile, he states a lot of those looking to cheat the sports betting industry were educated about sports betting and sporting people, and about wagering operations and the movement of money.
"They look for the vulnerabilities of these to assist in their enterprises."
Related internet links
World sports betting Law Report
ICC
Professional Players Federation
Professional Footballers' Association
The FA
Betfair
Sport & Markt
BLP
Gambling Commission