Online betting operators that serve UK players gained an additional month to decide whether they will apply for a UK gambling license or exit the market. The reason for this is the announcement that the UK Gambling Act 2014 will take effect on November 1, one month after it was initially planned.
This unexpected delay is because of the High Court challenge that was filed by the Gibraltar Betting and Gaming Association; Gibraltar hopes that the law will be overturned and the country will not lose any online casinos that are licences on its territory. According to the GBGA, this Gaming Act is “irrational” and “unlawful” because it interferes with the free movement of services.
However, the ones who are facing a real challenge are online casinos that have a huge number of regular UK customers. Online casinos have two possible choices and neither of them is the perfect option. If they decide to keep serving UK customers, online casinos will have to hold a UK issued gambling license. Alongside the license will come the new 15% tax on gaming duty for all bets placed by UK customers. This new tax regulation will take effect on December 1. The second option online casinos have is to lose all of their UK players. Without UK license it will not be legal for online casinos to offer gambling services to UK citizens, who form one of the biggest gambling communities in the world.
Some online casinos and poker sites have already made their decisions; more than 150 companies did not want to lose the UK market and applied for UK licenses. On certain sites customers can find announcements about the changes and see special offers for UK players. On the other hand, there are also operators which announced that they will exit the UK market and will not be serving UK customers anymore.