The UK Gambling Commission has announced a 12-week consultation regarding the use of credit cards for online gambling.
The gambling regulator announced this week that it will be holding a 12-week consultation from mid-August and will potentially look into banning the use of credit cards with online gambling.
According to reports, the consultation will investigate the effects of restricting the use of credit cards following a recent call for evidence.
As part of the investigation, the Commission will look into the use of e-Wallets which currently have no way of knowing which method the payment originated from. Future proposals could require e-Wallet providers to support regulation and work with casino operators to ensure that transactions can be traced to a person and payment method.
The Commission will also look at alternate forms of borrowing customers may turn to such as overdrafts and loans. The organisation will work to find the best way to protect customers from harm when gambling with borrowed money.
Currently, the Commission requires more information on a player’s decision to gamble with credit cards before it can make any decision. Then, when making its decision, the Commission must consider the effect a ban on credit cards would have on players and operators.
Paul Hope, the Commission’s Executive Director, said in a statement: “Gambling with borrowed money is known to be a risk factor for consumers, so we think there is a need for action. This consultation will help us decide what that action should be.”
The news comes just days after the UK Gambling Commission reiterated its commitment to reducing gambling harm. The regulatory body released a statement earlier this week after a study discovered that problem gamblers are more likely to commit suicide.
Meanwhile, the UK Gambling Commission continues its crackdown against online gambling. Back in May, the Commission launched new rules regarding identity and age verification, requiring all new users to immediately verify their account once registered.
The UK Government recently imposed a max betting limit on fixed-odds betting terminals (FOBTs), reducing the maximum stake from £100 to £2. This has led several UK leading betting shops to announce a drop in shop sales and job closures affecting up to 12,500 employees within the gambling industry.
Around the same time, the NHS announced it was launching the first-ever gambling clinic for children and young people between the ages of 13 and 25. The decision was made after the UK Gambling Commission found that around 50,000 children in the United Kingdom are experiencing a gambling problem.