Olswang defends client briefing after Gambling Commission criticism
Olswang has defended a recent client briefing note on changes to gambling regulations that the UK Gambling Commission has dismissed as a "manufactured storm in a teacup". The UK top 40 firm said it was disappointed with the Commission's reaction to the briefing it sent out last week, which states that exchange users - effectively professional gamblers - will now require a general betting operating licence.
April 16, 2012 at 08:36 AM
3 minute read
Olswang has defended a recent client briefing note on changes to gambling regulations that the UK Gambling Commission has dismissed as a "manufactured storm in a teacup".
The UK top 40 firm said it was disappointed with the Commission's reaction to the briefing it sent out last week, which states that exchange users – effectively professional gamblers – will now require a general betting operating licence.
The briefing, by media partner David Zeffman, is titled Exchange Users to require a Gambling Commission licence after all, and follows a consultation by the Gambling Commission and the Department for Culture Media & Sport (DCMS) which Olswang said meant the fees would be charged by the Gambling Commission from 6 April.
The Commission though denied that there has been any change in policy to its licences, dismissing the operating licence as a new fee sub-category and "technical amendment".
In a statement, the Commission said: "There is no change in policy as we and the DCMS for have made clear – this is a manufactured storm in a teacup. The new fee sub-category is simply a technical amendment to avoid having to charge bookmakers the remote licence fee which starts at £13,529.
"While, for completeness, a minimal fee is specified for those without existing non-remote licences no income is forecast from this fee sub-category.
"Finally, the implication in the Olswang commentary that the Commission might feel compelled to act if, as a result of the current judicial review proceedings, exchange users were to become liable to pay the levy is wrong."
Online gambling company Betfair also criticised the firm's briefing, stating that Olswang is "mistaken" in its opinion.
However, in a response issued on Friday (13 April), Olswang said: "On the basis of the consultation document and the regulations issued by the Commission, it is plain that the Commission considered that: 1) operators using remote platforms (including betting exchanges) acting in the course of business are required to hold a remote gambling licence; and 2) provision should be made for there being such operators who do not currently hold any other form of gambling licence, since a different fee was in place for operators who held another form of gambling licence and those who did not."
"Both of these positions are new and worthy of comment. We do not understand why the Commission considers our update note which accurately set these matters out to be in any way 'manufactured'."
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