Gambling news: advertising "white list" announced

16/08/2007

Regulations recently laid before Parliament under the Gambling Act 2005 (the "Act") ban gambling companies operating outside the European Economic Area (the "EEA") from advertising in the UK. Under the Act, which is due to come into force on 1 September 2007, operators licensed in foreign countries are not allowed to advertise gambling in the UK unless they are in the EEA, Gibraltar or are licensed in one of the "white-listed" jurisdictions.

Jurisdictions wanting to be included on the government's "white list" (and thus be exempt from the ban) have had to demonstrate that their regulatory standards are sufficiently rigorous and meet certain criteria.

On 9 August, the Secretary of State for Culture, Media and Sport, James Purnell, announced that he has rejected applications to join the exempted "white list" from Alexander (Canadian Reservation), Netherlands Antilles and Tasmania. Applications from Kahnawake and Antigua are still being considered. Only applications from Alderney and the Isle of Man have been accepted. Their regulatory regimes will be kept under review to ensure they continue to meet the "white list" criteria.

It is envisaged that approximately 1,000 gambling websites based overseas will be banned from advertising in the UK as a result of the new rules. Critics point out that the move will allow gambling operators unlicensed in the UK the freedom to advertise here without the need for British regulation or taxation. However, James Purnell defended the ban: "I make no apology for banning adverts for websites operating from places that don't meet our strict standards. Protection is my number one priority". The Department for Culture, Media and Sport argues that the aim of the new rules is to stop unregulated gambling sites trying to attract UK players.

Contact: maustin@city-law.net

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