GBGA To Contest New UK Gambling Laws In Court

New gambling laws set to be introduced by the UK government are being challenged by the Gibraltar Betting and Gaming Association (GBGA), a group which represents a number of UK operators based in Gibraltar.

The GBGA wrote this week to the Secretary of State for Culture, Sajid Javid and said that the group would be challenging the decision to introduce new licensing and tax rules in a court of law.

The GBGA, which represents companies such as Victor Chandler and 32Red, called Britain's pending gambling laws "unlawful".

UK Breaches European Laws

The GBGA continues to insist that introducing laws that require all operators to apply for a license from the UK Gambling Commission is in fact a breach of European law.

Moreover, it claims, they could even expose punters to what it terms "unscrupulous operators".

"The likely impact of this legislation will be to drive UK consumers towards unregulated or poorly regulated operators, leaving them exposed to unnecessary risks," said Peter Howitt, the chief executive of GBGA.

Gibraltar's government is encouraging the challenge, fearful that the 15% tax and new rules could encourage UK bookies to relocate back to Britain.

William Hill Not Backing Challenge

Although a member of the Gibraltar Betting and Gaming Association, William Hill bookmaker has decided not back the challenge, joining Ladbrokes in a similar decision.

"As the UK's leading operator, William Hill has chosen not to challenge the Government's decision to impose dual regulation on the online gambling industry," said William Hill in a statement.

"However, our original concerns regarding the distortive effects on the market and the inadequacy of enforcement mechanisms, remain. Our message to Government would be to strike the correct balance between overlapping regulation and enforcement by setting an appropriate tax rate which encourages full compliance without damaging businesses."