The Daily Telegraph

Gambling site fined over failings had top safety rating

- By Daniel Woolfson

A LEADING online gambling operator fined £6m for welfare failings was given the highest possible safety rating by an industry-funded charity.

Gamesys, which runs a string of online brands such as Jackpotjoy and Virgin Games, was punished by the Gambling Commission last month for breaches that took place between November 2021 and July 2022.

During that period, Gamesys was given an advanced level 3 safety certificat­e by the charity Gamcare, which runs the National Gambling Helpline.

This is the highest possible safety rating and covers a two-year period to February 2024. To be awarded this, Gamcare says a company must have “no significan­t weaknesses” relating to customer risk, while also showing a “wide range of safer gambling measures that go beyond the social responsibi­lity provisions of their gambling licence”.

Gamesys’ breaches included failing to interact comprehens­ively with customers who had lost tens of thousands of pounds. Findings also revealed customers had been able to evade Gamesys’ anti-money laundering thresholds and spend “significan­t” sums without checks, including one who deposited £18,884 in just over six months. A spokesman for Gamcare said the charity was investigat­ing. They said: “During the period we were assessing Gamesys, it was not disclosed they were under investigat­ion.

“Our contractua­l arrangemen­t with gambling operators requires that they inform us of any investigat­ions by the regulator, which Gamesys failed to do on this occasion. We take these matters very seriously.”

Gamcare offers support to people struggling with gambling addiction, running the National Gambling Helpline. It is largely funded by Gambleawar­e, which receives donations from the gambling industry.

Under an agreement with ministers, gambling companies have to donate a portion of their revenue to bodies that reduce gambling-associated harms. Gambling industry consultant­s at Gamblingiq said in a report that awarding Gamesys the safety certificat­ion raised “serious questions about oversight and accountabi­lity in the industry”.

Nick Harvey, head of external affairs at the charity Gambling with Lives, said: “It’s wrong that charities funded by the gambling industry are handing out awards to gambling companies.”

Gamesys was founded in 2001 by Noel Hayden, a web developer. The company was bought by US online gaming giant Bally’s in a £2bn deal in 2021.

Gamesys declined to comment.

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