Europe

The UK Government has intervened in the surge of engagement within prize draws and published a voluntary code for the sector.

Those in the UK will be increasingly familiar with the increasing number of advertisements across television and social media offering the chance to enter draws to win prizes such as houses, cars, and other luxury items for as little as a few pence.

However, due to offering a free entry route, prize draw operators are not required to apply for a gambling licence.

In response to the growing popularity – 7.4 million adults take part in prize draws annually in the UK – the Department for Culture, Media and Sport (DCMS) has published a new voluntary code of conduct for the sector. The government is making significant efforts to strengthen player protections and increase transparency and accountability around the vertical.

Gambling adjacent

Although not licensed by the UK Gambling Commission, DCMS points to the significant similarities between the two sectors, noting that 88% of prize draw participants also participate in gambling or lottery activities.

For comparison, this figure is just 60% for the wider population.

Given the similarities, many of the proposed measures are akin to those found within the gambling industry.

The voluntary guidelines require operators to implement robust age verification checks, introduce spending limits and suspensions for players to reduce gambling risks and adhere to a £250 per month cap on credit card transactions.

There must also be greater transparency around the rules for entering and how prizes are won, as well as clear guidelines on how charity-supporting draws support their causes in line with fundraising regulations.

Pivotal moment

The new rules, due to come into effect from May 2026, represent a “pivotal moment” for the industry, according to Pinsent Masons’ prize competition expert, Scott Oxley.

“While not legally binding, it sets a clear benchmark for transparency, consumer protection, and accountability,” he said. “Operators who ignore it risk reputational harm and may accelerate the move towards statutory regulation.”

So far, the code has 46 signatories from operators, including the industry leader Omaze, as well as 11 from other relevant parties, such as web developers.

Although voluntary, it’s clear that the flourishing nature of prize draws means that the sector will continue to garner greater attention and scrutiny from lawmakers.

As a result, Oxley added, early adoption of the rules will gain a competitive advantage as standards such as clear disclosure of routes and responsible play messaging become the norm.

“Those who lead on these standards will build consumer trust and reduce regulatory risk,” he explained.

“The code is voluntary today, but its principles will shape tomorrow’s regulatory landscape. Proactive engagement positions operators ahead of the curve and demonstrates a commitment to integrity in a fast-growing market. Those who do not adopt it are likely to face greater scrutiny from the regulators.”

The British Columbia Lottery Corporation (BCLC) has partnered with Canadian registered charity GenWell to launch its Human Connection Project.

BCLC’s Human Connection Project aims to foster stronger and healthier communities in the province through on-the-ground projects, community impact initiatives and partnerships.

GenWell provides education programming across Canada, and BCLC will work with the non-profit to amplify opportunities for human connection across its organization, including in its community initiatives and its employee programs. GenWell will provide resources including research gathering, resource development and project planning and activation.

“At BCLC, giving back to community has always been part of our DNA,” said BCLC President and CEO Pat Davis. “Since 1985, our net profits – more than $30 billion – have supported communities, provincial programs and services, local employment, charities and major events that have helped shape B.C.

“This year, we decided to use our presence in communities across B.C. to focus our social purpose, which is to generate win-wins for the greater good. We’re excited to work with GenWell to help BCLC and communities raise awareness of the importance of human connection and how we can embed it in the work we do.”

“Human connection isn’t just a ‘nice-to-have’,” added GenWell Founder Pete Bombaci. “We know that meaningful social interactions can improve mental and physical health, strengthen communities and even boost resilience. That’s why we’re proud to work with BCLC, to help promote the importance of human connection across our communities and throughout day-to-day life.”

Partners to work on community projects and events
Together, BCLC and GenWell will co-create local projects and work to improve gathering spaces in communities in B.C., working colaboratively with the communities themselves.

Initiatives will include creating new games and experiences, building new partnerships, launching community events or shared spaces for great social outings.

While the project’s work will span the entire province, BCLC will celebrate the Human Connection Project’s launch in Kamloops, which has been the home of the lottery’s headquarters for 40 years.

BCLC is the presenting sponsor of Kamloops’ inaugural Christmas Market, which runs until Nov. 30. It has set up a Connection Corner for community interaction (pictured above), featuring some of its community partners including United Way, the Kamloops Symphony Orchestra and Western Canada Theatre.

The lottery is also running a Scratch & Win ticket promotion that gives players the chance to win a top prize of $10,000 for themselves and $10,000 for a registered B.C. charity of their choice. Earlier in 2025, BCLC collaborated with Vancouver Canucks owners Canucks Sports & Entertainment to host Nourish the Neighbourhood to provide meals for residents of Vancouver’s Downtown Eastside.

The Gibraltar Gambling Commissioner has issued a formal caution to Unibet in response to a £10m fine issued by the UK Gambling Commission (UKGC) for anti-money laundering and social responsibility failings.

Platinum Gaming Limited, which holds a dual licence for the UK and Gibraltar, received the original penalty from the UKGC in October, as well as a warning and it will be subject to a third-party audit to ensure that AML and safer gambling policies, procedures and controls are being implemented effectively.

Gibraltar’s regulator is issuing a formal caution to Unibet as the case highlights “fitness and propriety” concerns for the operator, in addition to impacting the “reputation of Gibraltar”.

However, the Gibraltar Gambling Commissioner will not be imposing a financial penalty on the operator for the following reasons:

Historical nature of the failings in 2023 – case completed by UKGC in October 2025, after 21 months from the date of the relevant site visit.

A significant financial penalty has already been imposed.

Systems and controls related to the Gibraltar regulatory regime have been improved and are now considered satisfactory, pending a third-party review.

The regulator said: “Licence holders which are dual licensed are reminded that they are expected to comply with the AML/CFT/CFP regime not only in Gibraltar but also in other relevant jurisdictions in which they operate.

“Any Gibraltar licence holder which is subject to a regulatory sanction in another jurisdiction for AML/CFT/CPF breaches can expect the circumstances of that case to be reviewed by the Gibraltar Gambling Commissioner and the possibility of a public statement being made as to findings.

“Further enforcement action on the part of the Gambling Commissioner cannot be ruled out where it is justified by the circumstances. The fact that a formal caution has been issued will be taken into consideration if other matters come to light in the future.”

iGaming Expert has reached out to FDJ United for comment on the formal caution issued to Unibet by the Gibraltar Gambling Commissioner.

UKGC penalty

In its report, the UKGC illustrated major faults in Unibet’s customer interaction systems, including failing to spot and act on clear harm markers.

Customers lost thousands of pounds in a few hours or days of registration, players breached loss limits repeatedly and consumers showed binge gambling patterns without appropriate intervention.

One customer exceeded their loss limit of £2,500 within 16 minutes of registering and another lost £5,000 within 24 hours.

AML failures were also highlighted, including gaps in risk assessment, which resulted in customers who previously had their accounts closed by the licensee before 2023 being able to open new accounts and gamble.

It was also deemed that there was a lack of clarity in the company’s AML policy around due diligence thresholds and customer reviews failing to include potential high-risk factors.

This is the second time Platinum Gaming has been subject to a fine by the UKGC for AML and social responsibility failures, as the operator received a £2.9m penalty by the commission in 2023.

AML and safer gambling ‘a top priority’

In response to the UKGC penalty, an FDJ United spokesperson told iGaming Expert last month that AML and safer gambling are “a top priority” to its senior leadership and that the independent review will show that necessary steps are being taken.

“Platinum Gaming Ltd, the operator of Unibet in the UK and an entity of FDJ UNITED (at the time under the management of Kindred Group), acknowledges the UKGC’s finding that legacy monitoring technology was not sufficiently effective at the time of the review (i.e. from January 2023 to May 2024),” said the spokesperson.

“As a result of the findings by the UKGC, Platinum Gaming has implemented new software solutions and risk management frameworks across anti-money laundering and safer gambling, providing a detailed knowledge of customer risk, allowing for near real-time automated alerts and customer interventions.”

The spokesperson added: “FDJ UNITED remains committed to the highest compliance standards and player protection policies. As part of this, the Group will continue to evaluate the effectiveness of and improve its processes and tools to meet these standards.

“Senior leadership have safer gambling and anti-money laundering as a top priority in operational discussions, as well as a priority in the Group’s strategic agenda. FDJ UNITED will continue to work closely with the UKGC on this matter and remain confident that the external review will show necessary steps have been taken.”

Online slots limits implemented in the UK iGaming market earlier this year are having minimal impact on underlying financial figures and engagement for the vertical.

Data released by the UK Gambling Commission (UKGC) has shown online slots gross gambling yield for the market’s second quarter of 2025 (July to September) to be £746.5m, up 9% year-over-year (Q2 2024: £686.1m).

The number of spins also rose by 4% YoY to 24.4 billion (Q2 2024: 23.5 billion), while the average monthly active accounts fell by 0.4% to 4.4 million per month (Q2 2024: 4.4 million).

Despite it being the second quarter in which the maximum stake limit for online slots had been implemented – £5 limit for adults from 9 April, £2 limit for 18 to 24 year olds from 21 May – GGY and the number of spins figures continued on an upward trajectory, recording new highs.

The number of spins per session has fallen to 130 (Q2 2024: 141), while GGY per session has declined to £3.96 (Q2 2024: £4.11), but the total number of sessions has increased by 13% to 188 million (166 million).

Online slots sessions lasting over an hour have dropped by 15% YoY as well to 8.6 million (Q2 2024: 10.1 million), with the average session lasting 16 minutes (Q2 2024: 17 minutes) and approximately 5% of all sessions exceeding one hour (Q2 2024: 6%).

Overall, this data could be interpreted to say that online slots limits have little to no impact on GGY and the number of spins for operators as more people are playing, but ultimately, players are spending less time and money playing online slots.

However, the UKGC did note that several operators “refined their session length methodology during the previous year, which will impact year-on-year comparisons on the number of sessions, sessions over one hour and average session length metrics”.

Across other verticals in Q2, the commission stated that:

Online total GGY was £1.42bn, up 8% YoY. The overall number of total bets and spins increased 3% YoY, to 26.1 billion. The average monthly active accounts decreased 7% to 12 million.

Real event betting GGY increased by 12% YoY to £508m. The number of bets decreased 3%. The average monthly active accounts decreased by 14%.

Betting premises GGY decreased by 5% to £508m. The number of total bets and spins decreased by 2% to 3.1 billion.

The government’s newly published “Men’s Health Strategy” calls for a deeper focus on how problem gambling impacts the male population of the UK, with an ongoing understanding towards policy treating gambling harms and consequences as a public health issue.

Announced by the Department of Health and Social Care (DHSC), led by Secretary Wes Streeting, the strategy recognises that gambling-related harms are ‘disproportionately experienced by men’ and that young men in particular are more likely to gamble online, particularly with casinos.

Its publication comes seven months after the Select Committee on Health and Social Care, tasked with scrutinising departmental policy in this area, called for an urgent review of the 2005 Gambling Act to ensure that public health is factored into legislation.

National approach to gambling harm
Though the government has heeded the Select Committee’s calls to some extent – there is no commitment to yet another review of the Gambling Act, as White Paper recommendations were published in April 2023, and are yet to be fully implemented.

Responding to the strategy, Greg Fell, President of the Association of Directors of Public Health, said: “We are pleased to see this new strategy emphasises preventing the many avoidable illnesses and diseases – including a number of cancers and respiratory and mental health conditions – that are driven by smoking, drinking and gambling.”

A key pledge is the development of a ‘coordinated approach’ on gambling harm prevention, set at the national, regional and local level. Campaign groups and gambling treatment organisations, like GambleAware, had previously highlighted the need to gambling treatment policy to be tailored for different local considerations.

The government envisions a national-regional strategy including support for local authorities and the voluntary sector, development of digital tools, and building of evidence of best policy and practice.

The voluntary sector can expect to receive a grant from April 2026 to fund prevention programmes with a focus on young men aged 25 to 34, and both white British men and those from ethnic minority backgrounds.

This grant is going to be separate to the statutory levy on research, education and treatment – the RET levy – which came into effect in April this year as a key recommendation of the 2020-2023 review of the 2005 Gambling Act. Levy payment collections began on 1 September, at a rate of 0.1% and 1% depending on gambling activity type.

The strategy has praised the levy as being independent from the sector, a reference to the often repeated criticisms of GambleAware, the chief commissioning body for gambling harm prevention and treatment programmes, that the organisation was too dependent on industry funds.

Other pledges include greater data collection and evaluation, and delivering the UK Research and Innovation (UKRI) research programme to address gaps in evidence and research into gambling harm.

James Grimes, Director of Chapter One, a prevention programme run by the gambling reform advocacy group Gambling with Lives, said: “The release of this strategy is very welcome, especially in its recognition of the health harms caused by gambling – harms felt by countless men across the country.”

Another score for gambling law reform
The government’s new strategy has seen gambling written into the NHS’ 10 Year Health Plan, alongside alcohol, drugs, tobacco and vaping – a clear endorsement that the government is increasingly viewing gambling as a public health issue as possible.

Outcomes will be indicative of the NHS taking a prominent role in gambling harm prevention and treatment, previously dominated by the charity sector. The NHS’ role had already been considerably expanded when NHS England was given the job of commissioning projects via RET levy funds.

The health body takes over this task from GambleAware, which is subsequently going to shut down in March – although the government is also in the process of scrapping NHS England itself as a part of a wider cost cutting and efficiency push.

As mentioned above, various stakeholders have been calling for such an approach over the past few years, including GambleAware, the Social Market Foundation (SMF), NHS professionals and other treatment specialists, and politicians.

Throughout 2025, various politicians have been calling for the government to take another look at gambling regulation. Layla Moran, Chair of the aforementioned health and social care Select Committee, is one such voice.

“The Men’s Health Strategy should be a golden opportunity for the government to get serious about reducing harms caused by gambling addiction,” Moran told PoliticsHome yesterday.

“The committee has already called on ministers to consider regulations on gambling ads, particularly to limit the frequency and kinds of promotions and incentives that can be sent to encourage individuals to gamble.

“And as many local authorities often struggle to prevent gambling venues from clustering on high streets in deprived areas, due to a lack of resources in the face of legal challenges, we say that public health officials should be given a greater say in the planning system.”

The strategy suggests that Moran and others have achieved at least some of their goals. In its assessment of local approaches to preventing gambling harm, the strategy notes that ‘several local authorities are introducing advertising and sponsorship policies that restrict exposure to gambling marketing’.

Today’s Men’s Health Strategy, coupled with the debate around taxation which has seen over 100 Labour MPs voice support for higher gambling tax rates, all seems to indicate a government policy in favour of tighter regulation and monitoring of this industry. This could perhaps see a two pronged political approach to gambling, treating it as both a business issue and a health issue, depending on the topic.

“The first ever Men’s Health strategy is an important milestone, and the fact that it correctly identifies gambling as a significant risk is particularly welcome,” said Lord Foster of Bath, Chair of Action on Gambling, summarising an opinion likely held by many other British politicians right now.

“Under the leadership of the Department of Health, progress in tackling preventable health issues that disproportionately impact men, such as problem gambling, will at last be possible.”