UKGC Open Lettter - isuse of stats

The UK Gambling Commission’s open letter published on its website asks companies to stop abusing stats in UK gambling. (Image by Lukas from Pixabay)

The United Kingdom’s gambling regulations and laws are among the most divided issues in gambling entertainment. There are heavy opinions on both sides of the fence, and deciding the best way forward is challenging for the UK Gambling Commission (UKGC).

It is up to the government to make the final decisions on all matters regarding the laws. However, the UKGC, other gambling authorities, gambling harm prevention non-profits and companies within the gambling entertainment industry should also have a voice.

Ultimately, the government will consider everyone’s opinion, and the final decision comes down to what is best for the general population.

One of the most significant factors that are taken into consideration is statistics. This is where the Commissioner for the UKGC says there is an area of concern. The issue comes when parties providing stats misuse information by manipulating statistics to mislead or misguide.

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Stats Often Come with a Difference of Opinion

Of course, starts are often seen differently from one company’s perspective of the gambling industry to another’s. For example, a casino operator versus, let’s say, a non-profit like Gamble Aware. They may see stats differently.

For example, the UK’s problem gambling stats show that less than 0.5% of gamblers develop a gambling addiction.

  • Casino Operator: The operator may say 0.5% is so low that tightening the rules is overkill.
  • On the other hand, 0.5% of 20 million gambling in the UK is 100,000 people. From that number, each person’s addiction could affect 4 to 5 family members, causing distress to 400,000 to 500,000 people. That’s 6 to 7.5% of the population.

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Misuse of Stats is Becoming All Too Common

The Gambling Commission feel the misuse of stats is becoming commonplace and is now warning people about the manipulated effects of misinformation. According to the UKGC, gambling operators, media outlets, charities, and venue owners are among the many guilty parties misusing statistics to advance their agendas. When parties use incorrect statistics, the Commission will first assume that it was an accident. The party will then be asked to correct the information.

If the party in question does not correct the information, the Commission can publicly challenge them, or the matter can be referred to the Office for Statistics Regulation.

Misuse of Stats Surrounding Problem Gambling is a Concern

According to the UKGC, the most recent misuse of information is mostly around problem gambling and gambling-related harm. The cause for concern is clear because these issues are about harm to players, especially those who need to be protected. Parties would use misinformation to relax the regulations around gambling to grow the industry. By doing this, the harm it causes is being swept under the rug.

The problems and harm mentioned above refer to multiple adverse effects of gambling. It refers to financial harm, where players lose their financial stability due to gambling. Also included is the damage to relationships, for example, families being broken up because one person is a problem gambler, putting the family in a vulnerable position. It also does not refer to only the gambler but also those around them.

To look at some specific cases using misleading stats, the UKGC refers to parties who have argued that some forms of gambling are less risky than others. For this reason, they claim that the rates of gambling harm should be less than the general estimates. This is a misguiding argument and can make gambling seem safer than it is.

Using Stats in Individual Gambling Verticals

This also relates to the above-mentioned point regarding playing down certain forms of gambling. The UKGC asks parties reporting risk stats for certain gambling practices to think carefully before publishing.

What is happening is that in isolation, the stats may change from those reported on the overall gambling entertainment sector. Still, they do not consider that most people are involved in multiple gambling practices, which would significantly increase their chances of being affected by gambling-related problems. Lastly, the Commission says parties are responsible for not taking statistics out of context. It is common for selected information to be given to support a specific argument, but all contradicting information is left out.

If you want to see the official UK Gambling Commission website report, see the official UKGC open letter here.

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