UKGC Fair Terms and Practices Guidance

The UKGC Fair Terms and Practices Guidance has been updated after the commission found licensees using unfair or unclear terms and conditions. (Image from Ekaterina Bolovtsova at pexels.com)

After recently noticing that some of its licensees are using terms and practises that lack transparency at best, and at worst, could be classed as unfair, the UKGC has today revealed that it has updated its guidance on fair terms and practices and asked all licensees to read, understand, and ensure they comply with these new guidelines going forward.

The changes came about after the UKGC, the strictest gambling regulatory body in the global iGaming industry, learned that licensees under its jurisdiction were using terms that could be deemed unfair or could give the online casino or platform the discretion of when and where to apply its conditions. The commission, who not so long ago appointed a new chair, is concerned about terms and conditions such as those that allow licensees to confiscate any unused deposits, or encourage excessive play when wagering bonuses and promotions.

As a site that reviews online casinos, we can understand these concerns. Many terms and conditions, especially those regarding bonuses, lack transparency and do not present a fair chance for players. Bonuses with high wagering requirements and just a few days to complete them will indeed encourage the player to continue depositing in the hope of completing the requirements and converting the bonus to real cash.

Many terms also make it easy for an online casino to use its own discretion of when to apply rulings. Irregular activity is a common one that is thrown around when an online casino has decided it does not want to payout.

The UK Gambling Commission always acts in the interest of the player despite some believing the regulatory body is making it increasingly difficult for platforms to operate successfully in the UK. However, player protection must always come first, and that is why the UKGC is always striving for its licensees to offer a fair, safe, and reputable platform for UK players to enjoy.

Examples of the Terms the UKGC Feels are either Unclear or Unfair

The UKGC revealed some examples of terms and conditions they have noticed from licensees that require changing.

  • Any terms and conditions that allow the licensee to confiscate unused deposits.
  • Terms concerning how a licensee treats customers and their funds when it ‘believes’ the user was playing illegally, fraudulently, or irregularly.
  • Any promotional terms that entitle the licensee to void real money previously won if the customer unknowingly/accidentally broke max stake limits/rules.
  • Terms and conditions that unfairly permit licensees to reduce potential winnings on open bets.
  • T&Cs that are unclear, lacking transparency, and/or are hard to understand.
  • Bonuses and promotions (particularly welcome offers) that have wagering requirements that could encourage players to play excessively.

What the UKGC now Expects of Licensees

In what seems a fairly clear warning to any licensee that potentially had unfair or unclear terms and conditions, the UKGC has now called on each licensee to review its T&Cs to ensure that they comply. They are asked to check their terms against consumer protection laws, the Licence Conditions and Codes of Practise as set out by the UK Gambling Commission and the commissions newly updated guidance.

The UKGC finishes up by advising any consumers to contact an ADR (alternate dispute resolution) provider if they are not satisfied with the action or response a licensee has taken in response to a complaint.

It would be unwise for any licensee to ignore these new updates, as the UKGC regularly shows that it is not afraid to penalise operators or suspend or even revoke licenses. Nektan Limited is just one operator that knows this all too well.

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