The UK Gambling Commission has released a report that shows Q3 GGY Yield Down 6% on Q2 in 2021. Mostly due to cancellations of sporting events. (Image from Rodnai Productions at pexels.com )
The UK Gambling Commission has revealed via a report that, as expected, the British GGY (gross gaming yield) in the gambling industry was down 6% in Q3 compared to Q2 in 2021. The report looked at how the COVID-19 pandemic has affected the behaviour of gamblers across the United Kingdom.
According to that report, the gaming sector generated £1.2bn GGY in the three months up to December 2021, a drop of 6% from the previous quarter (July to September). The report, covered both online and land-based gambling between March 2020 and December 2021 and was fed by data from licensed betting operators from within the UK.
The GGY (online and including live casino gambling, slots, bingo, and sports betting) in December was around £421m, which brought the total Q3 figure up to £1.2m. Despite the GGY dropping slightly, the number of spins compared to the previous quarter had dropped 4%. The number of online gaming accounts considered active had also remained about the same.
While overall figures were down, there was a slight 1% (£568m) increase in slots GGY in the third quarter compared to Q2. The number of slot spins and active slot players also increased 3% (18.2bn) and 5% (9.8m respectively.
Slot sessions of over an hour also increased. There were 8.1 million sessions that lasted more than 60 minutes, which is 8% of all slot sessions recorded. 7% of all online sessions for all types of gambling lasted over an hour, with the average session lasting 19 minutes.
GGY at licensed betting operators (LBOs) dropped slightly to £533m (1%) between the second and third quarters while spins/bets saw an increase to £3.3bn during the same period.
The UKGC is the gambling regulator in the UK and is widely accepted as the very best in the iGaming industry. The regulator places player protection at the top of its priorities, as the recent update to guidelines regarding fair terms and conditions shows.
Observations from the UKGC
The UKGC admitted that it is difficult to compare data from different months, quarters and years during the pandemic as circumstances continually change and that no period of time has the same circumstances as another. However, the UKGC did claim that the overall reduction in GGY for Q3 is likely to do with the cancellation or postponement of several major sporting events and matches. The figures would add up too as slots gaming increased, so it would seem that sports betting is where the reduction occurred. There were many Premier League matches postponed while other events were cancelled outright.
This is also the case for retail gambling, as many high street bookmakers and land-based casinos were totally closed between March and June 2020 and, even when open again, had to limit customer numbers. Restrictions also differed from region to region, so it is difficult to conclusively analyse the results.
Commenting on these figures, a spokesperson for the UKGC said:
“We understand that the UK is entering a new phase as the country attempts to re-adjust after continued restrictions” He went on “However, we expect increased vigilance from operators in the UK. The pandemic and the wider economic environment continue to impact consumers in a variety of ways. Many consumers will still feel vulnerable. The sheer length of the COVID-19 pandemic and its resulting restrictions and continued uncertainty about finances and the future ahead is likely to impact gambling behaviour moving forward.”