Brexit and the impact thereof on the online gambling industry

Published on July 31, 2017 in Industry News

Brexit and the online gambling industryOn the 23rd of June 2016 history was made when the people of Britain voted for a British exit from the EU in a referendum. Now a year later there is a lot of uncertainty with what will happen especially since the Conservatives lost their majority in the general election that took place in June 2017.

While some are rejoicing at the thought of Brexit, others are worried about the impact this will have. One of the biggest questions is what impact the UK leaving the EU will have on online gambling. 

Gambling in the UK

The UK is home and dare we say the birth place of online gambling. In 1994 Microgaming started the first fully functional online gambling site here. It’s the place where most believe online gambling was turned into a successful and popular industry. 

Apart from being the starting point of a billion-dollar industry the UK is also called home by some of the biggest gaming companies in the world. Companies like Paddy Power Betfair, William Hill and Bet365 are among the few noteworthy who are settled in the UK.

In a study done in 2016 it was also revealed that online gambling is the largest gambling sector in Britain.

With online gambling alone they raked in more than £3.6 billion in 2015.

Brexit options

There are two things that can happen regarding Brexit. It could either happen periodically which will allow legislators and businesses time to adjust their systems and laws. This approach would seem the wiser choice seeing as it will provide an opportunity for these businesses and legislators to implement new systems that will help them not just survive but boost their businesses. 

On the other hand, there could also be a clean break which could lead to global uncertainty and possibly disaster. With a clean break legislators and business owners would have less time to figure out what to do next. 

What happens now?

The truth is that there is still a lot of uncertainty regarding Brexit. The main focus especially for the British Gambling Industry should be on finding alternatives and ensuring that they have their bases covered no matter what the outcome might be. 

Online gambling has grown from strength to strength over the last couple of years and there’s no doubt that the industry is booming. With the customer base growing rapidly the biggest concern should be on how to capitalize on this. For some Brexit means the end of the British gambling industry and for others it’s a new beginning filled with loads of opportunity. 

At the current time uncertainty reigns and if legislators and business owners are wise they would capitalize on this time to create a strategy for each outcome.