Queen’s Speech

Lord Trevethin and Oaksey Excerpts

Tuesday 18th May 2021 Lords Chamber

[Lord Trevethin and Oaksey (CB) [V]]

My Lords, it is a pleasure to follow the noble Baroness. I had the privilege of being on the Select Committee on the Social and Economic Impact of the Gambling Industry, which reported in July 2020. I draw attention to my declaration of interests in that report, in particular to my work as a barrister in the field of claims by problem gamblers against gambling operators. I also sit on the executive committee of Peers for Gambling Reform. I pay tribute to the work of the noble Lord, Lord Foster of Bath, as the chair of that body. What I will say now is a coda to the powerful speech that he made a couple of hours ago.

The Select Committee report—and, for that matter, just about everyone who has considered gambling in the online age—identifies the scale of the problem that we now face. The liberalisation of the statutory regime that occurred when the Gambling Act 2005 came into force went too far, even at that point, but in any case online gambling was at an embryonic stage then. Some noble Lords, but probably not all, may know that it is now possible to turn one’s smartphone into a casino within seconds and gamble on virtual slot machines, poker tables, roulette tables, whatever takes one’s fancy. The only limit, in practice, to the amount that you can wager is the amount that you are able to deposit by debit card. You can play multiple tables or machines. The speed of play is far quicker than anything available in the physical world. The games are artfully designed. Most people can resist the temptation and gamble safely and enjoyably—and the liberty to do so must be protected—but many cannot. It is not an easy thing to measure, but one not implausible estimate is that there are 2 million problem gamblers in the UK.

Realism is required, it seems to me. It is unrealistic and unfair, really, to expect gambling operators to take effective steps to minimise problem gambling. There is an obvious conflict, which can be briefly expressed as, “The bigger the problem, the bigger the profit on the bottom line”. The stakes are high for the operators. Gross gambling yield in the UK, which is defined as the amount retained by the industry after the payment of winnings before payment of operating costs, is now a little over £14 billion a year. It might have risen over lockdown; we shall see.

Fundamental changes are needed and they will have to be enforced. Some changes certainly require primary legislation. Many important and necessary changes do not, as the noble Lord, Lord Foster, said. The Gambling Commission has extensive powers and it can be required to use them. It is able to control or prohibit the use of so-called VIP schemes and is beginning to develop provisions based on the difficult but important concept of affordability. The 2005 Act itself provides machinery enabling the imposition of a statutory levy that could fund research and treatment. Inexplicably, that has not happened yet.

Primary legislation will probably be required to create a gambling ombudsman. This is essential. The ombudsman will have powers to call for documents and information that will bring to light any improper exploitation of problem gamblers. The operators will then be very strongly motivated to act appropriately.

To my mind, it is a little troubling that it seems the online safety Bill will have nothing at all to say about gambling. Like the noble Lord, Lord Foster, I hope that the Minister might be able to address that omission in her closing remarks.