Fixed-odds betting terminals (FOBTs) are a major flashpoint for the UK gaming industry. The ubiquitous machines produce significant revenue (as in billions and billions worth of revenue) but are constantly under attack from lawmakers and anti-gambling activists for being a bit too addictive.
That addictive aspect is why the UK Parliament has been trying desperately to lower the maximum wager on FOBTs from £100 ($131 USD) down to just £2. This move would, of course, have a major impact on the revenue streams of big name operators like William Hill and Paddy Power, to name but a few. But a curious thing has happened on the way to implementing the betting stake cut, it just hasn’t happened.
Changes to FOBT wagers were supposed to be implemented next spring, but an all out lobbying campaign by the gaming industry was enough to get lawmakers to push that date back to October 2019. That was enough outside meddling to prompt Sports Minister Tracey Crouch to submit her resignation and be done with the whole ugly affair.
In a statement to Bloomberg, Chancellor of the Exchequer Philip Hammond said that the delays were part of an effort to help save gaming saying stating, “There will be very many thousands of people who will be negatively impacted by this, losing their jobs and their businesses closing down.” Though Hammond also added that he thinks FOBTs are, “terrible things.”
While there’s plenty of uncertainty as to when the stakes limits will go into effect, it is certain that UK operators will feel some pain in their bottom lines when it does.