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tandards body the Betting and Gaming Council has welcomed new UK Gambling Commission guidelines on the use of ‘VIP schemes’ by operators.
The move follows the publication by the BGC of a new code of conduct which has seen the number of people enrolled in the schemes fall by 70 percent.
Under the new arrangements, which come into force on 31 October, customers must be subjected to rigorous checks before being signed up, and their betting behaviour must be closely monitored going forward.
The programs themselves must be overseen by senior managers and run in a fully transparent way.
As part the Commission’s work to strengthen consumer protection, the regulator has made addressing these schemes a priority after seeing repeated instances of failure to protect high-value customers.
The Commission identified VIP schemes as an area for change and challenged the industry to clean up its act earlier this year, pushing them to work together to address the issue through an industry code of conduct.
Following extensive consultation, all operators will now need to follow new guidance on these schemes – which see ‘high value’ consumers provided with tailored bonuses, gifts, hospitality, and preferential service from an operator designed to maintain or increase their custom.
Michael Dugher, chief executive of the Betting and Gaming Council, said: “The BGC, working with the Gambling Commission, has taken tough action on VIP accounts, including the introduction of a strict new code of conduct which has seen the number of players enrolled in them reduced by 70 percent.
“The code restricts anyone aged under 25 from taking part, while any customer considered for a VIP reward program must first pass rigorous safer gambling checks and be subject to ongoing checks on their betting behavior. Reward programs must be overseen by senior management and conducted in a clear and transparent way to prevent any betting-related harm. Operators are also banned from incentivizing customers based on losses.
“This is further evidence of our commitment to driving up standards within our industry,” Dugher concluded.
