Update on investigation and enforcement cases opened
21 October 2016
CMA writes to more online gambling firms about their practices
1 March 2018: The CMA has launched enforcement action against a number of online gambling firms in respect of practices that may place unfair obstacles in the way of people withdrawing their money (whether as part of a promotion or not).
Issues of particular concern that we have raised include:
Daily, weekly or monthly limits on withdrawing funds that appear unreasonably low;
Potentially arbitrary short deadlines on the time customers have to verify their identity as a condition of withdrawing funds, sometimes providing for forfeiture of consumer’s funds if missed; and
Dormancy terms that allow firms to confiscate funds or impose apparently excessive charges after a certain period of inactivity.
We will update our case page on a regular basis as the investigation progresses.
Three online gambling firms provide undertakings to CMA
1 February 2018: Ladbrokes, William Hill, and PT Entertainment have committed to change how they offer bonus promotions to customers playing online.
The firms have agreed to be more upfront and clear about their promotional terms and conditions, and to make them fairer. Players can now be sure that they can withdraw their own money when they play as part of a bonus promotion.
23 June 2017: We are taking enforcement action against several online gambling firms in connection with their gaming promotions for new players, and certain aspects of their free bet promotions, that we believe are breaking consumer protection law. We are especially concerned that gamblers may be losing out because of:
inadequate or unclear information about the restrictions and conditions that apply to the promotion before sign-up, making it difficult to evaluate whether they should take it up
restrictions on their right to withdraw winnings made from gameplay with their deposit unless they meet extensive wagering requirements
potentially unfair rules that restrict certain play strategies, on which firms rely to deny customers a pay-out when they come to claim their winnings
On completion of our enforcement action with the firms, we will work with the Gambling Commission to deliver sector-wide change in the areas of concern identified and will also work together to drive improved compliance with consumer protection law more broadly.
Withdrawal amounts: further call for your views now closed
We’ve opened a new line of enquiry to look further into obstacles that people face when they try to withdraw their money after gaming or betting online (whether as part of a promotion or not).
terms preventing players from withdrawing any money they have deposited in their account unless they have wagered its value through in full once, or several times
requirements for players to take part in publicity or advertising activity for a firm before the player can withdraw their winnings, for example, by posing for a photo with a ‘winner’s cheque’ which is then displayed on the firm’s website
unreasonably high minimum withdrawal limits, for example, someone might add a £5 deposit but the minimum they can withdraw is £25, so they have to win 5 times their original deposit before they can take out their winnings
daily, weekly or monthly withdrawal limits that appear unreasonably low, for example, compared to the amount that can be deposited and bet over the same period, so someone might have won £10,000, but can only withdraw £1,000 a week
terms that place arbitrary deadlines on the time given to players to provide information to verify their identity as a condition of withdrawal
We have also identified concerns with some firms where players do not make a withdrawal or
place a bet over a number of weeks or months. In particular, some firms have terms which
apply ‘dormancy’ charges to players’ accounts after a period of inactivity, or terms which
remove all funds from inactive accounts, regardless of the size of the balance.
If we identify firms who we think are breaking the law in relation to these issues, we will take further enforcement action.