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Concerns about "unauthorised" gambling-based charity fundraising

Concerns about

Monday 29 July 2024

Concerns about "unauthorised" gambling-based charity fundraising

Monday 29 July 2024


The island's gambling watchdog has called for greater accountability in charity fundraising to protect consumers in its latest report.

The Jersey Gambling Commission, which is responsible for the licensing, registration and regulation of gambling, published its annual report for 2023 last week.

In the report, the Commission highlighted the need to protect consumers and ensure that all gambling activities carried out for charitable purposes are properly authorised.

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Pictured: The Gambling Commission warned that well-intentioned individuals running unauthorised gambling events in aid of charity could pose risks to consumers.

After raising concerns about unauthorised gambling-based fundraising on social media, the Commission stressed the need for charities to adhere to established rules when conducting lotteries or other gambling activities for fundraising purposes.

It warned that well-intentioned individuals running unauthorised gambling events could pose risks to both the consumers and charities' reputations.

The report read: "Consumers have a right to expect that lotteries offered in Jersey are bone fide and run according to the rules.

"Charities are held accountable for their fundraising and face a significant risk to their brand if individuals, albeit well-intentioned, decide to engage in gambling fund-raising without their knowledge."

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Pictured: The report noted an increase in charitable gambling registrations – with 77 issued in 2023, up from 59 in 2022.

Despite these concerns, the report noted an increase in charitable gambling registrations – with 77 issued in 2023, up from 59 in 2022.

However, this figure remains below the 82 registrations recorded in 2019.

The Commission also warned about children being exposed to gambling-like features in video games – especially "loot boxes".

This feature – which requires a stake and deliver a random prize – resembles gambling, according to the report.

The report reads: "The Commission remains aware that it has a duty to ensure that children are not harmed from gambling.

"While the evidence pointing to the transfer of compulsive behaviour in playing online (non-gambling) games into gambling products is not yet established, there is a clear correlation between the use of loot boxes in these types of games and instant lottery products."

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Pictured: The Commission warned about children being exposed to gambling-like features in video games, such as "loot boxes".

 

It continued: "Loot boxes require a stake and deliver a random prize.

"They differ from being a pure gambling product only insofar as every event produces a win, even if the majority of these are considered of low value, thus providing impetus for further plays and increased spend.

"This behaviour is a concern and will be raised as part of our ongoing dialogue with both Education and Health departments."

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Pictured: The number of betting shops in Jersey decreased from 22 to 19 in 2023 amid a rise in online gambling, according to the report.

The decline of the bookies and rise of online gambling across the world was also discussed in the report.

The Commission found that the number of betting shops in Jersey decreased from 22 to 19 in 2023.

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