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Paul Scully Becomes 5th DCMS Undersecretary to Steer UK’s Gambling Review
By Jeff Osienya Oct 31, 2022 IndustryFollowing the departure of Damian Collins, Paul Scully is now the new UK gambling minister. Scully is the 5th MP to take up the mantle of steering gambling industry reforms since the process started in late 2020.Sutton and Cheam MP Paul Scully has been announced as Britain’s undersecretary for tech and digital economy at the Department of Digital, Media, Culture, and Sport (DCMS). Scully’s appointment follows Damian Collins’ exit a week ago ahead of the cabinet reshuffle by the new PM, Rishi Sunak.
The newly appointed legislator will be the fifth minister to oversee the review of the Gambling Act 2005 since the process was initiated in December 2020. Nigel Huddleston was the gambling minister at that time (Dec 2020) and was succeeded by John Whittingdale in February 2020 until Chris Philip took office in September 2021. Come July 2022, Chris Philip resigned in protest of former PM Boris Johnson’s government and was succeeded by Damian Collins.
So far, the most influential minister in the review process has been John Whittingdale, during whose term most of the white Paper was drafted. However, Chris Philp also played a significant role as he pushed to get the draft of the White Paper to N0. 10 before his resignation. Collins’ appointment had been received with enthusiasm as stakeholders in the gambling industry were optimistic that there would be some action on the pending White Paper. However, the Paper’s release was further delayed when Collins took over from Philp.
Scully will also continue to serve in his current capacity as minister for London, a position he has held since 2020. As DCMS undersecretary, he would be under the recently reappointed secretary Michelle Donelan.
The BGC Optimistic in Working with Scully
The UK Betting and Gaming Council (BGC) has since issued statements to welcome Scully in his new role while thanking Collins for his engagement in the industry thus far. Through its CEO Michael Dugher, the BCG applauded the new DCMS undersecretary, acknowledging that the minister is a part of fostering future goodwill from the administration. He said:
Quote“On behalf of the 119,000 people whose jobs are supported by our members – from the high street to hospitality, from tourism to world-leading British tech – I’d like to congratulate both Paul Scully MP on his new role and Michelle Donelan MP on her re-appointment as secretary of state for DCMS. Our industry generates £4.5bn in taxes for the Treasury and contributes £7.7bn for the economy in gross value added.”
As UK’s premier gaming industry trade body, the BGC has played a pivotal role in the UK gambling industry since its establishment in 2019. Thus, in his statement, CEO Dugher also voiced the BGC’s readiness to work with the DCMS to better the gambling industry saying:
Quote“We are ready to work with DCMS to help find carefully targeted, proportionate measures which achieve the right balance. We want to continue to drive big changes and drive higher standards on safer gambling to better protect the most vulnerable while at the same time ensuring that the 22.5 million punters who enjoy a flutter each month, perfectly safely and responsibly, have the freedom to do so.”
The BGC CEO also commended former tech minister Damian Collins, stating that he was ‘widely respected,’ thanking him for being interested in understanding the industry’s contribution to the country’s economy. Collins, on his part, vowed to continue supporting efforts in the industry as a member of parliament ‘from the back benches.’ Following his exit as the gambling minister, he was appointed Minister for Tech at DCMS in July, a role he continues to hold in PM Sunak’s government.
Earlier in August, Dugher called on the new PM (following Johnson’s resignation) to address the current financial crisis that includes soaring energy bills, pointing out skyrocketing costs of living. He emphasized the need to take urgent action to solve the issues at hand, which he stated would impact the hospitality and leisure sector.
Plenty At Stake Owing to Gambling Act Review Delays
If worked on in time, the pending 2005 Gambling Act review will inform how the new National Lottery deal with Allwyn will be run. Allwyn beat Camelot as the preferred applicant for the UK National Lottery and received a license from the UK Gambling Commission. The company is currently discussing plans to acquire Camelot, better positioning itself to take over. A successful acquisition will also motivate Camelot to drop its plea suit and possibly IGT. Allwyn is supposed to begin Lottery operations in 2024.
The Gambling Act review process has been marred with a plethora of challenges following the instability in British politics these past few months. As recently as September, there had been rumors that Truss’ tenure would leave the review out in the cold altogether. This was worrying as analysts predicted that cutting the review would have dire consequences for the industry and consumers. However, a few weeks later, in October, the commission was on track to publish the long-awaited White Paper, which is still yet to be released.
On a positive note, the Gambling Commission has reported relatively low problem gambling numbers, a subject to be addressed in the Gambling Act review. In addition, as the BGC marked the industry’s Safer Gambling week at the end of October, it noted a 21% increase in user engagement on social media platforms.
The gambling industry in the UK serves about 22.5 million players every month and brings in about £7.7 billion in revenue, making the review even more important. However, from the look of things, it appears that the government may yet again turn its attention to the draft White Paper which has been anticipated for several months.
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