REG - Entain PLC - Response to the Gambling Act Review

EntainAnnouncement

27/04/2023 18:01

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230427:nRSa7755Xa&default-theme=true

RNS Number : 7755X  Entain PLC  27 April 2023

For Immediate Release

27 April 2023

Entain plc

 

Response to the UK Gambling Act Review

 

Entain plc (LSE: ENT), the global sports betting, gaming and interactive
entertainment group ("Entain" or the "Group"), welcomes the publication of the
UK Gambling Act Review White Paper by the UK Government's Department for
Culture, Media and Sports ("DCMS") review of the UK Gambling Act 2005 ("GAR
White Paper").

 

The GAR White Paper is an important step towards having a robust regulatory
framework in the UK that is fit for the digital age, raises standards across
the industry and creates a level playing field for all operators.  The GAR
White Paper includes a number of important proposals, some subject to further
clarification following consultation.  The key areas that will have an impact
on our UK online operations are:

 * £2 slot limit for under 25s

 * Staking limits of £2-£15 for online slots

 * The requirement for operators to carry out financial checks based on online
customer deposits, principally being £1,000 per day, or £2,000 over 90 days

 * Controls over certain game features

 * Introduction of mandatory deposit limits and use of bonuses

 * Compulsory industry levy of 1% of Gross Gaming Revenue ("GGR")

 * Independent industry ombudsman funded by the industry

 

We continue to lead the industry on player protection and have proactively
taken a number of actions to deliver a safer environment for our customers,
many aligned with the proposals outlined in the GAR White Paper - the impact
of which has already been absorbed in our financial performance and
expectations across FY22 and FY23:

 * We have developed and rolled out ARC(TM) (Advanced Responsibility & Care),
our innovative, AI-driven, proactive player protection programme, which is
already delivering meaningful improvements to protecting our customers;

 * We have already implemented an affordability model across the UK - with soft
checks on customers from as low as £100;

 * We have introduced personalised staking limits for online slots;

 * We terminated VIP schemes across the UK in 2020;

 * We were the first industry operator to voluntarily commit to donating 1% of UK
gross gaming revenue to research, education and treatment in respect of
problem gamblers; and,

 * We actively supported the proposal for an independent industry ombudsmen.

 

As a result of the proposals outlined in the GAR White Paper today, materially
mitigated by the proactive actions we have already taken, we expect there to
be no material change to our expectations for FY23 and an impact of less than
1% on Group Online net gaming revenue in FY24.

 

Jette Nygaard-Andersen, Entain's CEO, commented:

"The UK Gambling Act Review is an important step towards having a robust
regulatory framework that is fit for the digital age and creates a level
playing field for all operators. We welcome the clarity that it will bring to
the industry and its customers. We look forward to working with the Government
and the Gambling Commission on evidenced-based consultations and
implementation of the proposals outlined today.

As a global and diversified business that operates in over 40 regulated or
regulating territories around the world, all of which are regulated or
regulating, we are firmly in favour of regulation that preserves the market
for the vast majority of customers who enjoy recreational betting and gaming,
whilst also ensuring appropriate protection to all players."

 

 

Enquiries:

 Investor Relations - Entain plc                           investors@entaingroup.com (mailto:investors@entaingroup.com)

 David Lloyd-Seed, Chief IR & Communications Officer       david.lloyd-seed@entaingroup.com (mailto:david.lloyd-seed@entaingroup.com)

 Davina Hobbs, Head of Investor Relations                  davina.hobbs@entaingroup.com (mailto:davina.hobbs@entaingroup.com)

 Aimee Remey, VP US Investor Relations                     aimee.remey@entaingroup.com (mailto:aimee.remey@entaingroup.com)

 Callum Sims, IR Manager                                   callum.sims@entaingroup.com (mailto:callum.sims@entaingroup.com)

 Media - Entain plc                                        media@entaingroup.com (mailto:media@entaingroup.com)

 Lisa Attenborough, Head of Corporate Communications       lisa.attenborough@entaingroup.com (mailto:lisa.attenborough@entaingroup.com)

 Jay Dossetter, Head of Corporate PR                       jay.dossetter@entaingroup.com (mailto:jay.dossetter@entaingroup.com)

 Jodie Hitch, PR Manager                                   Jodie.hitch@entaingroup.com (mailto:Jodie.hitch@entaingroup.com)

 Powerscourt                                               Tel: +44 (0) 20 7250 1446

 Rob Greening/Nick Hayns/Sam Austrums                      entain@powersco (mailto:entain@powerscourt-.com) urt-group.com
                                                           (mailto:entain@powerscourt-.com)

 

 

About Entain plc

Entain plc (LSE: ENT) is a FTSE100 company and is one of the world's largest
sports betting and gaming groups, operating both online and in the retail
sector. The Group owns a comprehensive portfolio of established brands; Sports
brands include BetCity, bwin, Coral, Crystalbet, Eurobet, Ladbrokes, Neds,
Sportingbet, Sports Interaction and SuperSport; Gaming brands include Foxy
Bingo, Gala, GiocoDigitale, Ninja Casino, Optibet, Partypoker and PartyCasino.
The Group owns proprietary technology across all its core product verticals
and in addition to its B2C operations provides services to a number of
third-party customers on a B2B basis.

The Group has a 50/50 joint venture, BetMGM, a leader in sports betting and
iGaming in the US. Entain provides the technology and capabilities which power
BetMGM as well as exclusive games and products, specially developed at its
in-house gaming studios. The Group is tax resident in the UK and is the only
global operator to exclusively operate in domestically regulated or regulating
markets operating in over 40 territories.

Entain is a leader in ESG, a member of FTSE4Good, the DJSI and is AA rated by
MSCI. The Group has set a science-based target, committing to be carbon net
zero by 2035 and through the Entain Foundation supports a variety of
initiatives, focusing on safer gambling, grassroots sport, diversity in
technology and community projects. For more information see the Group's
website: www.entaingroup.com (http://www.entaingroup.com)

 

Important notices

Certain statements in this announcement are forward-looking statements,
including with respect to Entain's expectations, intentions and projections
regarding its future performance, strategic initiatives, anticipated events or
trends and other matters that are not historical facts and which are, by their
nature, inherently predictive, speculative and involve risks and uncertainty
because they relate to events and depend on circumstances that may or may not
occur in the future. All statements that address expectations or projections
about the future, including statements about operating performance, strategic
initiatives, objectives, market position, industry trends, general economic
conditions, expected expenditures, expected cost savings and financial results
are forward‐looking statements. Any statements contained in this
announcement that are not statements of historical fact are, or may be deemed
to be, forward‐looking statements. These forward-looking statements, which
may use words such as "aim", "anticipate", "believe", "could", "intend",
"estimate", "expect", "may", "plan", "project" or words or terms of similar
meaning or the negative thereof, are not guarantees of future performance and
are subject to known and unknown risks and uncertainties. There are a number
of factors including, but not limited to, commercial, operational, economic
and financial factors, that could cause actual results, financial condition,
performance or achievements to differ materially from those expressed or
implied by these forward-looking statements. Many of these risks and
uncertainties relate to factors that are beyond Entain's ability to control or
estimate precisely, such as changes in taxation or fiscal policy, future
market conditions, currency fluctuations, the behaviour of other market
participants, the actions of governments or governmental regulators, or other
risk factors, such as changes in the political, social and regulatory
framework in which Entain operates or in economic or technological trends or
conditions, including inflation, recession and consumer confidence, on a
global, regional or national basis. Given those risks and uncertainties,
readers are cautioned not to place undue reliance on forward-looking
statements. Forward-looking statements speak only as of the date of this
announcement. Entain and its affiliates, and any of its or their respective
directors, officers, partners, employees, advisers or agents (collectively,
"Representatives") expressly disclaim any obligation or undertaking to update
or revise publicly any forward-looking statements, whether as a result of new
information, future events or otherwise unless required to do so by applicable
law or regulation.

In particular, no statement in this announcement is intended to be a profit
forecast or profit estimate and no statement of a financial metric (including
estimates of EBITDA, profit before tax, free cash flow or net debt) should be
interpreted to mean that any financial metric for the current or future
financial years would necessarily match or exceed the historical published
position of Entain and its subsidiaries. Certain statements in this
announcement may contain estimates. The estimates set out in this announcement
have been prepared based on numerous assumptions and forecasts, some of which
are outside of Entain's influence and/or control, and is therefore inherently
uncertain and there can be no guarantee or assurance that it will be correct.
The estimates have not been audited, reviewed, verified or subject to any
procedures by Entain's auditors. Undue reliance should not be placed on them
and there can be no guarantee or assurance that they will be correct.

This announcement is being issued by and is the sole responsibility of Entain.
No representation or warranty, express or implied, is or will be made as to,
or in relation to, and no responsibility or liability is or will be accepted
by or on behalf of, Entain (apart from the responsibilities or liabilities
that may be imposed by the Financial Services and Markets Act 2000, as amended
or the regulatory regime established thereunder) or by its affiliates or any
of its Representatives as to, or in relation to, the accuracy, adequacy,
fairness or completeness of this announcement or any other written or oral
information made available to or publicly available to any interested party or
its advisers or any other statement made or purported to be made by or on
behalf of Entain or any of its affiliates or any of its Representatives in
connection with Entain and any responsibility and liability whether arising in
tort, contract or otherwise therefore is expressly disclaimed.

 

LEI: 213800GNI3K45LQR8L28

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  RSPQDLFLXZLEBBE