The UK Gambling Commission’s (UKGC) recent switch to quarterly regulatory reporting for the gambling sector will lead to a “risk-based, evidence-led and outcomes-focused” direction.
This was confirmed by Jason Davies, UKGC Data Data Analytics Manager, who noted that the regulatory returns submission changes also align with the commission’s ‘Corporate Strategy 2024 to 2027’ of using data and analytics to improve the effectiveness of gambling regulation.
Harmonised reporting periods have also been introduced – requiring all licensees to submit data for the same period – which the data analytics manager says will help the commission “analyse changes in the market on a timely basis and manage our income more effectively” and publish information more frequently.
Quarterly reporting basis
Back in March, the UKGC amended the frequency of when gambling licensees would be required to send regulatory return submissions, changing it to a quarterly basis.
The amendments to licence condition 15.3.1 of the Licence Conditions and Codes of Practice, effective as of July 1, saw the commission move away from regulations that allowed some licensees to submit returns annually.
Applying to all operating licences, the final wording of amended general and regulatory returns code provision 15.3.1 is the following:
“15.3.1 – General and regulatory returns
“On request, licensees must provide the Commission with such information as the Commission may require, in such a form or manner as the Commission may from time-to-time specify, about the use made of facilities provided in accordance with this licence and the manner in which gambling authorised by this licence and the licensee’s business in relation to that gambling are carried on.
“In particular within 28 days of the end of each quarterly period licensees must submit an accurate Regulatory Return to the Commission containing such information as the Commission may from time to time specify.”
Risk-based, evidence-led and outcomes-focused
Commenting on the change, Davies said: “Quarterly returns support our aim to be a risk-based, evidence-led and outcomes-focused regulator and contribute towards our aspirations outlined in our Corporate Strategy 2024 to 2027 to use data and analytics to make gambling regulation more effective.
“As well as quarterly submissions for all licensees, we have introduced harmonised reporting periods which means all licensees submit data for the same time period, in the first instance for the period 1 July 2024 to 30 September 2024.
“This is important as more regular data, coupled with harmonised reporting periods will ensure the Commission can analyse changes in the market on a timely basis and manage our income more effectively.
“It will also mean we can publish this information more frequently, for those wanting to use our official statistics on the gambling market for their own work.”
Before the amendments were made, the UKGC consulted the industry on the proposed changes, to which some respondents raised their concerns regarding the increased reporting frequency.
Davies noted that the commission has “tried to balance this out by removing a significant number of questions from regulatory returns across all return types”. The full list of questions that have been removed can be found here.
Regulatory returns guidance clarity needed
The transition to quarterly returns on July 1 means most licensees have seen their last regulatory return changed to have an end date of June 30, 2024, whether they were previously on an annual or quarterly cycle.
The changes have been made to align licensees with the new reporting schedule, but it also means most licensees will have to submit a partial return soon. These partial return reporting dates are either by July 28 for those who have previously completed a quarterly return, or by August 12 for any licensee who previously completed an annual return.
Davies added that the UKGC will provide further updates at the end of August, specifically addressing and providing clarity on the regulatory returns guidance.
The data analytics manager said the commission has “removed any reference to fields which have been removed from regulatory returns from 1 July 2024 onwards and also added in definitions for fields which were previously automatically calculated within eServices”. However, more work is needed.
“We have some more work to do on the guidance, acting on feedback that licensees shared with us in an early part of the regulatory returns project, where they told us that the guidance for some questions was unclear,” Davies stated.
“We’ll be reviewing these and make sure they are updated by the end of August. Fundamentally we would not be changing what we are asking for, but we’ll try and add some more clarity.”
