UKGC Late Payments Drop 99% After 2020 Spike
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Regulator's Late Payments Plummet After Troubling Spike

A Freedom of Information (FOI) request has revealed a significant turnaround in the UK Gambling Commission's (UKGC) payment practices, with the number of late payments to its suppliers falling by over 99% since a peak in the 2019-20 financial year.

The data, released in response to a request dated 24 July 2023, shows the number of invoices not paid within the standard 30-day period. While the full details of the invoices were withheld, the figures provide a clear insight into the regulator's operational efficiency over the last six years.

Why This Data Matters

The UKGC is a public body funded by the licence fees paid by gambling operators. Its ability to manage its own finances and pay its suppliers on time is a key indicator of its organisational competence. Under The Public Contracts Regulations 2015, public bodies are required to pay invoices promptly, and consistent failure to do so can negatively impact suppliers, particularly small businesses.

For consumers, the efficiency of the regulator is important. A well-run organisation is better equipped to focus on its primary mission: making gambling fairer, safer, and crime-free.

A Tale of Two Halves: The Numbers

The FOI response, while refusing to provide a detailed breakdown due to the cost of retrieval, did disclose the total number of late payments per financial year. The trend shows a dramatic spike followed by a sharp and sustained decline.

The number of invoices paid more than 30 days late were:

  • 2017-2018: 111
  • 2018-2019: 547
  • 2019-2020: 937
  • 2020-2021: 218
  • 2021-2022: 5
  • 2022-2023: 7

The figures show a more than eight-fold increase in late payments between 2017 and the peak in 2020. However, the subsequent drop is even more stark, falling from a high of 937 to just 7 in the most recent financial year—a reduction of 99.2%.

Information Withheld

The original request asked for specific details for each late payment, including the supplier's name, the value of the invoice, and the amount of interest owed for the delay. The UKGC refused to provide this level of detail, citing Section 12 of the FOIA. It argued that manually calculating the interest liability for all 1,825 late payments across the six-year period would take an estimated 150 hours, far exceeding the 18-hour cost limit for FOI requests.

Significance and Industry Implications

The data paints a clear picture of a significant administrative challenge within the Gambling Commission during the 2018-2020 period, which coincided with a period of intense regulatory activity and public scrutiny.

However, the dramatic and sustained improvement since 2021 suggests that the regulator has successfully identified and rectified the issues within its payment processing systems. This turnaround demonstrates a positive trend in the UKGC's operational management, indicating that measures taken to improve financial controls have been highly effective.

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Written by

Research & Data Lead

PhD in Public Policy, London School of Economics. Member of the Royal Statistical Society. Published in the Journal of Gambling Studies and Addiction Research & Theory.

Dr. Chen holds a PhD in Public Policy from the LSE and has 8 years of experience in quantitative research, including 3 years as a Research Fellow at the Responsible Gambling Trust analysing operator self-exclusion data.

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ukgc freedom of information foi public contracts regulations regulator performance financial management

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