UKGC: No Data Held on £350k GwL Education Project
FOI reveals regulator does not review materials produced using funds from operator fines.
A Freedom of Information request has revealed the UK Gambling Commission does not hold or review educational materials produced by projects it approves for funding from regulatory settlements. The disclosure came in response to a query about a £350,350 project by Gambling with Lives, raising questions about the oversight of how operator fines are used.
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Regulator Confirms No Oversight on Project Outputs
The UK Gambling Commission (UKGC) does not hold or review the specific materials produced by organisations that receive funding from regulatory settlements. This was confirmed in a Freedom of Information (FOI) response published by the regulator following a request made on 26 March 2024.
The disclosure reveals a significant gap in the oversight process for funds designated for socially responsible purposes, which are paid by gambling operators following enforcement action.
Context: Funding for Gambling Harm Prevention
When a gambling operator breaches its licence conditions, the UKGC can impose a financial penalty. Part of this penalty can be a payment in lieu of a fine, known as a regulatory settlement. These funds are directed towards socially responsible purposes aimed at reducing gambling-related harm and advancing the UK's National Strategy to Reduce Gambling Harms.
In May 2023, the charity Gambling with Lives was awarded £350,350 from these funds to produce education materials for use in "non-school settings". Consumers and the public expect these funds to be used effectively to deliver tangible benefits in harm prevention.
Details of the FOI Request
The FOI request asked the Commission for copies of the educational materials produced by Gambling with Lives as part of this £350,350 project. The UKGC's official response was "Information not held".
In its explanation, the regulator clarified its role in the process:
- The UKGC does not commission projects. Instead, it assesses proposals submitted by organisations against a set of criteria.
- Approval is based on the proposal. To be approved, a project must be for socially responsible purposes, address gambling-related harms, and demonstrate how it will "accelerate progress".
- No requirement to submit final materials. The UKGC stated, "There is no requirement for organisations to share copies of any materials they produce as part of a project with the Commission."
This means that while the Commission vets the initial plan, it does not receive or evaluate the final product that is created using the settlement funds.
Significance: A Question of Accountability
The UKGC's response highlights a potential accountability deficit in the use of regulatory settlement funds. While the regulator approves the destination of the money based on a project's stated goals, it has no mechanism to verify the quality, accuracy, or effectiveness of the materials ultimately produced.
For consumers, this raises important questions about the oversight of money intended to protect the public. Without a review process for the final outputs, it is difficult to assess whether these multi-million-pound projects are delivering on their promises or providing value for money in the fight against gambling harm. The current process relies on the integrity of the receiving organisation to deliver the project as proposed, with no final check from the body that approved the funding.