GeoComply Solutions Inc. today announced it has entered into a definitive agreement with FansUnite Entertainment Inc. (“FansUnite”), FansUnite US Inc. (“FansUS”), and Hero Group Corp. (the “Purchaser”) pursuant to which FansUnite has agreed to sell to the Purchaser all of the issued and outstanding shares of FansUS, which owns and operates the Betting Hero business, for an aggregate purchase price of US$37.5 million, subject to ordinary working capital and cash adjustments (the “Transaction”).

Upon completion of the Transaction, the Purchaser will be controlled 60% by Betting ‎Hero’s co-founders, Jai Maw and Jeremy Jakary (the “Betting Hero Co-Founders”), and ‎‎40% by GeoComply. GeoComply’s investment in the Purchaser will support the Betting Hero Co-Founders to operate and grow the Betting Hero business following the sale of the Betting Hero business to the Purchaser.

“Jai and Jeremy have built a tremendous business with a laser-like vision to support their customers’ mission for the best possible user experience through the sign-up process. At GeoComply we share that vision and are delighted, through this intended investment, to help Betting Hero further their efforts and deploy more resources and focus into serving our customers and their patrons throughout North America,” said Anna Sainsbury, GeoComply’s Co-Founder and CEO.

Betting Hero has operated for six years and is now active in more than 20 regulated gaming states. Its Activation business has converted over 500,000 new users to online sportsbook and iGaming operators, nearly all of whom were betting at a casino, arena, or in the Betting Hero bar network. The Betting Hero Research segment shows that new users activated by ‘Heroes’ are 50% more likely to make a successful first-time deposit, compared to the industry average. Betting Hero and GeoComply intend to work in tandem to develop real-time solutions that will make the online sportsbook and iGaming activation process as seamless as ever.

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Today’s gambling market in the United Kingdom looks vastly different than it did ten years ago. In addition to an explosion in revenue, there has also been a significant shift in how and where people gamble, thanks to myriad online options.

This article will explore the UK’s gambling industry today and the influential elements that skyrocketed its growth in the past decade.

The UK Gambling Industry Today

The Gambling Commission regulates the UK gambling market; it licences land-based and remote gaming and ensures regulations are followed. In the 2022-2023 fiscal year, the UK’s gross gambling yield (GGY) was £15.1 billion – a staggering increase from £6.3 billion a decade ago.

This revenue stems from various forms of gambling, including lotteries, casinos, slot machines, bingo halls, and online gaming. Of the £15.1 billion, £4.2 billion was generated through lottery gaming, £4.5 billion through land-based gambling, and £6.5 billion through remote gaming, including online casinos, sportsbooks, and bingo platforms.

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Factors Influencing the Industry’s Growth

Several factors propelled the significant rise in revenue from £6.3 billion to £15.1 billion, with the three most influential outlined below.

Relaxed Advertising Guidelines

The growth of the UK gambling market is closely linked to the changes in regulations surrounding gambling advertising in the 2005 Gambling Act. The act came into effect two years later, allowing gambling companies to advertise all forms of gaming as long as they were licenced and regulated.

Since 2007, the presence of ads promoting gambling has steadily increased. This increase, unsurprisingly, has been linked to a rise in individual gambling, contributing to the spectacular growth the UK gambling industry has seen.

Growth of Online Gambling

Online gambling, iGaming, remote gambling, and the many other names it goes by has undoubtedly fuelled the UK’s gambling growth. In 2024, online gambling is projected to bring in £11 billion, making it the second-largest iGaming market in the world. It’s just behind the US market, which is set to earn £18.41 billion in 2024.

Online gaming has increased in popularity for a number of reasons, including advertising regulations, but also thanks to its convenience and accessibility. It’s made classic types of gambling, like casino table games, slot games, and sports betting, available right at a person’s fingertips from anywhere at any time as long as they have a device and an internet connection.

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Adding to this appeal are incentives for signing up with online casinos or placing wagers at them, which entice players to find the best first deposit bonus available or to earn additional bonuses for continued playing.

Variety of Gaming Options

The online gaming marketplace is continuously growing, pumping out exciting new games and gambling platforms. Whether they’re looking to play live dealer poker, slots, or bingo, punters have a vast selection of online options to choose from. In addition, there is the continued draw of land-based gambling.

Between online platforms and land-based gambling venues, there is more variety in the market than ever before. This variety means that there are more options to suit a wide range of betting preferences, appealing to more people than the market did ten years ago.

The UK Gambling Industry’s Future

While the industry has been growing, it’s also faced increasing concern from industry experts and the general public around problem gambling, a concern which is starting to be reflected in gambling laws. Furthermore, the influence of tech developments like AI will likely impact the industry in many ways.

Changing Online Gambling Regulations

In September 2024, new restrictions on online slot game wagering will come into effect. For those under 25, the maximum wager they’ll be able to make is £2 per spin; for those 25 and older, the maximum will be £5. The intention is to reduce problem gambling associated with the addictive nature of slot games.

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Stricter Ad Regulations

The increase in gambling ads since the Gambling Act came into effect has been criticised for its harmful effects, with Dr Matt Gaskell of the NHS Northern Gambling Service stating, “The evidence is clear that gambling advertising drives consumption, which increases harm.”

While the ads themselves do have some restrictions through the Advertising Standards Authority (ASA), such as limiting an ad’s appeal to those under 18 years old and prohibiting the promotion of anti-social or harmful gambling behaviour, many have felt they aren’t enough.

Adding to these concerns is the tightening of ad regulations by other countries like Italy, Germany, and the Netherlands. Some of these countries have clamped down on gambling ads by restricting marketing tactics such as athlete or celebrity endorsements, while others have eliminated gambling ads altogether. The regulations around gambling ads in the UK have become a hotly debated issue and will likely lead to significant changes to the nation’s gambling advertisements.

AI Integrations

The development of AI has the potential to significantly influence the gambling industry, though it may be too early to know how AI will impact it in the long term. AI will undoubtedly enhance the gameplay experience, which has raised concerns about increasing problem gambling. However, integrating AI may also help curb problem gambling by alerting players and online platforms of potentially harmful gambling behaviour and taking action by temporarily restricting access to games.

Conclusion

In the last ten years, the UK gambling market has exploded in profitability and gambling options. It has benefited from the regulation changes of the Gambling Act of 2005, the rise of online gambling, and the increase of gambling options both online and at physical locations. All of this has added up to a multi-billion-dollar industry.

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However, concerns about public health have grown in relation to gambling, and it’s more than likely that the UK will see a tightening of regulations in the years to come and a focus on gambler health.

International Game Technology PLC (IGT) announced that it has won a competitive bidding process to provide the Ohio Lottery Commission’s video lottery terminal (VLT) central monitoring system, with a contract effective May 31, 2024 through June 30, 2033. The agreement includes an option for Ohio to renew the contract for up to two additional one-year terms.

Under the terms of the agreement, IGT will provide its advanced Intelligen central monitoring system hardware and software, with continual monitoring and support for more than 10,000 video lottery terminal machines distributed throughout seven racinos across Ohio: Belterra Park Cincinnati, Eldorado Scioto Downs, Jack Thistledown Racino, Hollywood Gaming Dayton Raceway, Hollywood Gaming Mahoning Valley Race Course, MGM Northfield Park, and Miami Valley Gaming.

“We look forward to providing IGT’s leading VLT products and solutions to the Ohio Lottery Commission. Winning this highly competitive RFP process is a testament to IGT’s significant innovation, dedication to central monitoring systems, and the great team of professionals that continue to propel our success,” said Nick Khin, IGT Chief Operating Officer, Gaming.