In August, UK Prime Minister Andy Burnham sparked backlash from the gambling sector with a social media post where he lumped "betting shops" together with "vape shops" in a discussion about "dodgy businesses." This viewpoint reflects a perception among the public that is not uncommon, with many agreeing with Burnham's negative characterization of the gambling industry.
Simon Westbury, a strategic advisor to 1xBet and the newly appointed director of 1xCare, offers his insights on this criticism. He describes it as a manifestation of the industry losing its "social licence," meaning its legitimacy to operate within society. According to Westbury, it underscores a trend where facts are overlooked in favor of a compelling narrative. "It really comes down to perception," he says. "When a national leader labels it as inherently bad, that resonates with the public, even if the statement lacks evidence."
While 1xBet does not function within the UK market, Westbury draws from his extensive experience in the industry, spanning 18 years in leadership roles at BetSoft and Digitain, among others, to address the challenge of improving the industry's image.
Despite claims that they are regulated, Westbury acknowledges a significant decline in betting shops on UK high streets, which contradicts the view of rampant expansion propagated by figures like Burnham. The stigma surrounding the industry is broad, with companies like 1xBet facing heightened scrutiny. He critiques the industry's defensive posture, noting that simply claiming regulation does not alleviate public concerns or alter the polarized discussions surrounding gambling.
Westbury states that there has been a troubling emphasis on immediate gains and exploiting loopholes which tarnishes the industry's reputation. He acknowledges the growing offshore market, suggesting that while everyone believes regulation is essential, its effectiveness is questioned if unregulated competitors are thriving.
The concept of a social licence, which refers to community acceptance rather than formal regulation, plays a critical role in the gambling sector's credibility. "Every industry functions within the limits of its social licence," he claims, reinforcing the need for the gambling sector to prioritize player welfare and engage more positively with the public.
Westbury highlights that the industry's focus on short-term incentives such as aggressive welcome bonuses has drawn criticism from anti-gambling advocates. He emphasizes the need for a cultural shift toward long-term trust-building with regulators and the public.
Acknowledging the political and public backlash against gambling, including stringent advertising restrictions in countries like Brazil and various European nations, he notes the polarized research environment regarding gambling.
He raises concerns over a research finding that indicated 55% of operators prioritized compliance over player protection, calling this trend alarming. "It’s about compliance to maintain licenses, but we need a shift towards embedding player protection from the start of product development," he argues, criticizing the tendency for regulators to focus on performative compliance rather than meaningful enforcement.
With reference to 1xBet’s recent expansion into regulated markets, Westbury questions the effectiveness of regulators when unregulated markets are flourishing. "If regulations are working, why is the offshore market still growing? There should be a key performance indicator reflecting this," he states, further criticizing the perception from some regulators that gambling is inherently negative.
"Gambling has existed longer than money itself – prohibitions rarely succeed," he states, advocating for a regulatory framework that is not merely reactive but proactive in addressing the complexities of gambling behavior.
Looking ahead, Westbury envisions a significant need for commitments from all industry stakeholders, suggesting collaboration rather than the current adversarial dynamics. He emphasizes the importance of an open dialogue to create a framework that benefits players.
1xCare aims to play a pivotal role in this landscape, established to elevate responsible gambling and player protection. With an independent advisory board that includes notable figures from gambling law and industry management, 1xCare aims to separate its mission from 1xBet, focusing on broader industry solutions rather than specific company issues.
One of the initial projects involved providing media training for grassroots football clubs connected to 1xBet. Westbury highlights the importance of leveraging relationships within the sports community to promote responsible gambling initiatives effectively. He expresses optimism about 1xCare's future projects and the accountability that will come with published financial disclosures.
In his view, it’s critical to find a balance that fosters collaboration across the industry, with a broader intent to expand this dialogue to society at large. "We are all part of one ecosystem," he concludes, stressing the need for a united front to address the challenges ahead.
