Betfair operator Paddy Power Betfair (PPB) has accepted a £2 million settlement. This enforcement action goes to the heart of currently serious operational shortcomings that the Gambling Commission has itself found. Multiple companies licensed under the Paddy Power and Betfair brands—PPB Entertainment, PPB Counterparty Services, Betfair Casino, and TSE Malta—will collectively pay the civil monetary claim. This last payment is termed a “payment in lieu of a financial penalty.”
The Gambling Commission’s investigation revealed serious shortcomings in the company’s practices regarding customer safety. John Pierce, the commission’s director of enforcement, underscored the depth of these egregious shortcomings. He made the important observation that the size of any proposed settlement speaks to their seriousness. This is the second time in two years that Paddy Power Betfair has been on the receiving end of regulatory action.
This year, the company received a fine washout. It was fined £490,000 for sending promotional notifications to vulnerable customers who had registered to opt out of receiving these kinds of messages. In one standout example, one of its customers fully deposited £25,000 in just 25 days. In that period, they made more than 300 individual bets, laying out a staggering £20,000 in total. This second incident brought attention to a customer who went on an almost eight-hour long betting binge.
“Over-reliance on automation and failure to intervene when clear harm indicators are present exposes consumers to unnecessary risk,” said Mr. Pierce.
Even with these disturbing allegations, there is no indication that any players of the Gambling Commission’s reviewed operators were harmed. It is important to understand this difference.
A spokesperson for Flutter, which owns Paddy Power Betfair, stated, “Customer safety is our number one priority and there is no suggestion that any of the customers reviewed by the Gambling Commission experienced any harm.” They further added, “Flutter takes its safer gambling responsibilities incredibly seriously and we firmly believe that we lead the industry in player protection.”
These advancements demonstrate that gambling operators are still under intense scrutiny for their behavior and duty of care to players. As regulators push to hold the industry accountable, it’s clearer than ever that there is no exemption from putting customers first.