The government has announced a significant shift in gambling regulations by allowing debit card payments on slot machines. This move aims to enable pubs, casinos, and slot venues to remain competitive in an increasingly cashless society. However, the use of credit cards on these machines will continue to be prohibited. Additionally, a cap will be imposed on the amount that can be spent during a single gambling session, with alerts sent to staff once limits are reached.
The inclusion of payment authorization systems such as Apple Pay will be permitted, although contactless payments will generally remain banned. This measure is designed to provide an additional layer of security and ensure that payments are deliberate and authenticated. The Betting and Gaming Council, an industry advocacy group, has expressed its support for these changes, urging the government to provide a clear timeline for the implementation of the relevant legislation.
Despite industry support, there has been opposition from advocacy groups such as Gambling with Lives, a charity that supports families affected by gambling-related suicides. The charity argues that card payments could potentially make gambling machines more accessible and addictive. Co-founder Liz Ritchie stated, “Anything that increases access to highly addictive machines cannot be seen as a positive. We instead need to look at how we make these machines safer by reducing deposit limits and slowing spin speeds.”
The proposed changes are part of a broader strategy to align traditional gambling venues with the digital online betting environment. Currently, cashless gambling on gaming machines is limited to indirect payments through mobile apps or the purchase of special tickets for the machines. In contrast, direct debit card payments have been banned since 2007 to introduce natural pauses in gameplay. However, the Department for Digital, Culture, Media and Sport argues that the decline in cash usage could render traditional slot machines obsolete, especially as slot-style games remain easily accessible online.
The department also highlights the potential economic benefits of the new regulations. By allowing debit card payments, the government hopes to support brick-and-mortar arcades, which provide employment and have suffered due to the pandemic. Moreover, the shift towards card payments could help stabilize the income of pubs, which have seen a decline in machine revenue as customers increasingly pay for food and drinks by card.
Under the new proposals, debit card payments will require authentication through methods such as chip and PIN or biometric verification, similar to Apple Pay. There will be a £20 limit on the amount a person can deposit on a machine in one go, reduced to £2 for low-stake machines such as fruit machines, penny falls, and crane grabs. Players will have to wait at least 30 seconds after a payment is approved before depositing more money, a measure intended to mimic the time taken to withdraw cash from an ATM. Additionally, mandatory session limits will be introduced, triggering a 30-second cooling-off period once reached.
Despite some objections from the sector, staff in pubs will be alerted when mandatory limits are hit, along with voluntary limits set by the players themselves. These measures aim to promote responsible gambling and ensure that players are aware of their spending. The changes will be enacted through a type of legislation that automatically comes into force unless objected to by the House of Commons or Lords within a 40-day window.
The final regulations will be drafted after the Gambling Commission conducts a separate consultation, set to begin in the coming weeks and lasting three months. This process will gather input from various stakeholders to ensure the new rules effectively balance the need for industry competitiveness with the protection of vulnerable individuals.
