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Online Casinos Switch Licensing

With the release of an exclusive “white list,” the UK government is controlling the jurisdictions that are allowed to have licensed online casinos advertising to the UK market. The ‘white list” is a project begun by the Department of Culture, Sports, and Media to supplement the new advertising regulations in the country. In addition to protecting UK internet gamblers, the Secretary of Culture, Sports, and Media, hopes that by carefully choosing jurisdictions that have a tough regulatory regime, and excluding others that minimum regulations across the online casino industry will raise.

But for the three countries that submitted applications to join the “white list,” the UK government decided their regulations were not strict enough and therefore online casinos licensed in those jurisdictions will not have access to UK advertising on the television, radio, magazines, and more. And unfortunately for the jurisdictions that weren’t approved, online casinos that are based out of these jurisdictions will likely move their base operations and licensing to places like Isle of Mann, and Gibraltar – both countries are on the UK’s “white list.”

The Netherlands Antilles, First Alexander, and Tasmania were all rejected based on current jurisdictional regulations. Of the three, the Netherlands responded immediately with a quick turnaround time on new legislation and regulations that will go into effect by December 2007 if all goes as planned. But even the quick reaction time from the government might not save the Netherlands from loosing online casinos currently licensed there and operating in the UK market.

The head of e-gaming licensing on the Isle of Man, Garth Kimber, has already noticed and increase in enquires from online casinos located in jurisdictions that will not be a part of the “white list” by September 1, 2007. Already the reports are coming in that major online casinos and betting companies licensed in Curacao (in the Netherlands Antilles jurisdiction) are moving operations to Gibraltar. Among those moving base operations and licensing are both William Hill and Betfred.