The gambling industry has started to look a little bleak in the United Kingdom over the past few years and it would appear the trend will continue to happen in the near future.
Indeed, a number of top iGaming operators such as Betsson have pulled out of the UK market in recent years because of a number of actions the UK government has decided to take against firms that operate within this sphere of business.
Although there are no specific reasons to have been identified, there are certainly a number of different ideas that can be floated about as to why companies such as Betsson have decided to pull their operations from a rather big market.
Tougher restrictions being brought into the UK market
The first of the major reasons as to why iGaming operators may have started to leave the UK and continue to do so is the country’s government’s decision to try and crack down on operators and place them under tighter controls.
Indeed, the government have decided that they need to take control and try and limit/restrict operations as much as possible and this has had a huge effect on the global organisations. Indeed, these rules have hit Betsson hugely as this affect 9 of their brands.
Gamblers are also affected as they will find it even more difficult to experience any forms of enjoyment from the gambling industry because of the restrictions being implemented.
The biggest change, though, to UK legislation is the introduction of a new group in the House of Lords that is dedicated with trying to crack down on the gambling industry, which is probably why the trend of many gambling operators leaving the UK has continued to happen.
Brexit is still an issue
Naturally, there are likely to be other reasons that have played a role in why gambling operators continue to leave the UK in their numbers and one of them will undoubtedly be because of the unclear political outlook.
Everyone in the UK will be aware of Brexit and the country’s decision to leave the European Union, however it has left a huge cloud of uncertainty as no-one appears to know what the future will hold.
Gambling operators are also in the same boat and many appear to be ready to jump ship as there will be concerns on the tax rates that could be introduced once everything comes into play. Of course, gambling operators have famously gone to locations where they have received tax breaks and remaining in a location where they are likely to go up is hardly going to sit well with them.
Bad economic outlook in the UK
In addition to the uncertainty in regards to the political outlook, iGaming operators such as Betsson and Dunder may have decided to pull out of the UK market because it is not as lucrative as it once was and is not worth continuing to pursue.
The global economic climate has turned for the worse in the country because of the Brexit factor, whilst current things in the world have seen the economy of the country collapse to a low as well. Bettors do not necessarily have the disposable income they once had, meaning they are unable to bet as much as they used to or at a more infrequent rate.
Gaming Innovation Group (GIG) were just another operator that decided to leave the UK market because of the poor conditions, as they found it difficult to overcome certain obstacles in their quest to become a key player in the market and expand their presence in Europe.
Indeed, the continued restrictions being imposed by UK legislators did not help, which is perhaps why they decided to leave in 2018.