Gambling commissions such as the one in the UK are authoritative regulatory bodies, but they don’t govern Northern Ireland. This territory operates under a single law that dates back to before the 1990s – and casino games, betting, and lottery are all included in it. However, certain online casino Ireland operators are taking advantage of this regulatory flexibility. Due to this, the number of casino sites has grown rapidly in the territory.
Changes in the Irish Law and Casino Culture
Nelson McCausland, an ex-minister, took a strongly opposed stance against the legalization of gambling a few years ago. His position is that he would never approve of the construction of a casino in Belfast. But destiny had other plans in store for all the gambling fans of Ireland. First Minister Arlene Foster and her deputy, Michelle O’Neill, hold more pro-business positions in the industry.
A recent poll conducted by CARE NI revealed that a reform of the law is continuing to be widely supported. There are statistics showing that 60% of the public wants a mandatory levy on gambling companies. Furthermore, 90% agree that online stakes and prizes should be regulated. Exciting times are on the horizon for Northern Irish punters and bookies alike.
How Is Gambling Defined by Irish Law?
Bets, games, and lotteries are all regulated by Irish law. Section 1 of the Betting Act simply states that the word bet includes a wager and that words of like meaning must be construed accordingly. Case law has established this definition’s scope relatively narrowly. In the course of business, a bookmaker accepts bets, sets odds, and pays out winnings. A game is defined as being played for money that is staked by players.
As part of playing a game, a stake can be any payment for the right to participate or any other payment required but does not include payments made only for facilities utilized during the game. As defined in the Gaming and Lotteries Act, a lottery includes any contest for money or money’s worth, which includes estimates or guesses about events yet to occur or events to come, or the results of which are not yet known or widely known.
Gambling Regulation: Legislative Framework
Various forms of gambling have been regulated in Ireland for centuries. It is no secret that Ireland has a rich cultural history of associated off-course and on-course betting associated with horseracing. There have been a variety of statutes and common law regulations that govern bookmakers, bookmaker premises, and wagering since the 18th century. These mainly refer to these categories:
- Betting
- Gaming
- Lottery
- Online gambling
While Ireland has never had a casino industry, a few private members’ clubs started offering limited gaming facilities in the early 2000s. Irish sweepstakes have existed since the early 20th century. Moreover, the state regulates prize bonds, as well as the national lottery, which was introduced in 1987. Also, the 2014 national lottery license will remain active for 20 years.
Betting
Generally, betting is regulated by the Betting Act 1931. As part of replacing the Betting Act 1926, the Betting Act was introduced to regulate the betting industry and relax certain prohibitions contained from 1853. The Betting Act 2015, which was passed in 2015, was the most important change to the Betting Act, as it regulated online bookmakers and gambling intermediaries for the first time.
Online bookmakers or betting intermediaries accepting bets from customers residing in Ireland are subject to licensing requirements under the Betting Act. Pari-mutuel is governed most notably by the Totalisator Act 1929 and the Irish Tote currently functions as a monopoly under state control.
Gaming and Lotteries
The Gaming and Lotteries Act 1956, as amended defines the rules that apply to gaming and lotteries. Recently, the Gaming and Lotteries Act was further amended by the Gaming and Lotteries Act 2019, which became effective on 1 December 2020. Despite vast improvements over previous legislation, these amendments are widely considered to be an ad hoc reform measure, pending a more comprehensive rewrite of gambling laws.
As part of the 2019 Act, gaming was unified into licensing regimes, so that any gaming that was not subject to a permit or licence would be illegal. Additionally, the 2019 Act has standardized the licensing and permit regime for lotteries.
There used to be a limited exemption for private lotteries. In the 2019 Act, the exemption was removed, so these lotteries can only be operated through a license or permit. In addition to offering new exemptions, there have been enacted new exemptions for small lotteries conducted for charitable/philanthropic purposes and for brands and marketing agencies conducting prize draws as part of marketing campaigns. In the case of such lotteries, licensing or permitting is not required if specific conditions are met.
Online Gambling
Online gaming and lotteries are technically lawful under the Gaming and Lotteries Act, but the legislation was not intended for online activities. Online gambling should be fully regulated and taxed once the new legislation is passed.
An Irish government tender process was held in 2013 to award a new 20-year licence to operate the National Lottery. It was a consortium led by Camelot that won the process, Premier Lotteries Limited. On February 14, 2014, the agreement was signed. After the National Lottery Act 1986 was repealed and replaced, the National Lottery Act 2013 was enacted.
The most noteworthy change in the 2013 National Lottery Act was the establishment of the National Lottery Regulator, an independent office that ensures that the lottery is run with all due propriety, protecting participants and promoting the long-term sustainability of the lottery.
Conclusion
The gaming industry is large and constantly changing. An effective, modern, and sensible licensing and regulatory approach is necessary. Even if nothing is certain, Ireland might be looking at what we can call a comprehensive reform of gambling law. Irish gambling laws were changed in 2019 following the recommendation of a working group set up to examine previous legislation. Reforms were also proposed three years ago.
However, the topic has been on the agenda for a long time.