BGC Releases New VIP Reward Program Standards with UKGC
The Betting and Gaming Council and the UK Gambling Commission have issued a revised code of ethics for VIP Reward Programs in reform of the gaming industry in the UK.
BGC And UKGC Announce A Code Of Ethics For VIP Services
The Betting and Gaming Council (BGC) has partnered with the UK Gambling Commission (UKGC) on what constitutes a zero-tolerance approach to the handling of VIP accounts by gambling operators.
In an official report entitled "The Gaming Industry's Code of Conduct for High Value Customer VIP Reward Programs", the BGC and UKGC detail all the measures introduced by operators as a counterweight to unsafe VIP activities, including limits on entry for those under the age of 25, additional spending reviews, improved due diligence analysis and expanded transparency the notion of putting account and VIP managers into compliance is not new, with the UKGC modifying regulations to increase the possibility of licensing suspensions of persons employed in the sector in the event of a direct breach of regulatory norms.
The phrase VIP incentive services applies to what was traditionally referred to as VIP systems, accounting for the majority earnings. Meanwhile, gaming firms have sought to diversify away from the VIP market, mindful of the possible regulatory changes and disadvantages of VIP players.
Laying The Ground Work: How Do The Code Pick VIP Customers?
The central concepts of managing VIP Reward Programs work, as laid out in the document, are based on three key verticals.
First, any customer who wants to enter a VIP Reward Program or who wants to be included in such a program must undergo a stringent screening phase or Know Your Customer (KYC) process.
Customers can also be screened ongoingly. As per the law, all such initiatives should have a consistent control, arrangement, duty and transparency of the senior management.
Thirdly, a major step is to have consistent and effective safe policies in place to deter possible gambling-related damage as well as to simply and unambiguously disclose those potential harms to consumers.
When Are Companies Going To Change Their Commitments?
Operators will have to abide by clear procedural amendments specified in the code's "Operator Key Commitments." Each organization implementing a VIP Reward Program would have to nominate a high-ranking executive who will be directly responsible for managing VIP Reward Programs and clients.
Companies will no longer be allowed to accept VIP clients who are below 25 years of age. Rolling anyone into a VIP platform would not be feasible without carrying out a comprehensive review.
Continuous supervision would be part of the procedure and the code makes it abundantly clear that economic interests cannot overcome concerns of health.
Realization Of The Code
To aid with the successful application of the code, the BGC and UKGC have provided a list of DO's and DON'T's to help operators incorporate the required changes. The first and most significant is for operators to develop consistent and straightforward procedures so regulators may track in an unclear manner.
The detailed evaluation of the VIP Reward Program Assesment, as well as the aforementioned continuing audits and exceptional reviews will take place. Operators would also have to make sure their associate members fully follow all the provisions outlined in the law.
Another important thing for operators is to guarantee that they don't push their workers to run VIP Reward Programs by giving them a payout to draw more clients and egg them to buy more.
According to the official report the UK gaming commission may enforce the code by the end of 2020. Meanwhile, UK Prime Minister Boris Johnson, along with his advisers, wants to oversee a gaming reform.
Mr. Johnson is not commonly regarded as business mate. The BGC has already given a stern reprimand as to what the possible effects of enforcing overbearing constraints on COVID-19 could entail for the industry.
