Entain commits to working with ACMA amid regulatory challenges

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Entain has committed to ‘working constructively’ with the Australian Communications and Media Authority (AMCA) after reports emerged over further regulatory challenges related to its Ladbrokes Australia brand.

The Sydney Morning Herald (SMH) reported yesterday (11 May) that Ladbrokes contacted a number of customers with dormant accounts, warning them that their remaining balance would be used for inactivity fees – charged at AU$5 per month if an account hasn’t been used to place a bet in over 18 months.

However, according to the SMH, ACMA has become concerned over the communications as Ladbrokes failed to inform its customers that they could close their accounts and have their funds returned when using Australia’s self-exclusion programme BetStop.

Although ACMA is yet to make a statement on any potential investigation, a spokesperson for Entain told iGaming Expert that it ‘takes its regulatory obligations seriously’ and is investigating the concerns raised.

The spokesperson added: “We are committed to working constructively with the ACMA and continuing to strengthen our compliance and safer gambling practices. Protecting customers and building long-term trust remains a priority for our business, alongside maintaining strong governance and regulatory standards.

“The purpose of contacting dormant customers is to notify them about inactive accounts and the options available to them, rather than charging ongoing fees and closing accounts without notice.”

Entain feels wrath of ACMA

Entain has come under fire in Australia, where it operates the Ladbrokes and Neds brands, after ACMA discovered over 500 breaches of the country’s national self-exclusion rules.

In particular, the regulator found that Entain had opened accounts and provided wagering to people registered with BetStop, opened new accounts for individuals registered with BetStop and failed to adequately promote the self-exclusion scheme in customer texts and emails.

ACMA member Carolyn Lidgerwood also noted in some instances that issues occurred when customers had multiple accounts across the two operator brands.

She said: “Entain’s systems did not adequately identify and link all wagering accounts held by those customers across its services, including one account that remained open for more than a year after the customer had self-excluded.”

Entain has accepted a court-enforceable undertaking and committed to an independent review of its compliance systems and processes. The company also emphasised that it engaged with ACMA throughout and worked in good faith to address issues.

Advertising debate heats up

In the backdrop of Entain’s challenges down under is the ongoing debate surrounding gambling reform following the recommendations made in a report written by the late MP Peta Murphy in 2023.

Last month, Australia’s Labor government outlined a series of changes to gambling advertising rules, which include a restriction on the number of gambling adverts that can be broadcast each day and a requirement to provide consumers the option to opt out of gambling advertising on social media.

However, opposition MPs have criticised Prime Minister Anthony Albanese for not committing to a complete advertising blackout or forming a national online gambling regulator, as recommended by the Murphy report.

Labor has also been slammed for the timing of the announcement of its official response to the report, which coincided with the unveiling of Australia’s budget, and came almost three years after the report was published.

Independent MP Monique Ryan described the move as ‘the height of political cynicism’ after the PM was ’dragged kicking and screaming to respond’. 

“The government must address the report’s unanimous recommendations for an effective national regulator and a full ban on gambling advertising, or it will be a betrayal of the trust of the millions of people who have waited far too long for this response,” she said on social media.

Prime Minister Albanese has argued that Labor’s proposals ‘get the balance right’ between protecting children and allowing adults to wager if they want to.

The recommendations made by the government are expected to come into effect from 1 January 2027.

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