The UK Gambling Commission (UKGC) has issued a £2 million fine (approximately $2.68 million) against Paddy Power Betfair after identifying significant shortcomings in the company’s handling of customers exhibiting potentially harmful gambling behavior.
The penalty applies to four Flutter-owned entities operating under the Paddy Power and Betfair brands — PPB Entertainment, PPB Counterparty Services, Betfair Casino, and TSE Malta — all of which will contribute to the settlement.
Regulator Cites Serious Social Responsibility Lapses
According to the UKGC, a compliance assessment conducted last year uncovered multiple failures in customer interaction procedures. The regulator said Paddy Power Betfair did not intervene quickly enough when bettors showed clear signs of risk, falling “well short” of required social responsibility standards.
John Pierce, the Commission’s director of enforcement, emphasized that the size of the settlement reflects the seriousness of the failings.
Pierce noted that while the operators cooperated fully with the investigation, such cooperation is merely the baseline expectation when significant deficiencies are uncovered. He stressed that operators must ensure their systems for detecting and addressing gambling-related harm are both effective and timely, warning against overreliance on automated tools and delayed human intervention.
What Sparked the Investigation?
The UKGC’s review was triggered by several cases involving irregular or high‑risk betting patterns. Among them:
- One customer wagered £86,000 (about $108,000) over 16 days, losing £6,000 (roughly $7,500).
Despite the rapid and substantial activity, the operator did not intervene until losses had already escalated. - In another instance, a bettor engaged in nearly eight hours of continuous play, placing more than 300 bets totaling £20,000 (around $25,000).
The operator again failed to act promptly.
These examples, the Commission said, demonstrated systemic weaknesses in the company’s approach to identifying and mitigating potential harm.
Flutter Responds
A spokesperson for Flutter, Paddy Power’s parent company, said the operator “takes its safer gambling responsibilities extremely seriously” and believes it is an industry leader in player protection. The spokesperson added that there was no evidence any customers involved in the UKGC review suffered harm, and highlighted the rollout of a new real‑time customer safety platform designed to strengthen monitoring and intervention processes.
