UK Gambling Industry Veers Towards M&As

peel-huntThe British gambling industry is putting its bets on the mergers and acquisitions table to wrench better profits in the future. A slew of large deals in 2015 include the Gala Coral and Ladbrokes tie up amounting to £2.3 billion, the merger of Paddy Power and Betfair amounting to £6 billion and the event of Bwin acquisition by GVC for about £1.1 billion. Nick Batram of Peel Hunt has opined that operators are searching ways to scale up for two principal reasons: to offset costs of technology, compliance and tax and also to find new avenues for growth in an increasingly competitive market.

Online growth

paddy powerThe majority of growth, which happened in the industry actually took place online. Consumers now prefer their smartphones as their medium to gamble, thereby hitting high street operators hard. The pain of latter is further compounded in the presence of a challenging regulatory environment. It is inclusive of the £50 maximum betting tariff every time on the gaming machines. People who wish to place more than £50 amount has had new restrictions to navigate.

Duties imposed on machine gaming are a high of 25 percent. Purchasing land centric assets were- and are- always expensive. These factors compelled Gala Coral to merge with Ladbrokes, creating the biggest bookmaker in the United Kingdom. The combined entity has approximately 4,000 betting shops scattered over British high streets. Predicted cost efficiency due to this deal is calculated to be £65 million.

Future is mobile

Paddy Power, the online betting shop, and a known high street gambling entity, published in its 2014 annual report the claim that about 90 percent of growth in the future will be in mobile space. The logic made it combine with Betfair, the website betting exchange, thereby making the new entity of the biggest in the world.

Online gaming software companies

Many players don’t realise that very few online casinos develop their own software.

The vast majority of casinos use the technology supplied by popular and established software companies to run their sites.

They also rely on these companies for a regular supply of new games.

      • microgaming logoMicrogaming was established in 1994 but flourished when they introduced their Viper software 11 years ago. They are leaders in the industry and supply software to hundreds of casinos. They also run the biggest poker and progressive jackpot networks in the world.


            • Playtech was founded in 1999 and it’s the world’s biggest publicly traded online gaming software supplier. They develop casino software and specialise in gaming systems.


                • Cryptologic was created in 1995 as a software development firm with a focus on encryption technologies. They subsequently made the move to online gaming where they’ve won several awards for their software.
                • realtime-gamingRealtime Gaming was established in 1998 and has built a reputation as atop online casino software company and Online Gambling Magazine regularly lists them in their top five. They offer a large selection of games and some of the world’s best casinos use their software.


Do online casinos cheat?

online-rouletteMany people insist that online casinos are rigged and while that’s certainly true of disreputable companies, it’s up to the player to choose a casino with a solid reputation. A quick online search will show you which casinos to steer clear of and it will give you important information like reviews which will help you to pick the right casino.

Big, trustworthy casino companies won’t cheat their players because their integrity is vital in this highly competitive online gaming market. Information is so freely available today that negative feedback will quickly turn away a casino’s potential customer and so they strive to maintain a reliable reputation.

Casinos are scrutinised by authorising bodies that ensure their practises are authentic and fair. They also have Random Number Generators that provide the results for all of their games. This information is analysed by independent auditing firms which prove that the outcomes are genuine and truly haphazard.

Furthermore, most casinos don’t resort to fraud because there’s some truth in the old adage that the house always wins. Online casinos make sufficient legitimate profit and so they don’t have to rely on illegal activities to make money.

Gambling stats in the UK

Guest post by Harry von Schlussel

uk-online-gamblingFor thousands of years humans have been betting on the outcomes of various games. Today the internet has made betting easy and accessible and for these reasons online gaming is one of the fastest growing categories in the gaming industry.

Britain has a large and established legal online gambling market and this means that it’s highly competitive, which is good news for customers. Gaming companies need to provide quality services and a safe and dependable environment to keep their clients happy and loyal.

These are some of the 2012 statistics for the UK’s online gaming industry:

  • The UK online gaming industry is worth about £2 billion
  • Online gambling constitutes 12% of the overall UK gambling market
  • Bingo grew by 105% and is worth 17% of Britain’s betting market
  • Poker increased by 8% and makes up 15% of the market
  • With 23% online casinos are the second biggest sector of the market and their value has increased 79% since 2008
  • 29% of users gamble with mobile devices
  • 14.3 million people have online gambling accounts
  • 73% of British adults have gambled within the previous year
  • More than 50% gamble on a monthly basis



The person at a gambling table who operates the game, controls the bets and collects and distributes the payouts is known as a croupier or dealer. are employed by the casino but rely on tips to subsidise their pay. Croupier comes from the French word “croupe” which meant “rump of a horse” and it signified the person who rode behind another on a horse. It came to mean a person who assists someone in performing a task. In casinos a croupier used to stand behind a gambler and manage their cash reserves.

Croupiers in the USA, Australia and Britain are not allowed to deal at casinos without a gambling license. This includes thorough background checks and investigations into their credit rankings. It can also include maths tests to check on their numerical aptitude. Croupier training varies according to countries but they will generally get their practice on simple table games before moving to casinocomplex games like craps. This is to gain experience without costing the casino money in errors. Part of the croupier’s responsibility is to watch players to ensure that the house rules are being adhered to and they need to regularly deal with problem customers.

Next generation gambling

Guest post by Connor Reeves

woman_live-dealer-blackjackAdvancements in technology continually enhance a player’s gaming experience and the latest developments are proving to be the most exciting. Many casinos now offer live games that happen in real time, using human dealers. Players use live streaming high definition video to see the ball spinning around a roulette wheel or to watch how cards are shuffled and dealt. All of this information is then interpreted by software which can be accessed by players anywhere in the world. Live Casino games provide a truly interactive encounter where the players can use the text chat function to communicate directly with the dealer. This is the closest experience that online players will have to playing in a land based casino.

The cost of running live games is greater than virtual games because of bigger technology and staff requirements. For this reason online casinos only offer a few popular games like roulette, blackjack, baccarat and poker. Live dealer games provide an enhanced gaming experience and they will become a more popular method of gambling as internet connection speeds improve and streaming video technology is perfected. Enjoy the novel experience of a Live Casino game without leaving the comfort of your own home!