Gov. Issues Advice for no-Brexit Deal in Gambling Industry

• UK government issues eight-point help list for gambling industry
• The measures are to be used in the event of a no-deal Brexit
• Main issue lies with freedom of movement of people

What would a no-deal Brexit mean for gambling? According to the government, the main issue is to ensure that people are not left stranded abroad over lack of proper documents.

No-Deal Brexit in the Gambling Industry

With British Prime Minister Boris Johnson proving ever more recalcitrant in the face of an unyielding Brussels, the UK government has issued an eight-point list designed to help employees working in the iGaming industry prepare for a no-deal Brexit.

The country is moving towards a hard exit from the European Union on October 31, with the Prime Minister signaling his determination not to negotiate anything, but just pull the UK out of the political union.

Responding to fears within the industry, the government has advised casino and gambling staff to seek and obtain a work permit and/or a visa in the country they currently reside in, alluding mostly to Malta and Gibraltar – two of Europe’s hottest iGaming hubs.

Furthermore, staff members will need to begin familiarizing themselves with the EU Settlement Scheme, as this might affect whether a person is allowed to stay, live and work in the United Kingdom, assuming there are not British nationals.

In the event that the United Kingdom leaves the EU without reaching an agreement specific to the freedom of movement of people, employees may remain stranded in places like Gibraltar. All employees are advised to have the right documents before planning on overseas trips.

Changing the Game for Operators

As a result of the change, operators will have to comply with more data protection laws, including EU and European Economic Area (EEA) measures, plus whatever the UK government has in store outside that framework. Some conflicts may arise as well.

Yet, the government reassures that most data protection measures for SMEs will remain fairly unchanged even if the UK left the union without a deal. GDPR will be upheld, government officials have reassured as the measure would become part of the official UK law.

Accountancy would be a far more challenging issue, though, all companies would need to prepare IAS for the entire accounting period of operation on Day 1 after a no-deal Brexit. Things get even more challenging when it comes to UK issuers of shares and debt securities.

Companies and individuals would be allowed to trade in the EEA, without having to comply with the Audit Directive, although the measure would apply to company that have their headquarters in the United Kingdom.

Far more importantly is how digital business is going to operate. The government has advised online casinos that have markets in Europe to appoint local representatives to ensure that online protection standards are up to the required standards.

Yet, this shouldn’t affect online casinos right away as even now, all operators have to meet industry-wide and European standards. What’s more pressing might be contracts that need re-drafting and that allow UK-based casinos and gaming companies to operate in other Member States.

Another small point of concern is whether UK companies would be able to import supplies and hardware from the EU. The government has cautioned casinos to make sure they are familiar with the rules for import in the event of a no-deal Brexit.