Operators Of White Label UK Gambling Sites Defended
White label gambling sites in the UK play an important role in how the country’s gambling sector works, according to an industry insider.
Key Facts:
- Issues with TGP Europe put white label sites in the spotlight
- Company was given a £3.3 million penalty by the Gambling Commission and opted to leave the UK market
- A representative of Grace Media defended a white label model
- He says white-label arrangements are a vital part of the UK’s gambling ecosystem, when they are run responsibly
Grace Media’s head of revenue and partnerships, Chris Prentice, has defended the model following a raft of negative headlines.
Premier League clubs including Newcastle United and AFC Bournemouth were recently warned by the Gambling Commission (UKGC) over links to TGP Europe.
UKGC fined TGP Europe £3.3 million over a wide range of failings, and the company, which ran a series of UK white label gambling sites, then opted to exit the country’s market.
However, Grace Media’s Prentice argues that problems at TGP Europe do not necessarily represent how UK white label operators work.
Similar Enforcement Action
Grace Media is a white-label service and part of the Betable Group family.
The company’s head of revenue and partnerships accepts that UKGC’s actions against TGP Europe were “justified and necessary”.
Prentice added in an article for Gambling News: “But while the headlines have been quick to link its departure from the UK to a broader criticism of white-label licensing, I’d argue that’s an oversimplification.”
“The truth is that the system worked exactly as intended. A licence holder failed to meet its regulatory obligations and was penalised accordingly. That isn’t an argument against white-labels. It’s an argument for continued accountability.”
Prentice went on to note that “similar enforcement action” has been taken against various UK betting companies that are not white label operators.
Vital Part Of Ecosystem
Prentice believes white label operators are a “vital part” of how the UK’s gambling market operates.
He said: “They allow new, disruptive brands to enter the market quickly and compliantly by partnering with experienced license holders who understand the regulatory terrain.”
The Grace Media executive also pointed out that some of the top betting brands in the UK started out by taking this route and may otherwise have avoided the country’s market.
Prentice said white-label partnerships are not “shortcuts”, but instead should be viewed as “strategic partnerships that bring agility, creativity, and fresh competition to the UK’s online gambling industry.
He said: “They enable marketing-led or product-focused startups to focus on what they do best, while leaning on an established partner to handle the crucial compliance infrastructure.”
TGP Europe is not the only big betting company to have exited the UK market this year. Crypto casino Stake also backed away from the UK, despite being Everton’s shirt sponsor, after a raft of negative media headlines over its controversial social media strategy.
