The increasing popularity of online bingo in the UK has been one of the online gaming sector’s most clear recent success stories. The rise in popularity has been driven by a number of factors, including high profile advertising campaigns featuring Sharon Osbourne and Jordan, the willingness of the media and established brands to participate in co-branded bingo ventures, the smoking ban in bricks and mortar bingo halls and the attractiveness of being able to play an already popular UK game from home, at any time of the day.
The legal regulation of online bingo in the UK has been relaxed with the full implementation of the Gambling Act 2005 in September 2007. However, its perception as a ‘soft’ gaming offering, even prior to this, saw it obtain favourable treatment under UK gambling law in the carve outs for bingo advertising. It is perhaps the advantage afforded by this historic leniency that has spurred its rapid recent growth.
Definition of bingo
There is no general definition of ‘bingo’ under current English law, except for the general statement in s353(1) of the Gambling Act that ‘bingo’ means ‘any version of that game, irrespective of by what name it is described’. However, it is accepted that ‘bingo’ is a sub-set of ‘gaming’ and is treated as such in the UK.
Practically speaking, the primary bingo game recognised in the UK is a form of peer to peer numbers game, which requires participants to mark or ‘daub’ their allocated numbers cards insofar as they match numbers drawn at random. This practical definition of UK bingo is important in determining which foreign-licensed ‘number games’ can be legally advertised in the UK, as discussed in detail below.
Favourable regulation
Given that the pre-Gambling Act regulation of bingo is now ‘old law’, I do not intend to go into detail on it. However, it is worth noting the relaxed treatment of bingo in this period as it does display the more tolerant attitude that regulators have had towards the game when compared, for example, to online ‘hard’ casino games such as roulette.
As with all other online gaming, online bingo was not licensable in the UK prior to September 2007. However, it was always permissible for UK customers to access such services via the internet. Therefore, the pertinent restrictions applying to the supply of online bingo from offshore were those relating to advertising.
The Gambling Commission widely interpreted the restrictions on advertising of remote gaming, implied under s42(1)(c) of the (pre-internet) Gaming Act 1968, to preclude all advertising which made reference to winnings, bonuses, jackpots and stakes and also any attempts to invite the public to participate in gaming (e.g. “play poker here”).
However, section 42(2)(f) of the 1968 Act was amended however to relax the advertising restrictions in relation to bingo, such that subsection (1) did not apply to any gaming advertisement “in the form of playing bingo”. As such, the advertising of remote bingo was permitted to carry references to inducements that were otherwise prohibited when advertising remote gaming.
In addition, the advertising of bingo on television was permitted from 1997 following a change in UK legislation and relaxation of ITC rules, and this position did not change when Ofcom took over as the television regulator. Whilst the Ofcom rules did change in September 2007 to allow the advertising on television of other gambling products, the advantage afforded to online bingo in establishing a market via television, before any other form of online gaming was permitted to use this medium, has been significant.
Approval of the ‘soft’ gaming market
Bingo has long benefited from being viewed by society as ‘soft’ gaming. It is seen as a safe pastime played by people who would not necessarily be the expected demographic to visit a casino or betting shop. As such, customers that would not necessarily regard themselves as ‘gamblers’ are unlikely to feel any unease about visiting an online bingo site
This view of bingo as ‘soft’ gaming is further reinforced by the large operators’ advertising campaigns which focus on bingo as a fun pastime and are increasingly trying to appeal to a younger audience. This can be seen, for example, in the use celebrity endorsements which appeal to young women.
The smoking ban
A further factor in the growing popularity of online bingo may be linked to the UK smoking ban, which was implemented in England and Wales on 1 July 2007. Some estimates predict that internet ‘socialising’ continues its exponential growth and the ban will lead to an 8% drop in business for bingo halls over the next year, as people switch to playing on the internet at home where they can smoke.
Offering online bingo in the UK from 1 September 2007
The Gambling Act replaced all existing statutes and regulations relating to gambling. A principal issue for online bingo is the fact that the Gambling Act expressly provides for the possibility to obtain a licence in the UK for online bingo. However, as was the case prior to the Act, there are no restrictions on UK players playing on offshore-licensed bingo sites. The key issue, therefore, is the advertising concessions granted under the new Act.
Advertising of bingo following the implementation of the Gambling Act
As detailed above, bingo already enjoyed a relatively relaxed advertising regime and this has continued following the implementation of the Gaming Act (albeit that the relaxations now also extend to other gambling offerings).
From 1 September 2007, it has been an offence to advertise ‘foreign gambling’ (which includes remote gambling), where none of the arrangements for which are subject to the law of an EEA state or a UK ‘whitested’ state (currently Aldemay, the Isle of Man and Tasmania).
Therefore, whilst an online bingo operator licensed in, for example, Malta, can advertise its website in the UK, an operator in Curacao or Kahnawake cannot.
Operators who are permitted to advertise in the UK must ensure all non remote advertising complies with:
(a) the Code of Practice issued by the Committee of Advertising Practice (CAP) for non-broadcast material;
(b) the Code of Practice issued the Broadcast Committee of Advertising Practice (BCAP) for broadcast material; and
(c) the Code of Practice on the Social Responsibility in Advertising (which is still in the consultation phase and which is considering the type of information that should be made available in advertisements across all media such as signposting to a new public awareness website on gambling and details of an operator’s licensed status,
These Codes are drafted to reflect the three main objectives of the 2005 Act, namely that gambling should be kept crime free, it should be fair and open and that children and the vulnerable should be protected. The Codes state that gambling advertisements must avoid:
(d) any presentation that gambling can solve financial problems, or that it is some form of rites of passage, linked to “toughness” or improves sexual prowess;
(e) any suggestion that gambling is preferable as a solitary activity;
(f) any exploitation of children and be accessible primarily by an under 18’s market (with some carve out for 16-18 year age group such as lotteries, football pools etc) through the selection of media utilised;
(g) any exploitation of cultural beliefs about gambling; and
(h) any encouragement of anti-social behaviour in connection with gambling or any reckless attitude that could result in problem gambling.
The Codes also state, for example, that no child may be included in a gambling advertisement and that no one who is, or seems to be under 25 years old may be featured gambling or playing a significant role. Advertisements for gambling must not be of particular appeal to children or young persons. As well as dealing with the content of broadcast advertisements the new rules also police when gambling advertisements may be aired on TV or radio. For example, the scheduling of most gambling adverts in a slot adjacent to children’s programming or programmes directed at under 18s will be prohibited.
The issues with offering online bingo licensed offshore
As noted above, there are two licensing methods by which online bingo can be marketed in the UK; the first is through a UK licence, the second is through an offshore licence from a jurisdiction in which advertising into the UK is permitted. However, bingo contains a number of elements within the gameplay similar to that of a lottery. There are very strict rules prohibiting the advertising of foreign lotteries in the UK and, if an offshore operator wishes to benefit from the advertising concessions for bingo in the UK, it must ensure that its offshore licensed bingo would be deemed bingo were it licensed in the UK
In short, merely calling a game bingo may not guarantee that the UK authorities will regard it in the same way. Therefore, if an operator wishes to benefit from the UK consumer appetite for online bingo it may be permitted to do so, but there are regulatory hurdles to consider before it can do so.
A final but fundamental point is that it remains entirely legal for a UK customer to access and participate in a bingo website anywhere in the world. The only potentially unlawful issue attached to such participation may be how the website attracted that player in the first place; an issue for the operator, not the player.
Tom Lippiett is a solicitor in the betting and gaming group at Berwin Leighton Paisner LLP, specialising in UK and international aspects of the law on gambling and skill gaming. Headed by Hilary Stewart-Jones and David Collins, the group offers a full service regulatory, commercial and corporate service to clients and has been ranked number one in the betting and gaming sector by the Legal 500 for the last six years.
The increasing popularity of online bingo in the 
