Bally’s Intralot CEO Robeson Reeves has claimed he is “not concerned” regarding the potential implementation of controversial financial risk assessments (FRAs) on gamblers in the UK.
In comments that appear at odds to most operators in the market, Reeves suggested his company’s existing recreational user base was sustainable and that it did not rely on big spenders.
Speaking on Bally’s Intralot’s Q1 earnings call on Wednesday, 27 May, Reeves did however note the measure could, more broadly, cause leakage to the black market but that the Jackpotjoy and Virgin Games parent would be insulated from any impact.
He said: “I don’t see [affordability measures] as a significant risk to us because our players are much more stable and consistent.
“How they implement these could create trauma and friction for genuine, good customers. I think that the Gambling Commission [and] the Department for Culture, Media and Sport will want to make sure that customers stay within the regulated market.
“These are the sort of frictions which can create displacement and make for unsafe gambling for customers. I’m not concerned about affordability, especially with our player base.
“Our entire platform has been built on this basis anyway, because if people can afford to spend, then they can afford to spend forever.”
The Gambling Commission (GC) board met on 21 May to decide whether to give FRAs the green light after considering the evidence from the regulator’s pilot scheme.
However, the GC confirmed the board was not able to make a final decision on the day and instead will “communicate further in due course”.
Bookmakers, horseracing stakeholders and the Betting and Gaming Council have all heavily criticised and argued against the that potential implementation of the measures.
Concerns have been raised over the impact on horseracing, as well as the “frictionless” aspect of the checks.
Pilot studies undertaken by the GC showed that 97% of checks in a closed loop system were frictionless, and that only one out of every 1,000 customers would face a non-frictionless assessment.
Away from affordability checks, Reeves said that Bally’s Intralot had seen positive trends from its Kambi-powered sports betting offering, which initially in summer 2024.
The CEO said: “We have definitely seen a good influx of sports betting customers via acquisition driven by Bally Bet in the UK.
“For us, sports betting has definitely been a funnel to drive customers into our offering; they end up drifting to igaming.”
Finally, as the remote gaming duty hike from 21% to 40% kicked in on 1 April, Reeves added that Bally’s Intralot was emerging as a consolidator.
The business remains locked in talks with debt-burdened evoke over a 50p-per-share deal which would value the William Hill, evoke and Mr Green owner at £225m.
A deadline extension to 8 June was agreed by both parties last week.
Reeves added: “The smaller operators are pulling away. That means the cost of acquisition is declining, but it also means that you’re not competing for the same customer’s wallet. People are also pulling back from their incentives. We are definitely seeing the start of consolidation.”
The post “I’m not concerned about affordability”, says Bally’s Intralot CEO first appeared on EGR Intel.
Robeson Reeves breaks from the pack and says operator’s largely recreational user base means it is insulated from any implementation of financial risk checks
The post “I’m not concerned about affordability”, says Bally’s Intralot CEO first appeared on EGR Intel.