Best of the Week
Most Popular
1. Stock Markets and the History Chart of the End of the World (With Presidential Cycles) - 28th Aug 20
2.Google, Apple, Amazon, Facebook... AI Tech Stocks Buying Levels and Valuations Q3 2020 - 31st Aug 20
3.The Inflation Mega-trend is Going Hyper! - 11th Sep 20
4.Is this the End of Capitalism? - 13th Sep 20
5.What's Driving Gold, Silver and What's Next? - 3rd Sep 20
6.QE4EVER! - 9th Sep 20
7.Gold Price Trend Forecast Analysis - Part1 - 7th Sep 20
8.The Fed May “Cause” The Next Stock Market Crash - 3rd Sep 20
9.Bitcoin Price Crash - You Will be Suprised What Happens Next - 7th Sep 20
10.NVIDIA Stock Price Soars on RTX 3000 Cornering the GPU Market for next 2 years! - 3rd Sep 20
Last 7 days
Boris Johnson Hits Coronavirus Panic Button Again, UK Accelertoing Covid-19 Second Wave - 25th Sep 20
Precious Metals Trading Range Doing It’s Job to Confound Bulls and Bears Alike - 25th Sep 20
Gold and Silver Are Still Locked and Loaded… Don't be Out of Ammo - 25th Sep 20
Throwing the golden baby out with the covid bath water - Gold Wins - 25th Sep 20
A Look at the Perilous Psychology of Financial Market Bubbles - 25th Sep 20
Corona Strikes Back In Europe. Will It Boost Gold? - 25th Sep 20
How to Boost the Value of Your Home - 25th Sep 20
Key Time For Stock Markets: Bears Step Up or V-Shaped Bounce - 24th Sep 20
Five ways to recover the day after a good workout - 24th Sep 20
Global Stock Markets Break Hard To The Downside – Watch Support Levels - 23rd Sep 20
Beware of These Faulty “Inflation Protected” Investments - 23rd Sep 20
What’s Behind Dollar USDX Breakout? - 23rd Sep 20
Still More Room To Stock Market Downside In The Coming Weeks - 23rd Sep 20
Platinum And Palladium Set To Surge As Gold Breaks Higher - 23rd Sep 20
Key Gold Ratios to Other Markets - 23rd Sep 20
Watch Before Upgrading / Buying RTX 3000, RDNA2 - CPU vs GPU Bottlenecks - 23rd Sep 20
Online Elliott Wave Markets Trading Course Worth $129 for FREE! - 22nd Sep 20
Gold Price Overboughtness Risk - 22nd Sep 20
Central Banking Cartel Promises ZIRP Until at Least 2023 - 22nd Sep 20
Stock Market Correction Approaching Initial Objective - 22nd Sep 20
Silver Bulls Will Be Handsomely Rewarded - 21st Sep 20
Fed Will Not Hike Rates For Years. Gold Should Like It - 21st Sep 20
US Financial Market Forecasts and Elliott Wave Analysis Resources - 21st Sep 20
How to Avoid Currency Exchange Risk during COVID - 21st Sep 20
Crude Oil – A Slight Move Higher Has Not Reversed The Bearish Trend - 20th Sep 20
Do This Instead Of Trying To Find The “Next Amazon” - 20th Sep 20
5 Significant Benefits of the MT4 Trading Platform for Forex Traders - 20th Sep 20
A Warning of Economic Collapse - 20th Sep 20
The Connection Between Stocks and the Economy is not What Most Investors Think - 19th Sep 20
A Virus So Deadly, The Government Has to Test You to See If You Have It - 19th Sep 20
Will Lagarde and Mnuchin Push Gold Higher? - 19th Sep 20
RTX 3080 Mania, Ebay Scalpers Crazy Prices £62,000 Trollers Insane Bids for a £649 GPU! - 19th Sep 20
A Greater Economic Depression For The 21st Century - 19th Sep 20
The United Floor in Stocks - 19th Sep 20
Mobile Gaming Market Trends And The Expected Future Developments - 19th Sep 20
The S&P 500 appears ready to correct, and that is a good thing - 18th Sep 20
It’s Go Time for Gold Price! Next Stop $2,250 - 18th Sep 20
Forget AMD RDNA2 and Buy Nvidia RTX 3080 FE GPU's NOW Before Price - 18th Sep 20
Best Back to School / University Black Face Masks Quick and Easy from Amazon - 18th Sep 20
3 Types of Loans to Buy an Existing Business - 18th Sep 20
How to tell Budgie Gender, Male or Female Sex for Young and Mature Parakeets - 18th Sep 20
Fasten Your Seatbelts Stock Market Make Or Break – Big Trends Ahead - 17th Sep 20
Peak Financialism And Post-Capitalist Economics - 17th Sep 20
Challenges of Working from Home - 17th Sep 20
Sheffield Heading for Coronavirus Lockdown as Covid Deaths Pass 432 - 17th Sep 20
What Does this Valuable Gold Miners Indicator Say Now? - 16th Sep 20
President Trump and Crimes Against Humanity - 16th Sep 20
Slow Economic Recovery from CoronaVirus Unlikely to Impede Strong Demand for Metals - 16th Sep 20
Why the Knives Are Out for Trump’s Fed Critic Judy Shelton - 16th Sep 20
Operation Moonshot: Get Ready for Millions of New COVAIDS Positives in the UK! - 16th Sep 20
Stock Market Approaching Correction Objective - 15th Sep 20
Look at This Big Reminder of Stock Market Mania - 15th Sep 20
Three Key Principles for Successful Disruption Investors - 15th Sep 20
Billionaire Hedge Fund Manager Warns of 10% Inflation - 15th Sep 20
Gold Price Reaches $2,000 Amid Dollar Depreciation - 15th Sep 20
GLD, IAU Big Gold ETF Buying MIA - 14th Sep 20
Why Bill Gates Is Betting Millions on Synthetic Biology - 14th Sep 20
Stock Market SPY Expectations For The Rest Of September - 14th Sep 20
Gold Price Gann Angle Update - 14th Sep 20
Stock Market Recovery from the Sharp Correction Goes On - 14th Sep 20
Is this the End of Capitalism? - 13th Sep 20
The Silver Big Prize - 13th Sep 20
U.S. Shares Plunged. Is Gold Next? - 13th Sep 20
Why Are 7,500 Oil Barrels Floating on this London Lake? - 13th Sep 20
Sheffield 432 Covid-19 Deaths, Last City Centre Shop Before Next Lockdown - 13th Sep 20
Biden or Trump Will Keep The Money Spigots Open - 13th Sep 20
Gold And Silver Up, Down, Sideways, Up - 13th Sep 20

Market Oracle FREE Newsletter

How to Get Rich Investing in Stocks by Riding the Electron Wave

The Effects of the Economic Shutdown on the UK Gambling Industry

Companies / Gambling Jun 08, 2020 - 11:40 AM GMT

By: Submissions


               It comes as no surprise that the COVID-19, also known as the novel coronavirus, crisis has caused worldwide problems in the health, business and economic sectors, due to lockdown restrictions imposed in countries on a global basis, starting from mid-March of this year. With the economic shutdown, there have been several consequences on the gambling industry in the UK. This article details the points in which the industry has been affected.

Land Based Casinos Are Running on a Loss

Since the UK is one of the most heavily inflicted countries, measures have been taken to increase social distancing for the betterment of those who are more inclined to fall sick during this period. Closing of social venues where there are chances of larger crowds gathering do not only extend to bars, cinemas and restaurants, but also to land based casinos. With gambling being a largely developed sector in the UK, restrictions based on limiting social interactions to casinos results in a huge loss for the country. Land based gambling in the UK are responsible for bringing in as much as £10 billion a year. Licensed casinos, when faced with severe restrictions, are losing profits. Due to the unpredictable nature of the virus and the likely knowledge that a second wave might hit at any time, it is impossible to know how long, and to what extent, the economic shutdown will be in place. This means that the likelihood of casinos continuing to lose revenue is on the rise.

Sports Betting Has Declined

Sports events have been shutting down to stop spectators from gathering in proximity in order to comply with lockdown restrictions. Apart from the Euro 2020 being suspended, there are only a few leagues at the moment that are active and playing. It is possible that even those might stop, depending on how the situation escalates and what restrictions might be needed as safety measures. With all kinds of sports events getting cancelled, the sports betting sector has taken a hit. People are unable to place bets on games and shows which are not allowed to take place, and bookmakers are losing profits as a result. And it is not just the bookmakers: even large companies are suffering from limitations imposed on sports betting. When the lockdown first started, gambling firms were asked to impose only a £50 cap per day, which evidently caused them to incur losses.

The Recession Could Impact Gambling

Thinking positively, there is a chance that globally, we will eventually get out of this crisis, but it is important to remember that with the economic shutdown, there is the recession to follow. Many have lost their jobs as a result of the shutdown, and for many of whom who were lucky enough to continue working, salaries have been reduced in several fields. With people short on cash, they are less likely to spend money on non-essential items and needs, and the gambling industry is categorised as non-essential. So, even with the opening up of land-based gambling and the restarting of sports events once the restrictions begin to ease, everyone is less prone to invest in gambling.

A Significant Increase in Online Gambling

This does not mean that the whole gambling industry has come to a halt. As a significant part of the population is unable to leave their houses with the economic shutdown, online activities have increased according to This can be attributed to the rise of digital gambling, where those who are missing out on land-based gambling and sports betting can enjoy the thrill of the game within the confines of their home. Gross gambling yield has increased at 4.3% for betting, 12.5% for bingo and 3.9% for remote casino operations. With jobs, social interactions, schooling all relying on online environments to keep running during the shutdown, access to online casino websites will encourage more and more people to turn to remote gambling at this time. Online gambling has been a successfully developing sector for the past decade, and with the prolonged economic shutdown in 2020, virtual casinos could be profitable for the gambling industry.

Restrictions Imposed on Spreading Accessible Online Gambling

On the other hand, boredom, as a result of the pandemic, has extremely affected those who are suffering from a gambling addiction. In order to counter this, several betting shops and gambling sites have been cancelling their adverts from the TV and radio. Officials are pushing social media sites to do the same, as people are spending more time online now more than ever and being lured by gambling adverts. While this is a good move for the ones who need help with a serious problem, it also might take away from the positive effects on the gambling industry with the removal of promotion of online sites. For users who are looking for gambling for simply recreational purposes, they will be less informed about the options available with the lack of advertisements. This can bring down the increased profits that remote gambling could have brought to the table.

               The effects of the economic shutdown on the UK gambling industry will continue as long as the pandemic forces restrictions to be put into place. So far, absolute effects cannot be predicted, but the consequences can be speculated to last for a while.     

By S N Chatterjee

Copyright 2020 © S N Chatterjee - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

© 2005-2019 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules