The Gambling Commission in Great Britain has commanded Done Brothers, operating as Betfred, to remit £825,000 following multiple failings related to social responsibility and anti-money laundering (AML) protocols. This penalty comes as a result of breaches in several licencing conditions within the UK. Besides the financial settlement, Betfred must undergo a third-party audit to verify its adherence to AML and safe gambling practices.
The commission’s findings, covering the period from May 2024 to March 2025, highlighted shortcomings in Betfred’s operations, particularly within its network of approximately 1,350 betting shops throughout Britain. A critical issue identified was Betfred’s inability to effectively recognise and mitigate money laundering risks associated with B3 gaming machines. Although the company employed machine alerts and daily reports, these measures fell short, leaving Betfred unable to evaluate total customer expenditures. Consequently, this oversight hindered its capability to assess the risks of money laundering and potential terrorist financing.
Another significant failing pointed out by the commission was Betfred’s lack of a robust policy to detect players possibly under financial sanctions. Moreover, the commission criticised the risk assessment thresholds used by Betfred, noting they were not based on appropriate risk levels. At the time, inquiries into the sources of users’ income were triggered by £15,000 in losses or £125,000 in stakes over a span of 365 days.
Moreover, Betfred faced scrutiny over its approach to social responsibility. The commission identified lapses in how the operator identified spending patterns and financial indicators of gambling harm, particularly concerning users of B3 gaming machines. It was noted that Betfred’s customer interactions were insufficient, sometimes failing to occur even when risk indicators were present. When interactions did occur, they did not effectively minimise the risk of gambling-related harm. The quality of these interactions often did not meet the mandated standards, particularly in understanding their impact.
The commission outlined specific breaches of licensing conditions, including paragraph 2 of licence condition 12.1.1, which addresses AML and the prevention of money laundering and terrorist financing. Betfred also breached paragraph 1 of Social Responsibility Code Provision 3.4.1, which pertains to customer interaction procedures.
This is not the first time Betfred has faced regulatory action within a short timeframe. In July 2023, the operator had to pay £3.25 million for similar failures related to AML and social responsibility. That settlement was reached in lieu of a financial penalty. Despite these recurring issues, the commission acknowledged that Betfred has made some corrective actions to address the recent concerns, which will undergo further examination in the upcoming audit.
Although the deficiencies identified during the 2024 Compliance Assessment were largely technical rather than stemming from specific customer incidents, the commission found them unacceptable, citing thresholds that were excessively high and inadequately risk-based when examined in practice. The director of enforcement at the commission remarked on the need for more stringent processes and procedures by the licensee.
Nevertheless, improvements acknowledged by the commission are expected to be thoroughly vetted in the independent audit to ensure sustained compliance with social responsibility and AML requirements. “The independent audit will be key to confirming these changes are sustained so that the operator continues to be fully compliant,” the commission stated, reflecting a cautious optimism about Betfred’s future compliance efforts.
This regulatory action against Betfred is part of a broader enforcement trend by Britain’s Gambling Commission. Recently, other operators have also faced consequences for similar breaches. For instance, Deadheat Racing’s licenses were suspended pending a review of their social responsibility and AML practices, and Videoslots and NetBet were both fined £650,000 for AML and social responsibility violations.
Additionally, in October, the commission suspended Spribe OÜ’s software licence due to non-compliance with hosting requirements. This pattern of enforcement underscores the commission’s ongoing commitment to maintaining stringent regulatory standards across the gambling sector in Great Britain. The commission’s actions, while punitive, aim to encourage better compliance and foster a safer gambling environment for all stakeholders involved.
4.1/5
