Will London Ever Have a “Region” Gambling License, Like the US “State” Version?

The situation regarding gambling licenses varies depending on where the provider is based. In some parts of the world, there are country wide licensing requirements whereas elsewhere licenses are issued on a more regional basis.

If you look at what happens on the US market for example, states issue licenses. So, would a similar situation ever happen in the UK with cities like London being issued with regional gambling licenses? The short answer to this question is “No.” Taking a closer look at the gambling licensing positions in the UK and the US shows why this is the case.

Why is state licensing in place in the US?

Since the US Supreme Court made a decision in 2018 to overturn a federal law that restricted sports betting, each state has been able to make its own decision about whether to permit wagering on sports.

Since then, two thirds of states have introduced the ability to bet on sports. Given the fact that this is a state decision rather than a federal one it makes sense that each state is responsible for issuing licenses to providers.

The provisions of these licenses vary from state to state. For example, some states only permit sports betting in person whereas others allow people to place bets online and using mobile devices as well. Age restrictions also differ depending on the state with 18+ betting permitted in some states and 21+ only in others.

Given the differences in the legality of sports betting in different parts of the US, overall licenses issued by the federal government would not work. This means that licenses have to be issued by each state.

Why London is subject to UK Gambling Commission Licensing

The situation regarding gambling licenses in London is very different from that in US states. The city is not independent from the UK government and is subject to the rules and laws of the country as a whole.

So, it makes sense that it’s also subject to the regulations of the UK Gambling Commission. This commission regulates gambling across the country and not just in individual areas. This includes, arcades, betting, bingo, casinos, gaming machine providers, gambling software providers, lottery operators, and external lottery managers. It also includes online and phone gambling operations that are run using British-based equipment.

As an integral part of the UK, and not a separate entity, London will always be subject to UK Gambling Commission licensing. So, any gambling provider in the city must apply for a license from the commission before operating.

Back over the Atlantic, in the US, state gambling licenses will remain in place as individual states have the autonomy to decide whether they want to permit gambling.

In both systems of licensing, the most important thing is that the licensing body ensures that the provider operates fairly and securely, and that the customer is protected while they are taking part in gambling activity.