Malta seeks UK backing over sport betting convention

Parliamentary secretary for competitiveness and economic growth, Jose Herrera today called for the UK government’s backing in its bid to change the definition of illegal sports betting which is included in the Council of Europe’s draft convention on sports competitions. The definition, Herrera said, "goes beyond the objectives of the convention."

During a meeting with the UK minister for sports, tourism and equalities, Helen Grant, Herrera sought Britain’s backing ahead of the Council of Europe’s committee of ministers meeting due on 18 June, which is expected to approve the convention.

Herrera asked Grant to back Malta’s opposition because the definition of illegal betting in the draft convention goes beyond the agreed objectives of the convention itself.

He made it clear that Malta fully agrees with the objectives of the Council of Europe’s convention on the manipulation of sports competitions, but the definition given to illegal betting is “an inappropriate encroachment into the Maltese betting industry.”

Moreover, Herrera, thanked the British government for being on the same wavelength in the Maltese government’s argument that the EU should not harmonise certain aspects of laws regulating the online betting industry through instruments adopted by bodies outside the EU. 

During the Council of Europe’s meeting in May, Malta’s proposal to amend the definition was defeated by 15 votes against 11.

The purpose of the convention is to “combat the manipulation of sports competitions in order to protect the integrity of sport and sports ethics in accordance with the principle of the autonomy of sport.”

Its main objectives are to prevent, detect and sanction national or transnational manipulation of national and international sports competitions and to promote national and international co-operation against manipulation of sports competitions between the public authorities concerned, as well as with organisations involved in sports and in sports betting.

However, Malta is objecting to the definition of illegal sports betting, which the draft convention describes as “any sports betting activity whose type or operator is not allowed under the applicable law of the jurisdiction where the consumer is located.”

So far, Malta has only mustered the provisional support of 10 countries, including the UK, but the countries have yet to take an official stand on the matter.

It is understood that Malta faces an uphill struggle to garner enough support to remove the definition of illegal betting which could harm the online betting industry which last year alone paid €11.5 million in taxes.

The lucrative sector has long been at the centre of a tug of war between several European countries, with Malta’s success in the sector being the envy of many countries.

If the definition of illegal betting is approved, the convention will provide countries an additional and stronger legal tool to proceed against other countries over any perceived illegalities in the betting industry.

If the definition of illegal betting is approved as it is, Malta would then take a decision whether to approve the whole convention or not, however the decision would be taken at a political level.  

Currently, around 360 remote online betting licensees are registered in Malta, with the whole industry contributing around 6% of GDP.