Gambling (Licensing and Advertising) Bill Debate

Full Debate: Read Full Debate

Lord Stevenson of Balmacara

Main Page: Lord Stevenson of Balmacara (Labour - Life peer)

Gambling (Licensing and Advertising) Bill

Lord Stevenson of Balmacara Excerpts
Tuesday 4th March 2014

(10 years, 2 months ago)

Lords Chamber
Read Full debate Read Hansard Text
Lord Stevenson of Balmacara Portrait Lord Stevenson of Balmacara (Lab)
- Hansard - -

My Lords, I pay tribute to the noble Baroness for her campaigning on this and many other issues, and particularly on the tenacity with which she is pursuing this topic. I place on the record that we on this side of the House support her in this amendment. Do the Government? We have seen reports over the weekend, amid the most extraordinary amount of material that has been released through papers and articles and by people talking directly to the press, about how keen the Government are to make progress in this area, how shocked they were to discover some of the points that have been made in the noble Baroness’s speech—but had also been raised before in Committee—and how important it was that they should be seen to be taking action. However, talk is not going to get us to where we want to go on this issue, as the noble Baroness has said.

The Bill lacks the capacity to deliver the means to achieve the ends that it sets out very clearly, and with which we agree. There have been very clear calls for strong enforcement measures to accompany the Bill. The Bill may be modest in terms of what it does, but it will be even less effective if it does not have these additional measures. In addition to the points made by the noble Baroness, which I do not wish to repeat because she made a very positive and clear endorsement of the position that she is trying to adopt, we have to have regard to the fact that there will be people inside the industry who will hold licences who deserve to be supported, who are trying to do the right thing and who need to be given a clear endorsement in the Bill that those who are not doing the right thing by the Bill will be prosecuted but will also be made unable to operate by removing their financial support and by ensuring that they cannot connect through the internet.

These are issues that come up in other places. There is obviously a read-across to the field of the protection of children, and therefore it is important that we should begin to think hard about how we work in this world of new technology. As the noble Baroness said, the amendment complements the Bill. Voluntary arrangements, although welcome, will not achieve what we want. They are a step in the right direction, but they are not sufficient. The very idea of relying simply upon prosecution in offshore, foreign territories is absolutely bizarre. If the noble Baroness wants to test the opinion of the House, we will support her.

--- Later in debate ---
Moved by
2: After Clause 1, insert the following new Clause—
“Licence compliance, stipulations and control
(1) Notwithstanding the regulation of spread betting by the Financial Conduct Authority, operators licensed for remote gambling by the Gambling Commission shall, to ensure their continued fitness as such, be obliged to comply with Condition 15.1 of the Consolidated Licensing Conditions and Codes of Practice 2011 (or its equivalent from time to time) in relation to all areas of their gambling operations, including spread betting and any other operations not within the jurisdiction of the Gambling Commission.
(2) In the event of any breach of subsection (1) which the Gambling Commission believes calls into question the fitness of the relevant operator, the Gambling Commission may require the operator to provide an explanation of such breach within one month and may, if not satisfied with such explanation, revoke the operator’s licence.”
Lord Stevenson of Balmacara Portrait Lord Stevenson of Balmacara
- Hansard - -

My Lords, the promotion and upholding of integrity is one of the key functions of all sports governing bodies and event organisers. The whole concept of sport is based on what is described as fair competition between participants under agreed rules. A vital principle for any sport is that all its participants are competing to win and that its officials are honest, and are seen to be so.

This amendment deals with a situation which could not have been forecast when the Gambling Act 2005 passed through this House and into law. At that time, the idea that people would somehow be able to vote without ever being close to or involved in a game was not thought of as likely to happen, and we certainly did not see, or have evidence to suggest that we had seen, any ideas that people involved in the betting industry—not the industry as a whole—might seek to use means to try to fix matches. The situation that emerged out of the 2005 Act is not one that we could have predicted; times have moved on. Therefore, we need to think hard about how to protect sports integrity as we move forward. Those who seek to influence the outcome or progress of sports events to secure rewards through betting undermine the very principles that I have been talking about. Worse than that, any suspicion that that is happening is almost as bad as the event itself happening. So some action needs to be taken.

The Government have been working with the Gambling Commission—and I give them credit for this—on how best to ensure that information flow is made available to those with responsibilities in this area. As a result, there is a series of regulations that operate, particularly licence condition 15.1, which ensures that information about practices that might be redolent of an event that has been fixed are brought quickly to the attention of the sports governing bodies and authorities so that action, if necessary, can be taken.

During the passage of the Bill in another place, my colleague in the Commons, Mr Clive Efford, spotted a gap in the overall approach being taken here, which is that the responsibility for spread betting is and continues to be with the FCA, which does not have the licence conditions—including licence condition 15.1—that apply to those organisations registered through the Gambling Commission itself. However, in the period since then there have been meetings and discussions, and I am very pleased that we have now got to a situation where, in respect of those bodies that are involved in regulating sports events, which include spread betting operated under the auspices of the FCA, the effect will be that licence condition 15.1 will apply, so that all information can be channelled to those who require it in a way that will allow them quickly to take action if required. This is terrific—and, if I am going to hear that from the other side, we will welcome it. It may influence how we take forward this amendment.

However, in closing I make one point. The situation that we will find ourselves in if what I hope is the case comes through is that those in scope to the Gambling Commission will have the effect of licence condition 15.1 applied to them. But if there were a situation in which a spread betting organisation were to start taking bets on gambling activity but was not in scope to the Gambling Commission, the information flows would be interrupted. Can the Minister reflect on that point and give us some information, if he has it, on that issue? Subject to hearing more about that, I am very happy to move this amendment and look forward to hearing what the Minister has to say in response.

Baroness Heyhoe Flint Portrait Baroness Heyhoe Flint (Con)
- Hansard - - - Excerpts

My Lords, this amendment returns us to an issue that has already received considerable scrutiny. As we have heard, it is vital that national sports governing bodies receive information and intelligence about any untoward betting patterns as a matter of urgency so that they have the greatest opportunity to prevent corrupt activities and behaviour. Spread betting needs to be regulated just as effectively as fixed odds betting. Yesterday, the Minister informed noble Lords that the Gambling Commission is to extend the remit of its licensing code 15.1 to include spread betting in its information reporting requirements, as is placed on those who have a fixed odds betting licence. I commend this remit, because it will address most of the issues that sports bodies have raised. Presently, the two companies that offer spread betting also offer fixed betting and thus have Gambling Commission licences. Could my noble friend tell me when the Gambling Commission will introduce this new licensing code?

I am also pleased that in recent weeks the FCA has finally agreed to take responsibility on this issue, no doubt following pressure generated by noble Lords— I say, immodestly. It has come forward with proposals for its own industry guidance for spread betting companies that take bets on sport. This guidance will be broadly similar to that issued by the Gambling Commission, but there are two main areas where it will be deficient in comparison and concerns remain.

The first is that the guidance will not be made public. I find that somewhat curious. Surely, regulatory requirements set by public bodies should be open, transparent and accountable. How is the sports sector to have confidence in a regulation if it does not know what it says? How can it be used as educational material or act as a deterrent in the sporting world if we cannot show people the actual guidance? Can the Minister give an assurance that a way will be found to make sure that this guidance is made publicly available to those in the sports sector?

Secondly, the industry guidance issued by the FCA will not require as a statutory requirement that the spread betting company must share any information that it has, not just with the FCA but, most importantly, with sports governing bodies. Sports bodies understandably have ongoing concerns about the quality of information that they might eventually receive and the speed at which it will be made available. I gather that the reason for this is that the FCA says that its own statutes do not allow it to instruct spread betting companies to share information directly with sports governing bodies. That would be a major anomaly and a threat to sports integrity, should a spread betting firm operate without having a fixed betting arm. That means that it would not fall under the regime being proposed by the Gambling Commission. Can the Minister tell me what action the Government are taking to ensure that any future spread betting company that is established and does not have a fixed betting operator licence will still be subject to the same requirements that the Gambling Commission is introducing?

The easiest way in which to guarantee a level regulatory playing field between traditional and spread betting companies would be to transfer responsibility for sports spread betting from the FCA to the Gambling Commission, as the amendment would seek to do. I understand that there are powers contained in a Treasury-regulated activities order that would enable the transfer of sports spread betting from the FCA to the Gambling Commission, which may be a more suitable route to address the issue than in this Bill. Could the Minister give a commitment that that option will be further explored as a matter of urgency, and that, should there be any development of standalone spread betting companies setting up, we could expect to see the application of a transfer of sports spread betting from the FCA to the Gambling Commission using that Treasury-regulated activities order? That would ensure that sports integrity continues to be upheld.

Lord Gardiner of Kimble Portrait Lord Gardiner of Kimble (Con)
- Hansard - - - Excerpts

My Lords, I thank the noble Lord, Lord Stevenson, for tabling his amendment, which seeks to ensure that spread betting operators who hold a remote gambling licence from the Gambling Commission are required to report suspicious betting patterns to both the regulator and sports governing bodies under licence condition 15.1. Your Lordships have heard that my noble friend has tabled an amendment on that issue.

First, I acknowledge the determination with which Members of both Houses have pursued this matter—and the noble Lord, Lord Stevenson, mentioned one of his colleagues in the other place. The point about our deliberations is that it has undoubtedly led to more speedy progress.

As I said in Grand Committee, the Government take the issue of ensuring the integrity of sport very seriously. People must be able to trust that the sport that they are watching is fair and uncorrupted by cheating. The effect of this Bill will be that this will apply to all operators who offer remote gambling in the British market, regardless of where they are based, and information is at the very heart of the detection and disruption of any such corruption by regulators and sports governing bodies. But the Government believe that the following two-pronged approach achieves the objectives that noble Lords seek. This approach will ensure greater consistency in how suspicious activity is reported, and in a way that can be effectively enforced.

First, the Gambling Commission will soon be publishing its revised licensing conditions and codes of practice, which will include a change to licensing condition 15.1. This will make it clearer that, when a sports spread betting firm holds an operating licence with the Gambling Commission for its fixed odds activity, it will be required to report suspicious activity arising in relation to its sports spread betting activity. The revised licensing conditions will be published by the end of this month, and I say to my noble friend Lady Heyhoe Flint that the revised 15.1 will take effect in June.

Secondly, noble Lords will be aware of the FCA’s commitment to issue guidance for sports spread betting operators. The guidance will be issued under FCA Rule 15.3.17, which relates to the types of fraud and irregularities that must be reported to the FCA. The guidance will make it clear that the fraud and irregularities that will need to be reported by sports spread betting firms include suspicious sports betting. The FCA is also in discussion with the firms to put in place a mechanism by which information received by the FCA can be notified to the Gambling Commission and the relevant sports governing body. The finer details of the guidance are in the process of being finalised with the individual firms. However, I should make it clear that the underlying FCA Rule 15.3.17 is in place now.

I should say to the noble Lord, Lord Stevenson, and my noble friend Lady Heyhoe Flint that where a spread betting firm does not have a Gambling Commission licence, it will be bound by the updated FCA guidance, which will, of course, be mandatory.

We believe that the approach we are taking will work and will facilitate the appropriate sharing of information —the noble Lord, Lord Stevenson, particularly emphasised sharing of information, which is absolutely key to success—and it ensures that the licensing conditions, be it the expanded licence condition 15.1 adopted by the Gambling Commission, or the guidance issued by the FCA under the FCA rules, have a clear route back to the relevant regulator. Any failure to comply by an operator will be enforceable by the relevant regulator.

My noble friend Lady Heyhoe Flint asked a number of questions, seeking confirmation. As regards publishing the FCA’s guidance, as this is individual guidance it would not normally be made public. However, I will ask the two spread betting firms if they would be content to publish this individual guidance, once it is finalised. I should also mention that the first draft of the guidance was shared with the Gambling Commission, for its consideration and comment.

On best practice in information sharing—another point raised by my noble friend—I can confirm that the commission established the tripartite forum, involving betting operators and representatives of sports governing bodies. That forum continues to provide a space for debating these kinds of issues, which, again, is very important.

As regards future changes to the regulation of sports spread betting, I understand that there has been recent discussion between the FCA and the Gambling Commission as to whether the question of transfer needs to be revisited. Indeed, this matter remains very much alive. However, it is a very complex issue, and there was a deliberate decision at the time of the 2005 Act that it remain within the regulatory purview of the FCA as a financial services product. However, I can confirm that the mechanism for transferring the regulation from the FCA to the Gambling Commission is by amending the regulated activities order by statutory instrument. That issue was raised by my noble friend.

I hope that I have been able to reassure noble Lords that action has, and is being, taken on this important issue to ensure greater consistency in the way that suspicious activity is reported, and how this can achieved. The Government take this issue extremely seriously as the work currently going on around sports integrity and match fixing illustrates. We believe that the steps we are taking, and what noble Lords seek, is the right path. Indeed, we think that our approach goes somewhat further than what is sought in the amendments in so far as the new FCA guidance complementing an enhanced 15.1 provision is concerned. On that basis, I very much hope that the noble Lord will feel able to withdraw the amendment.

Lord Stevenson of Balmacara Portrait Lord Stevenson of Balmacara
- Hansard - -

I thank the noble Baroness, Lady Heyhoe Flint, for her amendment and for speaking to it so excellently and, indeed, adding a number of questions which have provoked the Minister to take us further down this route, which makes us better understand the process that we are going through.

I also thank the Minister for acknowledging that this has been a co-operative team effort. He said that our deliberations had resulted in speedier progress. However, I think that they made the measure a bit better; I think he is being a bit mean in his praise. We were able to get together around some common themes that emerged as a result of the discussions on Second Reading and at the beginning of Committee, and, with others present today, we looked hard at what was being attempted here. In the sure and certain knowledge that gambling (licensing and advertising) Bills do not come before your Lordships’ House very often, we decided to try to hook a lift on one or two paragraphs in order to make improvements, which I hope will be long lasting and effective in terms of improving the situation for the sports governing bodies, the regulators and, indeed, of course, the consumers, who are, after all, what this is all about. That is my rant over.

I am not very experienced in matters to do with legislation, having been a mere three or four years in your Lordships’ House, but this is a model that we might try to export and use again in some future circumstances. I am certainly up for that. I am very pleased that the Minister was able to spell out in a bit more detail some of the additional regulatory framework that exists. It is important that the FCA and the Gambling Commission are in discussion. As mentioned by the noble Baroness, Lady Heyhoe Flint, there probably is a case for transfer of, if not all the functions, at least some of them because it seems to me that the regulatory functions relating to gambling will get more complex and will be challenged by the new technologies, and I am sure that the FCA has other issues on which to focus.

We will return to match fixing in later debates this evening so I will not delay the House further on that point. In the interim, I beg leave to withdraw the amendment.

Amendment 2 withdrawn.
--- Later in debate ---
Lord Bishop of Chester Portrait The Lord Bishop of Chester
- Hansard - - - Excerpts

My Lords, I associate myself very closely with the speech of the noble Lord, Lord Browne, and that of the noble Lord, Lord Phillips, so I will not repeat the points they made. Noble Lords will realise that it is quite rare for Members from this Bench to quote the scriptures. For understandable reasons we are a bit coy about doing that. However, I cannot avoid going to a verse from the First Epistle to Timothy, which says that,

“the love of money is the root of all evil”.

There is great truth in that. The lure and attraction of wealth so often lies behind the person who turns gambling from an innocent pastime into an obsession, an addiction or whatever. A responsible society has to do what it can to protect people against these false gods and false goals. When you get into the digital world, you simply raise the stakes, to use a gambling analogy. If I am a problem gambler and I have to walk down to the betting shop in Chester, there is a natural restraint—there may be only two or three people there and they will wonder what I am doing when I walk through the door. But if those restraints are taken away, you have to be cognisant of the potential dangers.

I often think that we are now, in the digital age, in a digital version of the wild west, where there was all the excitement and discovery and all the positive aspects in America when it opened up, but the reality of law and order had to come in later. We must provide proper protection to people in the online world.

I shall briefly refer to a completely different area that concerns me very greatly—the way in which the internet is used in relation to pornography. The noble Baroness, Lady Howe, has talked about this on previous occasions. I have had a particular problem with two or three clergy in my diocese who have innocently thought that accessing child pornography on the internet was somehow not as serious as interfering directly with an actual human being. Of course, the law quite properly says that accessing child pornography on the internet is to be complicit in the actual original abuse. People have that sort of innocent view of the internet so often. The more checks and balances that we can introduce, the better.

If the net effect of this Bill is that the advertising of online gambling is much more in our face and much more prevalent, it behoves us to put in place what protections we can. I warmly support the amendment.

Lord Stevenson of Balmacara Portrait Lord Stevenson of Balmacara
- Hansard - -

My Lords, I thank the noble Lord, Lord Browne, for introducing the amendment. We are also signed up to it. The noble Lord spoke at length about the issues that he wanted to raise, building on the meeting that he kindly organised, at which I was also present. I endorse what has been said by other noble Lords who were there, including the noble Lord, Lord Phillips.

The interesting thing about gambling, to me, coming to it relatively unskilled in this area, is that it is one of those areas about which we make a set of assumptions when we approach it, then we discover as we get closer to it that they do not stand up. For example, one thinks of addiction very much in terms of what substance people are taking that has a chemical effect on their body which makes them addicted. But with gambling, all the signs, evidence and research suggest that we are dealing with addictive activity, but there is no physical substance. Of course, it may well be, as the right reverend Prelate was saying, that something about the internet has a way of interacting with our neurons and has an effect that we do not yet fully understand. There is absolutely no doubt, from the reading that I have done for these debates, and from the evidence that we heard at that powerful meeting, that we are talking about something really rather serious and deep-seated worries should flow from that. It is not that the problem is extremely widespread—it is not—but the numbers are still significant. If we are talking about 450,000 people in our society, of course, we as a responsible society should take action to try to help them.

The situation, as I understand it, is that the regulatory position is very clear. There has to be a process for self-exclusion, because it is recognised that it is a helpful way to do it. It may not be the only way to get people away from gambling and it may not be sufficient on its own, but at least—as long as the evidence is there that it is helpful—we must make sure that the regulatory framework supports it. It is obviously right that, for those who obtain a licence to operate in current systems, and in future systems envisaged by this Bill, we need to see the self-exclusion procedures in place. I do not think any of us would be against that, but I have a problem in understanding why it is sufficient for the Government to argue that simply having a voluntary scheme operated by those who perpetrate the harm is sufficient in this case. The evidence that we have—and the very moving testimony that we have heard from the noble Lord, Lord Browne—suggests that those affected by this, those who are addicted and those who are trying to help, say that simply having the mechanism available on a case-by-case basis, on every website that they go to, as it may be regulated in future, and therefore having available the ability to self-exclude, is not sufficient.

If it is not sufficient, what system can we put in place to make sure that it works? Again, the evidence shows that the detailed proposal of the noble Lord, Lord Browne, seems to work for those with whom we have been in touch. Therefore, it seems to me a bit perverse for the Government to continue to say that they do not think that any further action is required in this regard. But what are they saying? I hope that when the noble Baroness responds, she will try to tease out the wording in the letter that we received yesterday from the Minister, which states:

“But this issue is not standing still: the Gambling Commission has indicated that it will be reviewing the self-exclusion provisions as part of a wider exercise to strengthen player protection, with the aim of significant progress within six months towards the establishment of a national remote gambling exclusion scheme”.

That text is not in capitals; I capitalised it as I said it.

That seems to suggest that there is at least the option of having something that will meet the criterion emerging from this evening’s debate—namely, that there must be something that will work for those people who are addicted. It must be something that does not mean they are constantly coming across additional websites which are not part of the scheme. It should, if possible, work with areas that are not yet regulated, although I understand that will be difficult. Certainly, if it were possible to keep open the proposal of the noble Lord, Lord Browne, until such time as the review is completed, that would help us a lot in dealing with the issue behind this amendment.

We are not saying that that is the only way in which this issue can be tackled. However, given what we have heard today and at meetings, I am certainly persuaded that this is something which works. Therefore, if it does the trick, we should keep it in play until such time as all the evidence is available.

It is becoming a theme of our discussions today that we are offering the Minister the chance to get this right at the next pass. My noble friend Lady Jones was a bit nervous about the issue of the watershed and I have my concerns about this big and important matter. As a responsible society, we should take action in this regard. The noble Baroness will say, when she responds, that there is a review and will ask why we should anticipate it. I understand that, but I hope she will recognise that we will want to come back to this issue if satisfactory progress is not made. I support the amendment of the noble Lord, Lord Browne, and the very powerful speeches made tonight on this matter. I hope to hear some good news from the noble Baroness when she responds.

Baroness Jolly Portrait Baroness Jolly
- Hansard - - - Excerpts

I start by thanking the noble Lord, Lord Browne of Belmont, for his amendment, which seeks to create a centralised self-exclusion scheme. I seek to reassure him with regard to the Secretary of State’s letter and with regard to the noble Lord’s suggestion that gambling is being liberalised. The Government do not see this as a liberalising Bill. It ensures that all operators who currently advertise in Britain, and wish to do so in the future, are required to have a Gambling Commission licence. This is consistent with what the Secretary of State was saying.

Problem gambling is debilitating and I reassure noble Lords that the Government take this extremely seriously. I am in absolutely no doubt about the commitment of the noble Lord, Lord Browne, to this. Problem gambling is not only debilitating for the gambler himself or herself, but creates a heavy burden on their families and on society at large. I was not at the relevant presentation but I have heard that it was very powerful. Strategies to prevent and address problem gambling are key aspects of the social responsibility obligations set out in the Gambling Commission’s licence conditions and a priority within the Government’s approach to gambling more generally. Self-exclusion is a very important tool to assist those who are experiencing problem gambling or wish to exclude themselves to prevent it.

Under the Gambling Commission’s existing licence conditions, all licensed operators are required to have effective procedures in place to allow consumers to self-exclude. Therefore, once the Bill is enacted, all remote gambling operators licensed by the Gambling Commission will be required to offer self-exclusion to their customers. This marks a real step forward in increasing player protection for British consumers and will mean that future improvements in this area by the Gambling Commission will apply to all operators selling into the British market.

--- Later in debate ---
Lord Grantchester Portrait Lord Grantchester (Lab)
- Hansard - - - Excerpts

I speak in favour of Amendment 8, in the names of the noble Baronesses, Lady Heyhoe Flint and Lady Grey-Thompson, the noble Lord, Lord Moynihan, and my noble friend Lord Stevenson. This amendment not only comes from all sides of the House but is in the names of great sporting personalities who have participated at the highest level of elite sport. I support them in their contention that sport must maintain the highest levels of integrity and be recognised to be fair and honest. Sport governing bodies have been relentless in stamping out cheating, whether through drugs, unfair equipment or fraudulent activity, in order to maintain the public’s interest and trust. We all enjoy the pursuit of excellence and recognise that competition is the spur to improvement. The public will turn away, sponsors withdraw funds and participants lose interest if they detect any level of cheating or corruption, or any lack of fair play.

The amendment creates a clear and specific offence of cheating that covers all activities that fixers may engage in. All sports would have this offence available under the Gambling Act. Recently, we have witnessed the difficulties cricketing authorities had to face in prosecuting and getting convictions regarding the bowling of no-balls by Pakistani cricketers. This situation could easily occur with throw-ins and other events in professional football. I understand that the authorities had to go to great lengths to enforce fair play and that they went ahead under the Prevention of Corruption Act 1906. This offence will enable a strong deterrent from stricter penalties to warn and educate all sportspersons. Professional bodies such as the Professional Footballers’ Association in soccer can underline to their members the dangers and risks associated with being caught cheating.

I urge the Government to take this amendment seriously and, if they cannot accept it tonight, to be amenable to bringing forward their own amendments at Third Reading, otherwise similar amendments will be pressed very vigorously then.

Lord Stevenson of Balmacara Portrait Lord Stevenson of Balmacara
- Hansard - -

My Lords, I am reminded by my noble friend Lord Grantchester that I have joined a rather elite and special grouping in turning up on this list. I certainly cannot pretend to have, in any sense, any quality that matches theirs in terms of the sporting achievements they have had. Along with the noble Lord, Lord Hodgson, I was a not-indifferent squash player, but I am afraid that does not take me far towards either the noble Lord, Lord Moynihan, or the noble Baronesses, Lady Grey-Thompson or Lady Heyhoe Flint.

I apologise for intruding on their party but I do so because this is a really interesting amendment, and I am rather annoyed we did not think of it ourselves on this side of the House. The 2005 Act was much castigated earlier on in our debates but is still a rather good Act in its way. It goes out of its way to make it clear that it is not dealing with the integrity of sport—this point has been made already—and does not attempt to try to deal with the actual issues around the playing of sport. Its actions are about gambling, and sport is only one of a number of things that people can gamble on. We should not therefore expect that Bill to carry us all the way to where we want to get to in this new area, which is about trying to make sure that the sport that we all love and enjoy is played to the highest standards.

I talked earlier about the need for integrity. It is an issue that we need to think very hard about. It is not necessarily the case that if you follow the argument that I am about to make through to the end we would end up with simply amending the current Bill; I suspect our ambitions are a bit broader than that. When the Minister responds, perhaps he could reflect on the question that has been posed implicitly in the speeches we have heard today and explicitly outside by a number of people who are now saying that there is something slightly odd about the way in which we pay so much attention to the process of gambling around the sporting activity but we do not think hard enough about what we need to do to ensure that the sporting activity itself is as clean and above suspicion as it should be. That is the way in which I want to approach this.

The noble Lord, Lord Hodgson, said that we were talking about something that is called a victimless crime and pointed out that that was a contradiction in terms. I follow him on that: his point is very well made. My noble friend Lord Grantchester, who has substantial experience in running a sports club of great distinction, knows all too well about some of the issues that have arisen there.

It is interesting that the only serious case we have seen in recent years, which involved spread betting rather than fixed-odds arrangements, was prosecuted under a conspiracy to defraud offence and not under the provisions of the Gambling Act. On my reading of it, that is not unreasonable because the Gambling Act does not go in that direction but, if that is the case, the point was made earlier about the need to level up the tariffs on all these approaches to try to clean up sport—they need to be the same. So we are talking about a 10-year penalty being the standard for crimes against sporting activity. If anybody affects the integrity of the sports that we are concerned about, we should be able to use a range of penalties and approaches to ensure that the person is nailed.

We have looked at the number of prosecutions for match fixing in sport and there seems to be about one a year at the moment. Although, as I have said, there are difficulties in raising these offences, it is important to recognise that they do take place. There is evidence that there is quite a lot of match-fixing activity going on, not necessarily all related to gambling, and that is one of my points.

The DCMS itself has a sports integrity review. It must have been ahead of the game in thinking that it would need to look at that, and the Rick Parry report calls for further action in this area. Therefore, the onus is on the DCMS to come forward with proposals on this. The European Parliament and Commission have called for all member states to have specific match-fixing legislation. Again, one might ask the Minister what action the department will take to respond to that call. The amendment before us derives from evidence of recent work in Australia, where legislation has recently been introduced. The amendment is based on a model that seems to be working well and is widely seen in the sport as an exemplar.

To return to my first point, although we must be thinking about the question of what to do to strengthen our sport, of which gambling is a part but not the full amount, it is interesting that the gambling industry supports this approach. Sue Rossiter, director of projects and policy at the Remote Gambling Association, which supports the amendment, says:

“Cheating is already an offence under the Gambling Act and match-fixing falls into that category. But anything which further clarifies the fact that it’s illegal is welcomed by us. Players should be made aware that if they get involved in match-fixing, they’re involved in a criminal activity wherever they are. We work closely with sports governing bodies to make sure players are clear about that”.

There is an educational element to this, which will be very important.

This amendment may seem to be at a distance from the main purpose of the Bill but it should not be rejected out of hand. I appeal to the Minister to think about bringing this back at Third Reading for a further debate, when it might be possible to get the noble Lord, Lord Moynihan, and the noble Baroness, Lady Grey-Thompson, to add their arguments to this. We will have to fix this in the future if we do not fix it now.

The sport that we play in Britain somehow makes a huge contribution to our culture. As my noble friend Lord Grantchester said, if people feel that the games they watch are in some sense fake then, to quote from “The Hunger Games”—a recent film that I am sure all noble Lords have seen—the games will not be quite as enjoyable as they might otherwise have been. That is rather an unfortunate and sad analogy but I hope some of it might live long in memory.