The Brexit had a deep impact in all parts of the British economy. By leaving the EU zone many companies that enjoyed and lived from that dual jurisdiction right will have to relocate to different geographical locations and define a new fiscal structure.
Online casinos may have suffered the most because of the Brexit, most of those catering to British and European players were located in one of the 6 gambling jurisdictions registered in the UK. Those jurisdictions shared the benefit of being in both the country and Europe.
The 6 Gambling Jurisdictions of the UK vs the Brexit
Most countries that allow for gambling jurisdictions, like in the case of Canada with the Kahnawake gambling commission, have only one territory with the right to do so. The UK has 6:
- UK Gambling Commission (UKGC)
- Gibraltar Regulatory Authority
- Alderney Gambling Control Commission
- Isle of Man Gambling Supervision Commission
- Jersey Gambling Commission
- Guernsey Gambling Control Commission
From these 6 the most used are the UK Gambling Commission and Isle of Man. Some are located overseas, like the case of the Gibraltar commissions who sits in a tip of Spain and belongs to the UK but has been part of the Euro zone until recently. This allowed for the free movement of employees between the border and for casinos to operate in the small city. Now they might be trapped, without the freedom of movement and access to Euro customers, casinos might be forced to relocate and spun new sister companies, one for UK and international players, and another to offer its services to Euro players.
Why Will Euro Players be Restricted on UK Based Online Casinos?
The European Union has tougher taxing laws than the UK, not only would companies have to pay more, they would have to disclose more transparently their financial statements. Many online casinos would suddenly be in a gray area due to their shady past and tax evasion tactics, being located on a fiscal paradise is after all in the purpose of evading strong taxes on gambling services.
Italian Players Will be Banned?
From the Euro Zone Italian players have been the first to be warned about their accounts on numerous UK based online casinos. Why? Italian law requires for gambling companies offering their online service to Italians to be located inside the Euro and follow its laws. And this could be true for many other countries and their citizens. Italian accounts could be closed and their balance frozen.
Has This Happened Before?
All of this has happened before with another drastic change in domestic law, when the USA approved the Unlawful Internet Gambling Act of 2006, also known as the dreadful UIGEA, changed the scene for many online casinos allowing American players. In that time online casinos like Bodog had to escape the rage of the FBI that persecuted them for tax evasion. Bodog had to spun a sister company called Bovada, now one of the largest internet casinos and sports betting sites in the USA, to continue operating in the country, while Bodog remains in the UK and the rest of the world.
What is the Safest UK Casino after the Brexit?
The safest UK casino after the Brexit is William Hill – UK’s leader among online gambling sites. They are a well-established online casino that operates both in the UK, Euro Zone following all of their guidelines. The company has taken proper action to secure their player accounts, so play online casino games in the latest prestigious UK casino today.