According to the Report, the concept of on-line gambling is not
restricted to gambling over the internet, but also includes other
media that use a telephone connection such as interactive
televisions and mobile phones.
The main obstacle to on-line gambling under current UK
legislation is a requirement that gambling must only take place
within a designated gaming room and in the presence of the gambler.
This means that on-line gambling sites may not be set up in the UK,
although this does not prevent UK residents from gambling on-line
via sites based overseas.
The Report considers the situation in the US and Australia,
where measures have already been taken to control on-line gambling.
It concludes that by regulating on-line gambling sites based in the
UK punters will be assured of fair play, receiving winnings and the
integrity of web sites dealing with their personal data.
In order to ensure on-line gaming sites in the UK can be more
easily regulated, the Report strongly suggests that the Gambling
Commission should only grant licences where the site is operated by
a UK registered company, using a server located in the UK and a
site registered under a UK web address.
Following the publication of the Report, a consultation period
has begun that will end on 31st October 2001. The government
expects to produce a report on these findings in early 2002.