Tightening the Reins on VIP Gambling
21 September 2026
The Gambling Commission in 2020 enacted sweeping new controls that restrict the operation of High Value Customer (HVC) and VIP schemes to prevent gambler exploitation. While the measures were stringent, they stopped short of an outright ban - instead imposing rigorous new requirements that gambling companies claimed would be difficult and costly to implement quickly.
The Commission unveiled its proposals in June 2020, announcing changes to the LCCP social responsibility code. After an eight-week consultation, the new rules took effect on 31 October 2020. Crucially, all VIP and HVC schemes must now be overseen by a holder of a personal management licence and a senior executive.
VIP schemes can no longer be offered to any customer before the operator confirms it can be done safely and responsibly. This means conducting affordability checks, monitoring for signs of gambling-related harm, verifying the customer's identity, employment status, and source of income, plus ongoing reviews. Failure to properly screen customers could lead to regulatory action.
The strict changes responded to widespread abuses identified by the regulator. Investigations revealed multiple cases where operators managed VIP schemes in ways that caused significant gambling-related harm. Some customers were wrongly classified as wealthy and encouraged to keep gambling using questionable funds.
While setting high standards, the Commission indicated it could take stronger action if needed, warning that operators failing to comply might face complete bans on VIP schemes. This gives the industry motivation to strictly monitor its programs, with substantial penalties for inadequate due diligence.
The Industry and Government Response
The gambling industry voiced strong objections, arguing the new rules would be burdensome and costly to implement. The 81 formal responses to the consultation reflected these concerns. However, the Gambling Commission gained support from a 2020 House of Lords committee report that recommended tighter oversight and further discussions about permanent LCCP changes.
In the government's subsequent white paper on gambling reforms, the Commission's approach received explicit approval as a balanced and appropriate response to identified problems. The reforms were described as introducing thorough affordability and harm prevention checks while increasing accountability for personal management licence holders.
