The decision by Mansion Group and STS to leave the UK market at the start of this year could point to the start of a new trend after a tightening of the regulatory environment in England, Scotland, Wales and Northern Ireland.
Mansion Group, the online sports betting and casino company, surrendered its license in January, after nearly two decades of operating in the UK and informed customers to withdraw funds before April 12, 2023.
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At the time, a spokesperson admitted: “Mansion has enjoyed serving UK customers for almost 20 years, but we are all aware of the increasingly challenging regulatory conditions that have led to much narrower paths to profitability and ultimately, the decision that Mansion has taken.”
Earlier this year, the British Gambler, online casino comparison site, reported international bookmaking company STS was also leaving the UK market in January and would no longer allow people to open new accounts or permit current players to make new deposits.
This was despite the fact the company, based in Poland, had announced record revenue for 2022.
Play did remain available until February 14 inside the STSbet online casino but then all betting ceased and players had to withdraw any remaining funds from their account.
UK Market Exit
Like MansionBet, whose chief marketing officer Neil Gallacher insisted the group would now ‘double down’ on its most profitable markets, STSbet’s decision to leave the UK market was made so the company could focus on its main profit source following record results driven by success in its native Poland.
UK operators, already adapting to stricter regulations, will have to adhere to further restrictions after the government’s gambling white paper was published at the end of April.
Following these guidelines will increase operational costs for many betting operators and so more could follow MansionBet and STSbet in leaving the UK market.
Possible Trend
The Mansion Group and STS decision to leave and the reasons for the switch could lead to others following suit according to one gaming and leisure analyst.
Gavin Kelleher told the Racing Post the move was a “reflection of the competitiveness of the market and regulatory headwinds in the UK” and added, “We’ve seen other smaller operators leave the market and it’s probably going to be an ongoing trend”.
After STS online casino stopped accepting new UK players, the British Gambler listed the best alternatives for players to switch to, including Unibet Casino, 32 Red Casino and Vic Casino.
