Spribe’s UK Licence Suspension: A Warning Against Non-Compliance

The popular software provider that is perhaps most well known for Aviator was ordered by the UK Gambling Commission to cease all activity in the UK. Gamers who planned to launch Aviator, or any of Spribe’s instant win titles, were left facing error messages as the supplier pulled all its games from UK online casino operators following the decision.

Fortunately, Spribe are on top of the matter and looking to reinstate its UK Gambling Commission licence as soon as possible. The confusion is put down to a technical setup error, and one that Spribe will be able to clarify to get back on track. In the bigger picture, it shows the UK Gambling Watchdog’s determination to clean up the scene, and it may be just the first of many crackdowns to come.

Spribe Loses UK Gambling Licence

Despite the UK being one of the most stringent and compliant heavy markets, pulling Spribe OU‘s licence is a pretty rare move. Spribe was registered under the UKGC with a Gambling Software Licence (Account number: 57302). The supplier was given the right to manufacture, install and adapt gambling software by means of remote communication. Meaning, it could supply games and gaming solutions to UK licensed online casino operators (or Hosts), who could then deliver these games straight to players.

The company, as a registered and licensed Gambling Software operator, could create games and gaming solutions, but it doesn’t have a Hosting licence to provide these games. By Hosting, we mean:

• Casino Licence (Host)
• Bingo (Host)
• General Betting (Host for Real Events)
• General Betting (Host for Virtual Events)

However, the UK’s Gambling Watchdog discovered that Sprive was hosting casino games on behalf of operators, something that it is not legally licensed to do. The supplier’s Gambling Software Licence was suspended with immediate effect on October 30 due to a direct breach of the UK’s Gambling Act 2005. In that you must be licensed and have the proper authorisations.

Background Information on Spribe

What makes this headline news is that Spribe is no obscure game provider. The company was founded in 2018, and is one of the biggest producers of instant win titles. Besides the temporarily suspended UKGC licence, Spribe also holds licences with 17 jurisdictions (18 with UK), including the:

• Malta Gaming Authority
• Gibraltar Gaming Commission
• Italy Autonoma dei Monopoli di Stato
• Sweden Spelinspektionen
• Netherlands Kansspelautoriteit
• Ontario Alcohol and Gaming Commission of Ontario

Gamers will know Spribe for Aviator, one of the biggest crash-style games at online casinos. But that is not all Spribe is well known for. The software provider has also created:

• Mines
• Dice
• Plinko
• Keno
• Mini Roulette

Unless otherwise stated, the RTP across all of its games is 97%, which is relatively high, and all the games use provably fair RNG technology. From the blockchain powered Dice games, which are hugely popular at Bitcoin casinos, to the simplified gaming experiences on classic roulette, Spribe’s games are highly demanded.

The Company’s Response to the UKGC

On October 31, Spribe posted a response on Linkedin, stating its goal of reinstating Aviator (and other games) to the UK market as quickly as it can. The company has been holding a UK Gambling Software licence since 2020, and the suspension was not the result of foul play or a bust up with the UKGC. Instead, it was because Spribe had not realized it was operating out of its permitted field, and that Spribe will now work on gaining a UKGC Hosting Licence to continue right from where it left off.

“It only came to our attention last week from the UKGC that,due to our technical setup, we need to add a hosting license to our existing one. Until we obtain this license, the Commission, at its discretion, opted to suspend our current remote operating license.”

Spribe provides games to some of the UK’s biggest online operators, such as Genting Casino, BetMGM, 888, BetVictor, LeoVegas and Paddy Power.

Regulatory Oversights Intensify in the UK

Spribe was not the only one, as VGC Leeds Limited also had its license suspended, the next day on October 31. Victoria Gate Casino, one of the bigger landbased UK casinos, had its license pulled for failing to maintain AML and compliance procedures. The casino, which has over 175 slots and 20 live betting tables, will now have to act quickly if it is to relaunch prior to the busy December holiday period. Furthermore, the UKGC also fined online operator Platinum Gaming Ltd and Petfre Gibraltar Ltd in October, amid potential regulatory changes.

At the beginning of October, the Gambling Survey for Great Britain was published, with a shocking admission. It estimated that around 2.7% of the UK’s adult population has a gambling problem, which, when extrapolated from the study figures to the real population, comes up to around 1.4 million problem gambling Britons.

The UKGC is now tightening its hold on the industry, rolling out new player safety regulations, targeted affordability checks, responsible gambling tools, and a clampdown on gambling advertisements. It is already onto a winner with banning gambling sponsorships from Premier League clubs, but the enforcement won’t stop there.

Autumn Budget Woes

The UK’s Autumn Budget could also heavily impact the gambling sector, as the lawmakers are seeking to unify the gambling tax. Instead of having three different gambling taxes, it wants to make a uniform tax rate for all UK gambling operators. The online casino sector won’t be as affected by these rulings as some of the other branches.

For instance, the horse racing community is already up in arms about the potential changes. Horse race betting is a massive source of revenue for the British Horseracing Association, and it staged a one day strike against the tax hike. Also, retail betting shops may be in danger, as Paddy Power, William Hill, and now BetFred could all close high street shops if the taxes increase.

Other Pressing Issues in the UK Gambling Market

The UKGC’s message here is crystal clear. Compliance comes first, as player protection, tax-linked revenues, and the supply chain must all be kept for operators to retain their licence. Landbased and online platforms are both at risk, and every operator in the UK has to brace itself for the impending changes. Spribe, which is a high profile and well respected supplier, will get its act together sooner rather than later. We fully expect Aviator, Mines and its other titles to return to the top UK online casinos.

But as for the horse racing sector, retail betting shops, and operators who are currently working on the outskirts of the legislation, the next few months are going to be rocky. The next big shakeup will come with the Autumn Budget, and from there, we could see a massive shift in the UK’s gambling sector.