A UK government minister has said public funds will not be used to compensate users of the failed gambling website Football Index, which imploded in March 2021.
Nigel Huddleston addressed a special parliamentary debate on “the impact of the collapse of Football Index” on Tuesday, in which multiple MPs shared harrowing stories about constituents who have been left devastated by the collapse.
Many likened the platform to a ‘Ponzi scheme’ after virtual footballer shares worth £120 million vanished into thin air.
The firm was regulated by the UK Gambling Commission, which stands accused of failing to heed warnings about dangerous business practices.
The government has previously resisted compensating users and that stance was reiterated in Tuesday’s special debate.
The company was ubiquitous in the world of football, sponsoring Nottingham Forest and Queens Park Rangers as well as running adverts on public transport, Sky Sports TV and talkSPORT radio, as well as some of The Athletic’s podcasts.
Liz Twist, an MP from the opposition Labour Party, secured a special debate on the topic of the impact of the firm’s collapse.
MPs from the numerous parties spoke movingly about an issue on which they have been bombarded with correspondence from constituents.
Many made the case that because the losses were a result of a regulatory failure, the government should pay compensation to people affected.
While users have had their “cash balances” returned, for most, these are trivial…
