Submitting Institution
University of SalfordUnit of Assessment
Business and Management StudiesSummary Impact Type
SocietalResearch Subject Area(s)
Economics: Applied Economics
Studies In Human Society: Policy and Administration
Summary of the impact
Sports Integrity is focused on supporting the development of
infrastructure by governments,
sports bodies, betting operators and law enforcers, internationally, for
identifying and addressing
vulnerability to corruption in professional sport, demonstrating the
following impact:
- Informing the development of nationally consistent approaches to and
codes of conduct for
deterring and dealing with match fixing;
- Facilitating networks for information sharing between governments,
sports bodies, betting
operators and law enforcers to improve integrity in sport;
- Supporting international policy development to combat corruption in
sport.
Underpinning research
The key researchers and positions they held at the institution at the
time of the research
are as follows: Dr David Forrest, Professor of Economics (from
1986), Dr Ian McHale, Reader
in Statistics (from 2003), Dr Rob Simmons, Senior Lecturer in Economics
(1985-2002). Context:
The Centre for Sports Business at the University of Salford promotes
research and consultancy
in sports analytics, sport finance, sport law and the economics of sport.
Globally there are few
academics specialising in research in both Sports Economics and Economics
of Gambling.
Forrest et al undertake investigation into corruption in sport, with match
fixing at the interface of
these topics. The impact described in this case study is underpinned by
the following research:
-
2003: Betting on events and outcomes in sport, especially team
sports, has become a high-growth
sector. The research explores the potential for sports to capture
information on bettor
spending and discusses associated public-policy issues. While sport may
extract revenue from
betting, there are also costs. In particular, the research focuses on
betting corruption in sports,
developing an expected utility framework to show where the risk of
corruption is most likely to
arise and what regulatory options are open to sports governing bodies
and government in
terms of, for example, sports rules relating to players' betting and
possible limitations on what
products can be offered by betting firms. [1]
-
2005-2008: Research into betting markets provided an
understanding of how betting markets
function. This research underpins understanding of corruption because
identification of
"unusual" betting patterns is important for signalling where
investigation of possible fixing is
appropriate. [2,3,4,5]
-
2012: Economists, including Forrest and Simmons had previously
based analysis of match
fixing on the choices of sports insiders: whether or not to accept
bribes. Researchers adapted
the general literature on the economics of crime. The research offers a
new insight that it is
relevant to consider the demand side as well as the supply side of the
market for fixes. In the
paper, growing incidence of match fixing in football is related to
developments in betting
markets that will have increased the (derived) demand for fixes. [6]
References to the research
Key outputs
1. Forrest D, Simmons R (2003) Sport and gambling, Oxford Review
of Economic Policy 19,
598-611. DOI
2. Forrest D, Goddard, Simmons R (2005) Odds setters as forecasters:
the case of English
football, International Journal of Forecasting 21, 551-564. DOI
3. Forrest D, McHale I (2007) Anyone for tennis (betting)?
European Journal of Finance 13, 751-768.
DOI
4. Forrest D, Simmons R (2008) Sentiment in the Spanish football
betting market, Applied
Economics 40, 119-126. DOI
5. Forrest D (2008) Gambling policy in the European Union: too many
losers? Finanz Archiv 64,
540-569. DOI
6. Forrest D (2012) The threat to football from betting-related
corruption, International Journal of
Sport Finance, pp. 99-116. URL
Key grants
7. 2002: ESRC Study Group Competition funded workshops on the
Economics of Sport, Arts
and Leisure. R
Simmons (50%), D Forrest (50%).
8. 2003: Fellowship:
Gambling Deregulation and the Lottery, Leverhulme Trust, £14,212.00,
Investigator: D
Forrest (100%).
Details of the impact
The credibility of sport is threatened by an unprecedented wave of proven
cases of manipulation
of events for betting gain, undermining its commercial viability. Sport is
particularly vulnerable
given the importance of sponsorship in the modern sports business model.
For example, the
withdrawal of sponsorship in the Chinese football league following match
fixing revelations
precipitated its collapse; ticket revenue is also dependent on faith in
the authenticity of the
product; clubs in the Italian league exposed as involved in match fixing
experienced a persisting
20% drop in sales relative to other clubs in the league. Match fixing is
also a threat to the
integrity of sport, with sportspeople acting as role models and brand
icons. In this context, this
case study demonstrates the following impact:
- Informing the development of nationally consistent approaches to and
codes of conduct for
deterring and dealing with match fixing and supporting international
policy development to
combat corruption in sport:
-
2008: Report for the Central Council for Physical
Recreation (CCPR, now the Sport and
Recreation Alliance) commissioned Forrest and McHale to write: "Threats
to Sports
Integrity from Developments in the Betting Market". The CCPR is
the UK umbrella body
for sports governing bodies and advises UK Government on all matters
relating to sport.
Key members of CCPR include the FA (football), ECB (cricket), LTA
(tennis), RFU (rugby
union), BHA (horse racing). The work of the Centre for Sports Business
at Salford was
known to CCPR at the time Forrest and McHale bid for the contract;
David Folker in
particular, who commissioned the Player Performance Index on behalf of
the FA Premier
League in 2004, represented the FA on CCPR.
- The report identified risk factors threatening sports integrity
including the types of sporting
contest and bet that were most dangerous for integrity. These findings
influenced sports
administrators concerned with manipulation of events; cited in the
2008 report:
"Environmental Review of Integrity in Tennis", a report for the
World Tennis Association,
which includes an extract from the CCPR report demonstrating the
mechanics (developed
by Forrest and McHale) by which criminals can make a profit in betting
markets by fixing
the results of a set; "Threats to the integrity of sport in
Australia"
(http://www.crimecommission.gov.au/publications/crime-profile-series/threats-to-integrity-of-professional-sport-australia).Forrest
and McHale briefed the then Minister of Sport
(Gerry Sutcliffe, MP) on the recommendations from this report to CCPR.
There followed
the development of a compulsory policy for addressing threats to the
integrity of sport for
sports organisations in Britain ("The Parry Report").
-
2012: Forrest was a key advisor to the International
Centre for Sports Security (ICSS)
Initiative (Sorbonne, Paris). This meeting brought together
leaders in world sport and
leaders in world betting to explore common ground regarding the
mitigation of match
fixing; concluding that such mitigation might be provided through the
introduction of
revised betting rules, cooperation, and information sharing. Forrest
acted as moderator
(sole independent expert) providing an overview of the common ground
identified to an
invited audience (including betting operators, further representatives
of each industry, the
Director General of Interpol), and reported progress to the ICSS
conference, 2012.
-
2013: MINEPS V was the fifth meeting of Ministers of
Sport of all countries around the
world (such meetings occur roughly once every 10 years). It made a
declaration setting
out policies that national governments and international sporting
bodies should expect to
follow in order to combat match fixing, Forrest was a contributor to
Working Group 3 (on
sports corruption) which provided the background report for
discussions by the ministers.
- Facilitating networks for information sharing between governments,
sports bodies, betting
operators and law enforcement to improve integrity in sport:
-
2013: Training of Sports Administration Leaders:
Forrest was commissioned as co-author
and principal researcher of a 2012 report on match fixing by IRIS
(Institut de Relations
Internationales et Strategiques), a Paris based think-tank. There
followed a partnership
between the University of Salford, IRIS, European Lotteries, and
SportAccord to deliver a
series of seminars on Sports Integrity (EAC/S06/2012/036, funded by
the EU under
"Partenariato Europeens dans le Domaine du Sport") one in each of 21
EU member
states, where leaders of national sports federations would receive
training in the nature of
match fixing threats and how they should respond. These seminars began
in July 2013
and will conclude in September 2014. Forrest played an active role in
designing the
content of these seminars. SportAccord is the international federation
of world sports
federations and is the global body for sports administration, members
thus including FIFA
(soccer), ICC (cricket), IAAF (athletics), ITF (tennis), IRB (rugby),
UCI (cycling).
- Supporting international policy development to combat corruption in
sport:
-
2012: Examination of Threats to Sports Integrity: A
study commissioned by the EU Sports
Platform was launched in the European Parliament, Brussels. The study
"An Examination
of the Threats to the Integrity of Sports" identifies ten key
areas for sports to focus on, and
examines what can be done to minimise the risk to sports competitions
from these
threats. Forrest is comprehensively cited in this report.
-
2012: Invited Plenary Speech at INTERPOL Experts'
Conference, by Forrest in
Singapore, funded by Interpol, on the vulnerability of sport to
corruption.
-
2013: World Bank Seminar (Washington D.C.): Forrest
was discussant on how to create
an index for assessing country performance in terms of sports
security, safety and
integrity, his visit sponsored by International Centre for Sports
Security. The World Bank
plans to demand minimum standards in sports administration before it
will fund sports
projects in a country.
Sources to corroborate the impact
a) The report to CCPR http://www.epma-conference.net/Download/22012009/SalfordREPORT_Feb08.pdf
b) European Lotteries Sports Integrity action plan: https://www.european-lotteries.org/sports-integrity-action-plan
c) Gambling Commission/Olympic Games meeting: http://theconversation.com/illegal-betting-the-next-big-olympics-security-issue-8393
d) Report to IRIS http://www.sportaccord.com/multimedia/docs/2012/02/2012_-_IRIS_-_Etude_Paris_sportifs_et_corruption_-_ENG.pdf
e) EU funded project between the University of Salford, IRIS, European
Lotteries, and
SportAccord http://www.iris-france.org/docs/kfm_docs/docs/evenement/2013-01-21-communiqu-national-awareness-on-match-fixing.pdf;
f) NYT feature http://www.nytimes.com/2008/05/25/sports/othersports/25betfair.html?_r=0