British Politicians Learn the Betting Rules the Hard Way

Everyone in financial markets knows the laws of insider trading. They’re drilled into you day one on the job. If in the possession of material, non-public information (in the US) or inside information (in the UK), you don’t trade, either personally or on behalf of others, nor do you cause anyone else to trade. Regular training pushes home the principle, and a compliance infrastructure polices it.

Now, such measures are likely to become commonplace in other fields — starting with politics. Over the past two weeks, UK politicians have become engulfed in a rolling betting scandal. First, Conservative Party insiders were accused of placing bets on the timing of the general election prior to its sudden announcement. Then, a Labour parliamentary candidate had support from his party revoked after it emerged he had placed a bet on himself to lose.