What is the House Edge?

Whenever you're gambling online, then it's important to know all the different aspects of gambling alongside any important terminology. A common phrase at a casino is house edge. This is very important to know as it can impact your overall gaming. So, what does it mean and how does it work?

Well, the house edge refers to the share of each bet that the casino thinks it will get in the long run. It's calculated over thousands of rounds of a game. Importantly, it's the statistical edge held by the casino that ensures it will win in the long-term. This is the case no matter how much the game's outcome varies over short gaming sessions.

Finding the house edge

Helpfully, all casino games come with the house edge advertised. This is important as it helps players to determine what their chances are and which games to choose. Additionally, it's essential that you understand the difference between house edge and return to player rate or RTP. They are similar, but they're opposite sides of the same thing.

House edge, as mentioned, is the percentage of the each bet that the casino gets to keep. In contrast, the RTP is the percentage of the total bets that are returned to the player as winnings over a period of time. So, a house edge of 5% translates to an RTP of 95%. They are inversely related.

So, understanding both can help players make a decision regarding which games to play at the top online casinos for UK players. Games are required to show the RTP which means players can then understand the house edge. The higher the RTP, the lower the house edge which means the better it is for the player i.e., the odds are more in their favour of a win.

Choosing games with a good RTP

Generally speaking, it's good to look for games that have an RTP of 96% or higher. This means that players have a better chance of claiming winnings over the longer term. To further illustrate, a 96% RTP means that if you were to spend £100 on the game, over time you could expect to win £96 of that back. Typically, slot games have RTPs ranging from as low as 88% to as much as 97%. However, it is other games such as roulette, blackjack, baccarat and video poker that have significantly higher RTPs and are well worth checking out.

The impact of the house edge on winnings

As mentioned, different games have different house edges or RTPs. Putting this in perspective of the casino side, slots are generally the worst for claiming winnings. The house is more likely to win more quickly when you're playing a slot in comparison to a table game. For European roulette, you're likely to lose around £2.70 per £100 while blackjack it's around 50p. The impact of the house edge becomes more evident the longer you play. A high house edge will be more noticeable as you'll go through your bankroll a lot faster than if you're playing games with a low house edge.

Beating the house edge

While many players claim there are ways to beat the house edge, the truth is there isn't. Yes, there is card counting, bankroll management and playing a betting strategy. These strategies can help minimise the impact of the house edge, but they do not eliminate it. Beating the house edge is a myth and should not be chased as its likely doing so will result in greater loses. Choose the game wisely, manage your bankroll and never chase losses for the best outcome.