The UK Betting and Gaming Council (BGC) has unveiled a new five-point plan to combat the encroaching illegal gambling black market. The council emphasized that this is an important task since illegal operators expose players to significant gambling harm risks.
The Illegal Gambling Black Market Is Projected to Continue Growing
In its release, the BGC noted that its proposed intervention is a response to the unchecked growth of the black market. It cited H2 Gambling Capital estimates that predict the unlicensed gaming sector could rise from GBP 17 billion in 2025 to over GBP 33 billion by 2028. The latter figure suggests that one in every five pounds staked online in the UK would be placed with an illegal operator.
The BGC, which represents roughly 90% of the regulated UK betting and gaming industry, emphasized that unlicensed companies do not pay taxes, do not contribute to the economy, and do not have sufficient measures to prevent gambling fraud or problem gambling.
Every customer lost to the black market is a customer gambling without safeguards, without oversight and without the protections that exist within Britain’s highly regulated gambling market.
BGC statement
Because of that, the BGC vowed to tackle this serious issue.
Five Key Recommendations to Tackle the Black Market
In its five-point plan, the BGC outlined five key ways in which it proposes inhibiting the presence of the black market. These are, as follows:
- Shut down illegal gambling advertising
- Block illegal gambling websites
- Cut off the money
- Hold enablers accountable
- Get tougher on illegal operators
The BGC argued that contacting social media platforms and convincing them to stop promoting illegal gambling products, would make them less visible and, by extension, reduce the number of players engaging with them. The BGC noted that illegal operators currently account for almost half of all UK gambling advertising spend.
At the same time, if the UKGC receives stronger powers that allow it to block illegal gambling websites, the UK gaming sector would be able to eliminate key offenders and disrupt their operation. While illegal operators can make additional sites, sufficient powers could allow for swifter and more effective action.
The third point proposed by the BGC is contacting payment providers and convincing them to join the war on illegal gambling by limiting or blocking transactions linked to illegal gambling operators. This would cause significant difficulties to black market companies, the BGC argued.
The BGC also encouraged holding those who support illegal operators via advertising, payments, and other services, accountable. The council pointed out that the black market does not act alone and is dependent on a broader ecosystem of marketers and payment providers. If the latter face consequences, the black market would also face trouble.
The final proposal encouraged the government to impose tougher criminal sanctions that would make criminals think twice before offering illegal products in Great Britain.
The UK Should Strike at the Heart of the Issue
Grainne Hurst, CEO of the BGC, issued a warning to the broader sector, saying that the black market is growing fast and that this growth must be addressed before it hurts more consumers. She said that the recent forecasts suggest that the black market’s size could double in a few years and noted that this should be a wake-up call for everyone who wishes to protect British consumers.
The evidence is already clear. Illegal operators are targeting British consumers online, advertising through social media, processing payments through legitimate financial systems and exploiting gaps in enforcement. If policymakers fail to tackle this growing threat, more gambling will take place in environments with no safeguards, no oversight and no consumer protections.
Grainne Hurst, CEO, BGC
Hurst added that cracking down on illegal gambling is a consumer protection issue, a public health issue and a criminal justice issue that government officials, regulators, tech companies, and payment services should work together to address. She noted that the five-point plan “sets out practical, targeted measures that would strike at the heart of the black market and better protect consumers.”
While the BGC acknowledged the recent creation of a Black Market Taskforce, the council said that this was but the first step in solving the issue at hand.