UK Black Market Betting Stakes Could Double Within Five Years

Britain gambling trade body has asked major technology platforms to do more against illegal gambling ads reaching UK consumers. The Betting and Gaming Council says black market operators use social media, search, messaging apps and digital ad networks to find players.

---

Good To Know

• H2 Gambling Capital estimates UK illegal gambling stakes could rise from about £17 billion to £33 billion within five years.
• The BGC says illegal gambling advertisers already account for almost half of gambling ad spend in Britain, based on WARC analysis.
• The DCMS has set up an Illegal Gambling Taskforce, which includes some of the tech companies named in the BGC letter.

---

BGC Says Illegal Operators Are Reaching Vulnerable Users

The BGC warning came through an open letter published Tuesday and signed by chief executive Grainne Hurst. The letter focused on illegal gambling ads that appear across major online channels and, in some cases, reach people who have self excluded or searched for gambling help.

Unlicensed operators do not follow the same UK rules as legal betting and gaming companies. The BGC said those sites avoid customer checks, do not pay UK gambling taxes and do not contribute to required research, education and treatment funding.

Hurst argued that the scale of online advertising now needs a firmer response from the tech sector.

“We no longer question if this problem can be addressed; instead, we question if enough is being done,” Hurst said.

The BGC also pointed to WARC analysis showing illegal gambling advertisers made up almost half of gambling advertising spend in Britain. Forecasts suggest black market operators could pass licensed operators in advertising presence by 2028.

Tech Firms Asked To Remove Ads Before Users See Them

The BGC wants platforms to detect and remove illegal gambling advertising before users see it. The letter also called for more use of AI, better data analytics and closer cooperation between tech companies, regulators, government and the licensed gambling sector.

The Gambling Commission recently said illegal gambling activity remains difficult to measure, partly because more users rely on VPNs. A 30% uplift has already been applied to account for VPN hidden traffic, but newer data suggests an even larger share of black market gambling may sit outside normal tracking.

Hurst accepted that paid ads and user generated content create different challenges, but rejected delay as a response.

“But complexity cannot become an excuse for inertia,” she said.

The DCMS Illegal Gambling Taskforce now gives public bodies and private companies a forum to coordinate action. It is due to meet twice a year. Hurst said some tech companies addressed in the letter already take part, “yet as the black market continues to grow, there remains little visible evidence that collective action is matching the scale of the threat,” she added.

The BGC said better detection and cross platform information sharing will decide whether illegal gambling ads can be policed properly. Without that, unlicensed operators can keep moving between platforms and ad channels.

The post UK Black Market Betting Stakes Could Double Within Five Years appeared first on iGaming.org.