UK Gambling Body Calls on Tech Platforms to Tackle Black Market Threat

Britain's leading gambling industry trade body, the Betting and Gaming Council (BGC), has urged major technology platforms to take decisive action against the spread of illegal gambling operators. These unlicensed entities are increasingly using digital channels to reach UK consumers. The call was formalized in an open letter published this week, signed by BGC chief executive Grainne Hurst, expressing significant worry over illicit gambling advertisements appearing across various online platforms, including social media, search engines, and digital ad networks.

The BGC highlighted the alarming growth of the black market, citing market research from H2 Gambling Capital, which projects that stakes with illegal sites could increase from approximately £17 billion currently to a substantial £33 billion within the next five years. These illicit operators pose considerable risks, exploiting online platforms to target UK residents, including those who have self-excluded from regulated gambling or are seeking support for gambling-related harm. Unlike licensed entities, these unregulated sites offer no customer protection checks, contribute no mandated research or treatment levies, and remit no UK taxes.

The proliferation of illegal gambling is starkly visible in advertising spend. According to analysis from advertising insights firm WARC, referenced by Hurst, nearly half of all gambling advertising expenditure in Britain now originates from illegal advertisers. Projections suggest that the advertising presence of black market operators could even surpass that of licensed operators by 2028. Hurst emphasized, “We no longer question if this problem can be addressed; instead, we question if enough is being done.”

Demands for Digital Platforms

The BGC's letter pressed technology companies to elevate their commitment to consumer safety, treating illegal gambling as a critical protection issue. It advocated for heightened investment in AI and data analytics to identify and remove unlawful gambling advertisements proactively, before they reach users. The council also called for increased cooperation among all relevant stakeholders.

While acknowledging the complexities between distinguishing paid advertisements and user-generated content, Hurst firmly dismissed such challenges as a reason for inaction. “But complexity cannot become an excuse for inertia,” she stated. The UK's Gambling Commission has also noted difficulties in monitoring illegal gambling, partially due to a rise in VPN usage, suggesting that even with a 30% uplift applied for hidden traffic, a larger proportion of illicit activity may remain undetected.

Government Involvement and Critique

The Department for Culture, Media and Sport (DCMS) has established a cross-body Illegal Gambling Taskforce, which meets biannually to address this escalating threat. However, Hurst expressed concern that despite some targeted tech companies participating in this taskforce, there is “little visible evidence that collective action is matching the scale of the threat” as the black market continues its expansion. The BGC underscored that without improved detection methods and cross-platform information sharing, efforts to police illegal gambling advertisements will remain significantly limited.

The BGC framed the issue not just as an industry concern but as a broader public policy challenge requiring unified action from government, regulators, tech platforms, and the regulated gambling sector. The council previously warned that unregulated operators could take in nearly £200 million in bets during the World Cup, further highlighting the urgency. Policies that restrict regulated operators in turn bolster the black market, according to Hurst. The BGC affirmed its readiness to collaborate with any platform committed to safeguarding consumers and countering illegal gambling. This call echoes similar industry efforts, such as tier one operator Entain's recent plea to the Independent Football Regulator (IFR) to prevent football clubs from accepting sponsorships from operators not licensed in the UK, aiming to reduce exposure to unlicensed brands, particularly among young men.