The Betting and Gaming Council (BGC) launched a five-point plan on 8 June calling on the UK government, regulators, technology firms and payment providers to shut down illegal gambling operators targeting British consumers. The standards body, which represents around 90% of the regulated UK betting and gaming industry, warned that black market stakes could nearly double within three years if no action is taken.
Independent forecasts by H2 Gambling Capital estimate that black market gambling stakes could rise from £17bn in 2025 to more than £33bn by 2028. On that trajectory, almost one in every five pounds staked online would be placed with an illegal operator within three years. H2 Gambling Capital analysis also shows the amount staked with unlicensed operators has reached £16.6bn, more than tripling since 2019 and doubling in the past two years alone.
The BGC framed the proposal as a direct response to evidence that unlicensed operators are scaling faster than current enforcement can contain. Those operators offer none of the safeguards required in the regulated sector, pay no UK tax and contribute nothing to British sport, the body said.
What the five-point plan proposes
The plan sets out five measures aimed at different parts of the black market ecosystem. The first targets advertising, making social media companies responsible for removing illegal gambling content. The BGC cited WARC analysis finding that illegal operators now account for almost half of all UK gambling advertising spend and are projected to overtake licensed operators by 2028.
The second measure would give the Gambling Commission stronger powers to block illegal websites and remove unlicensed gambling apps, addressing how quickly criminal operators spin up new platforms designed to mimic legitimate brands. The third focuses on payments, preventing providers from processing transactions linked to illegal operators and disrupting the financial networks that keep them running.
The fourth measure would introduce penalties for companies that knowingly supply advertising, payment processing, hosting or other services to illegal gambling businesses. The BGC pointed to Alvarez & Marsal analysis showing advertising compliance among licensed operators is high, with Advertising Standards Authority rulings relating to fewer than 0.02% of gambling adverts. The fifth measure calls for tougher criminal sanctions against those who operate, support or profit from unlicensed operations.
A consumer protection argument
The BGC positioned the plan less as industry protection and more as a public policy concern, listing fraud, financial crime and gambling-related harm as the consequences of an expanding black market. It warned that policies which unintentionally push consumers toward unlicensed operators risk strengthening criminal businesses and undermining investment in safer gambling protections.
That framing carries weight at a moment when UK operators face confirmed tax increases that take the online casino rate to 40% and sports betting to 25%. Operators including Evoke have already argued that higher duties will drive consumers toward unlicensed sites, a line of reasoning that runs directly through the BGC’s case for tighter enforcement.
The black market is growing fast, becoming more visible and attracting billions of pounds in stakes from British consumers. These forecasts are a wake-up call for everyone involved in protecting consumers. If current trends continue, black market gambling stakes could exceed £33bn within three years, with almost one in every five pounds staked online potentially ending up with illegal operators.
Grainne Hurst, Chief Executive of the BGC, said illegal operators conduct no safer gambling interventions, no proper age verification and provide no route to redress when problems arise. She described tackling the black market as a consumer protection issue, a public health issue and a criminal justice issue requiring coordinated action across government, regulators and the technology and payments sectors.
Pressure on the Black Market Taskforce
The BGC described the Government’s Black Market Taskforce as a welcome first step while pressing for its work to be strengthened and translated into concrete enforcement. The body wants regulators, law enforcement, payment providers and technology companies brought into a coordinated effort to disrupt illegal operators.
The call lands alongside a wider regulatory picture in which the Gambling Commission has already mapped the scale of the problem. Its final report on the illegal online gambling market examined how unlicensed operators reach UK consumers, and the BGC’s plan effectively asks ministers to act on that evidence with new powers and sanctions.
The five-point plan is a lobbying position rather than confirmed policy, and the BGC has not attached a timeline for legislative change. Whether ministers adopt any of the measures will become clearer as the Black Market Taskforce moves from formation to action over the coming year.
Source: Betting and Gaming Council
