UK: Betting and Gaming Council unveils five-point plan to combat growing black market

The Betting and Gaming Council (BGC) on Tuesday unveiled a five-point plan aimed at tackling the UK's growing illegal gambling market, warning that black market betting activity could more than double by 2028 and expose consumers to increased risks of fraud, financial crime and gambling-related harm.

The industry standards body, which represents around 90% of the regulated UK betting and gaming sector, called on government, regulators, technology companies and financial institutions to work together to curb illegal operators targeting British consumers.

The BGC's proposal comes as independent forecasts by H2 Gambling Capital estimate that black market gambling stakes could rise from £17 billion ($22.7 billion) in 2025 to more than £33 billion ($44 billion) by 2028. The consultancy also forecasts that nearly one in every five pounds wagered online could be placed with illegal operators within three years if current trends continue.

"The black market is growing fast, becoming more visible and attracting billions of pounds in stakes from British consumers," BGC Chief Executive Grainne Hurst said.

"These forecasts are a wake-up call for everyone involved in protecting consumers."

The BGC said illegal operators offer none of the safeguards required in the regulated sector, including safer gambling interventions, age-verification checks and avenues for customer redress. It added that such operators pay no UK tax and contribute nothing to British sport.

Under its five-point plan, the BGC called for stronger action against illegal gambling advertising, including requiring social media companies to remove unlawful gambling content and advertisements.

The body also proposed granting the Gambling Commission stronger powers to block illegal websites and remove unlicensed gambling applications, arguing that criminal operators can quickly create new platforms designed to mimic legitimate gambling brands.

A third measure seeks to prevent payment providers from facilitating transactions linked to illegal gambling operators, while a fourth calls for penalties against companies that knowingly provide advertising, hosting, payment processing or other services to illegal gambling businesses.

The final recommendation urges tougher criminal sanctions against individuals and organisations that operate, support or profit from illegal gambling activities targeting UK consumers.

According to H2 Gambling Capital, the amount staked with illegal operators has reached £16.6 billion ($22 billion), more than tripling since 2019 and doubling over the past two years. The consultancy also found that black market operator profits and stakes doubled between 2023 and 2025.

Separately, research from WARC found that illegal operators now account for almost half of all UK gambling advertising spending and are projected to overtake licensed operators by 2028.

"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," Hurst said.

"If policymakers fail to tackle this growing threat, more gambling will take place in environments with no safeguards, no oversight and no consumer protections."

The BGC said the growth of the illegal market risks undermining efforts to improve consumer protection and responsible gambling standards. It added that while the government's Black Market Taskforce was a positive first step, further action was needed to strengthen enforcement and coordination among regulators, law enforcement agencies, payment providers and technology companies.

"This is not simply an issue for the regulated industry. It is a consumer protection issue, a public health issue and a criminal justice issue," Hurst said.

"Government, regulators, technology companies and payment providers must work together to stop illegal operators reaching British consumers, cut off their funding and hold those who facilitate their activities accountable."