UK

Fears of a tax increase on online gambling in the UK loom while a new YouGov survey suggests that 65% of bettors agree that such change “would make customers turn to unregulated betting sites”.

The research was commissioned by the Betting and Gaming Council (BGC), the trade and standards body for UK betting, which warns that this shift could not only fail to generate more tax revenue but also jeopardise player safety.

Furthermore, the BGC is also concerned that increased taxation would severely impact the financial health of sports, particularly horseracing, which currently receives significant funding from its members.

Undermining the regulated gambling market

UK gambling is a highly regulated sector, servicing 14 million adults (excluding the National Lottery) who gamble per month and generating £10.9bn in annual gross gambling yield (GGY).

Licensing duties see consumers protected by safer gambling rules, compliance monitoring, customer care interventions, responsible gambling tools, controls, and financial probity – UKGC.

With the government now consulting on a major change to the way betting and gaming is taxed online, fears of a price increase for betting on sports like racing and football are only on the rise.

Sporting betting and online gaming is currently taxed at different rates, but last month HM Treasury launched a new consultation which proposed a single new tax.

Describing the stats as “shocking”, BGC CEO Grainne Hurst said that these figures prove what’s at stake if the government forces through a self-defeating tax hike on ordinary punters.

“It’s clear it will not raise more tax, it simply risks forcing huge numbers of customers out of the regulated market, with its world leading standards on player safety, into the arms of the growing, illegal, unregulated and unsafe gambling black market online,” she said.

“Any tax rises would make a mockery of the Government’s growth strategy and be catastrophic for horseracing, which is already facing a bleak financial outlook.”

A wake up call
The study revealed that only 23% of punters believe a tax hike is unlikely to have an impact on customers moving towards the black market.

It is also worth noting that the argument around the potential impact of the black market is a long-running one – and one which politicians have not always been very receptive to.

Hurst continued: “This is a wake up call for the government, punters have been loud and clear, hit them with further taxes and they will walk away from sports like racing, straight to the black market, triggering a spiral of decline.”

The survey posed a scenario to customers: “Imagine that betting on sports events like horseracing became more expensive because the government increased the amount of tax that betting companies have to pay. How likely or unlikely do you think it is, if at all, that this would make customers turn to unregulated betting sites that don’t have to pay any tax at all?”

As stated above, the BGC’s main concerns are about the black market. It was only at the end of last year that the Council warned the government that unregulated black market gambling poses greater risks than perceived by British consumers.

This followed a study published by microeconomics consultancy Frontier Economics and was described as “the first major study on the black market since the publication of the previous Government’s White Paper on gambling reforms”.

The coverage and ease of promotion of illegal websites were detailed as an area of concern, as 15% (2.8 million people) of gamblers who responded to the survey said they had heard of at least one of the black market sites listed.

The BGC also revealed that 1.5 million Brits stake up to £4.3bn on the growing gambling black market annually.

The organisation concluded: “This growing, unsafe, illegal gambling black market does not contribute to sport, does not pay tax and targets customers who are vulnerable to harm, including the self-excluded.”

Gambling harms charity Deal Me Out has launched a new accreditation scheme as it steps up its campaign to tackle unlicensed gambling operators The charity is testing the new system with a number of the UK’s leading operators, with plans to launch GAMRS, the Gambling Industry Accreditation, Monitoring & Registration Service, in mid-June. “This is…

The UK Gambling Commission (UKGC) has taken action against an amusement centre in West Yorkshire for failing to protect players through a gambling harm reduction initiative.

After being found to have failed to participate in the initiative while also failing to have a complaints and disputes process in place, Wyke Gaming & Amusement Centre in Bradford has had its operator licence suspended by the UKGC with immediate effect.

According to the UKGC, the venue failed to participate in a multi operator self-exclusion scheme that was put in place to allow problem gamblers to self-exclude from one or more venues in their area.

In addition to the failure to implement this self-exclusion scheme, Wyke Gaming & Amusement Centre was also found to have no arrangements in place for customers to be able to refer any dispute to an alternative dispute resolution entity.

To make matters worse for the Bradfordian adult gaming venue, the operator was not compliant with section 172(1) of the Gambling Act. This statute states that Category B gaming machines must not exceed 20% of the total number of gaming machines which are available for use on the premises.

Wyke Gaming & Amusement Centre’s suspension will remain in place until the Commission has been able to verify that the Licensee’s facilities are operating compliantly.

UKGC not letting up on enforcement actions
A series of incidents this year show that the UKGC is just as committed to enforcing compliance with UK betting laws and regulations as ever before. This comes against the backdrop of continuing political pressure on the sector, particularly around player protection.

In recent regulatory action taken by the UKGC, Spreadex Limited received a £2m penalty due to failings in anti-money laundering (AML) procedures and social responsibility safeguards.

The Commission’s investigation underscored a “breakdown in risk assessment” on the Spreadex.com platform, which was criticised for failing to consider core risk factors such as customer profiles, transaction methods and geographic exposure, as required under official AML guidance.

This was not the operator’s first reprimand with the regulator. In 2022, Spreadex paid a £1.36m settlement for similar AML and safer gambling failings.

The UK’s Gambling Commission has announced that it will not be introducing any affordability checks in an industry update on its ongoing pilot of financial risk assessments. Director of Major Policy Projects Helen Rhodes felt impelled to spell out the difference after it was presumed by most observers that “financial risk assessments” were just a…

The Wave-4 datasets of the second year of the Gambling Survey of Great Britain (GSGB) have been published as the principal research project of the UK Gambling Commission (UKGC).

The GSGB was developed over a two-year period to implement a new research design for UK gambling, aimed at providing all relevant stakeholders with more frequent and consistent data on gambling prevalence and changing trends.

Wave-4 research of the GSGB was conducted by NatCen on a nationally representative sample of 5,191 adults aged 18 and over, during the period from September 2024 to January 2025.

According to headline findings, 46% of adults gambled during the previous four weeks, down from 49% in the previous wave.

Approximately one-fifth of participants (19%) engaged solely with lottery draws, including the National Lottery and charity lotteries. The overall gambling prevalence remains at 28% since 2024 when lottery-only players are excluded from the analysis.

This distinction is critical for understanding consumer risk. The 28% group consists of participants engaging in higher-risk products, whereas lottery draws are generally viewed as lower-risk gambling activities.

Riskier verticals attract younger male cohorts
The data show significant usage of products typically associated with higher gambling risk. The three most frequently used non-lottery activities were scratchcards (12%), sports betting (10%), and online instant win games (7%).

A total of 7% of survey participants who bet on sports chose to wager on live football matches, with young male participants showing the highest levels of engagement. These players also show a strong preference for betting exchanges, in-play betting, and virtual racing — products that require repeated player interaction.

Online casino activities are captured under categories such as online instant win and in-play betting, as they do not have a distinct headline designation. Harm reduction groups flag these verticals due to their rapid gameplay mechanics and highly engaging design features.

Demographic trends: younger, more digital
The age distribution shifts significantly once lottery-only participants are excluded. While gambling prevalence is highest among males aged 35–64 overall, males aged 18–24 become the most active group, with a 47% participation rate.

This younger demographic is more inclined to use digital platforms. Online gambling participation was recorded at 37% across the full sample, but this fell to 17% when lottery-only players were excluded — highlighting how lottery participation inflates digital engagement figures.

The core gambling participation rates in Wave 4 of the GSGB indicate a trend towards stabilisation. However, deeper analysis reveals a younger cohort engaging more heavily with higher-risk gambling activities. These findings offer crucial insights for future UKGC regulatory actions, helping to define patterns in modern digital gambling behaviour.

Advertisements for non-GAMSTOP casinos have once again entered the mainstream public domain, further putting UK customers at risk.

In a development that few, if any, could’ve predicted, the website of the Brexit Party – the former political entity of Nigel Farage – is now seemingly acting as an affiliate for casinos that proudly boasts their ‘non-GAMSTOP’ offers.

This implies that the websites promoted will accept users who are excluded from regulated UK gaming sites. All operators holding a UK Gambling Commission (UKGC) must provide links to GAMSTOP as part of licensing conditions.

SBC News wrote about a similar promotion last week, where a global PR newswire ran an advertisement about such a casino. The website, MyStake, was easily accessible by anyone in the UK and certainly in breach of any UKGC regulations.

The most recent case however led to even more headscratching, as it is unusual to see a politically-related domain promoting these types of casinos.

The name ‘Brexit Party’ is no longer used by any active UK political parties, with the party itself having undergone a rebrand to Reform UK, and subsequently switched to a new website.

However, the domain name for its previous incarnation remains the same. A likely explanation is that the domain expired after Farage moved on to Reform, and was subsequently auctioned or outright bought by the affiliate who is now running it.

ComposedPix/Shutterstock
Spotlight on self-exclusion due diligence
What is even more interesting though is that the names of casinos listed there include those of Betfair and Betfred – two well-known UK brands that are licensed by the UKGC.

Of importance, both operators have previously fully committed to using GAMSTOP and prevent anyone who has self-excluded from using their services.

The UKGC’s general stance against affiliates promoting non-GAMSTOP casinos is very stringent. There are harsh regulatory punishments for operators found to be working with such affiliates.

If Betfair and Betfred are in fact in a contractual relationship with the affiliate running the former Brexit Party website, this could spell trouble for both.

UKGC guidelines dictate that operators should ensure that the affiliates they’re partnered with have removed self-excluded customers from their brand-specific marketing lists.

This means that both Betfair and Betfred should be able to demonstrate proactive actions to prevent their marketing materials from being sent to such customers.

But as they are not responsible for the rest of the affiliate’s business practices, the question remains – what about the other websites and the wider UK online space?

SBC News has reached out to Betfair, Betfred, the UKGC, and GAMSTOP for comments.

Update: Betfred has responded: “We have no partnership with this site and we have asked for the immediate removal of our logo and link.”

Northern Irish politicians have expressed alarm at the levels of gambling harm reported in the 2024 Gambling Prevalence Survey.

One of the most significant findings is the low number of people seeking help, with just 1% of those who partake in gambling accessing support or information from betting or mental health services.

Commissioned by the Department for Communities, the survey has led Sinn Féin MLA Philip McGuigan, Chair of The All Party Group on Reducing Harm Related to Gambling, to urge the government to take action amid a political stalemate on gambling reform.

McGuigan said: “The Minister of Health must act without delay to commission dedicated gambling treatment services. With existing addiction services already under pressure, additional funding is essential.

“The findings of this survey point to a serious gap in provision for addiction treatment in the north. The need is clearly there, but people aren’t getting the help they need.”

Concerning numbers and slow politics
A total 3% of the country’s population are experiencing what the report described as severe gambling-related harms, whilst a further 10% are considered low or moderate risk gamblers.

Another important figure to note is the amount of adults who gambled in the past 12 months who admitted to betting more than they could afford to lose, which stands at around one in seven.

McGuigan highlighted that the figures underscore the serious social and public health implications of gambling addiction.

The politician has been a vocal figure in calling for gambling reform in Northern Ireland, where the industry is governed by the decades old Betting, Gaming, Lotteries & Amusements Order of 1985,

“This isn’t just about individuals losing money; it’s about broken families, damaged relationships, and communities struggling with the fallout of gambling harms,” he continued on the findings of the prevalence survey.

Ripple effects
The survey highlighted that one in eight people admitted needing to gamble increasing amounts to achieve a high level of excitement, and nearly one in 12 said gambling had caused stress and anxiety.

Meanwhile, the survey also found that 10% of people affected by gambling had experienced the breakdown of a close relationship due to someone’s gambling.

McGuigan is now asking the Minister for Communities to bring forward the promised levy on land-based gambling operators without delay to address the funding gap.

Additionally, he has criticised the British Government for excluding Northern Ireland from the proceeds of the statutory levy on gambling operators introduced in Britain on 6 April.

Finally, the Chair has urged the Secretary of State for Culture, Media and Sport (DCMS) to implement tighter ad restrictions after the survey revealed 66% of respondents believe there are too many gambling promotions, and 71% support a watershed for gambling ads on TV and radio.

As stated above, McGuigan is one of the more notable politicians vocally calling for gambling reform in Northern Ireland. It was only in November last year that McGuigan urged DCMS to intervene and align online gambling advertising protections for Northern Ireland with the rest of the UK.

The demand was made by members of the All-Party Group of the Stormont Assembly on Gambling Harms Reduction, who wrote to Secretary of State Lisa Nandy to “bridge the gap on gambling advertising.”

The UK Gambling Commission (UKGC) has confirmed that an investigation into TGP Europe culminated in the firm being issued a £3.3m penalty for due diligence and AML failures. SBC News and iGaming Expert noticed yesterday that the all 15 domain names operated by TGP Europe had ceased accepting both new and existing customers, 13 of which did so on 8 May. A key…