BGC unveils five-point plan to combat UK illegal gambling

The Betting and Gaming Council (BGC) has introduced a comprehensive five-point plan designed to address the growing presence of illegal gambling operators in the United Kingdom. The industry body is urging closer collaboration between government agencies, regulators, technology companies and financial institutions to tackle what it describes as an increasingly significant threat to consumer protection and market integrity.

Representing approximately 90% of the regulated betting and gaming industry in the UK, the BGC has expressed concern that unlicensed gambling operators are attracting a growing share of consumer spending. According to forecasts referenced by the organisation, activity within the illegal gambling market could increase substantially over the coming years if further action is not taken.

The proposed measures focus on advertising enforcement, website blocking powers, payment restrictions, accountability for service providers and stronger criminal sanctions. Together, the recommendations aim to disrupt illegal operators while reinforcing the protections available within the regulated gambling sector.

Concerns over the growth of the illegal market

The BGC's latest proposals come amid growing concerns that unlicensed gambling operators are becoming increasingly sophisticated in their efforts to attract British consumers.

Forecasts cited by the organisation suggest that stakes placed with illegal gambling operators could rise from £17 billion in 2025 to more than £33 billion by 2028. If those projections materialise, nearly one in every five pounds wagered online could be directed toward unlicensed operators within three years.

Industry stakeholders have warned that such growth could have significant implications for consumer safety. Unlike licensed operators, illegal gambling businesses do not operate under the UK regulatory framework and are not required to comply with the extensive safeguards imposed by the regulated market.

The BGC argues that this trend presents challenges not only for the gambling industry but also for policymakers, law enforcement authorities and consumer protection organisations.

Stronger action against illegal advertising

The first element of the BGC's plan focuses on reducing the visibility of illegal gambling operators online.

According to the organisation, unlicensed operators increasingly use social media platforms, affiliate marketing networks and digital advertising channels to reach UK consumers. The BGC has called on technology companies and social media platforms to take faster and more decisive action to remove content that promotes illegal gambling services.

The trade body noted that illegal operators often exploit gaps in content moderation systems to advertise their services. In some cases, they use marketing techniques that regulated operators are prohibited from employing under UK advertising rules.

The organisation believes that reducing exposure to such advertising would make it more difficult for illegal operators to attract new customers and expand their market share.

Enhanced powers for the Gambling Commission

A second recommendation centres on providing additional enforcement tools to the UK Gambling Commission.

The BGC is advocating for stronger powers that would allow regulators to block illegal gambling websites more efficiently and remove unlicensed gambling applications from digital marketplaces.

According to the organisation, illegal operators have become increasingly adept at creating websites and mobile applications that closely resemble legitimate gambling brands. This can create confusion among consumers and make enforcement efforts more complex.

By strengthening regulatory powers, the BGC believes authorities would be better positioned to respond quickly to emerging threats and prevent illegal operators from maintaining a presence in the UK market.

Targeting payment channels

Another key pillar of the proposal involves restricting access to payment systems used by illegal gambling operators.

The BGC argues that payment providers have an important role to play in disrupting unlawful gambling activities. By identifying and blocking transactions connected to illegal operators, financial institutions could significantly reduce the ability of such businesses to generate revenue from UK consumers.

The organisation maintains that cutting off payment routes would create substantial operational challenges for illegal operators and reduce their ability to serve customers.

Financial institutions have increasingly become part of broader efforts to combat online fraud and financial crime. The BGC believes a coordinated approach involving payment providers could contribute meaningfully to efforts aimed at reducing illegal gambling activity.

Holding facilitators accountable

The fourth element of the plan calls for penalties against organisations that knowingly provide services to illegal gambling operators.

According to the BGC, some illegal operators rely on a network of third-party providers to support their activities. These services may include advertising, web hosting, marketing support and payment processing.

The trade body argues that stronger consequences for businesses that facilitate illegal gambling could discourage cooperation with unlicensed operators and reduce their ability to operate effectively.

The organisation also highlighted differences between the obligations imposed on licensed operators and the methods frequently used by illegal gambling businesses. While regulated operators must comply with strict advertising standards and regulatory requirements, illegal operators often use alternative promotional channels including influencers, affiliate networks and emerging technologies.

Tougher criminal sanctions proposed

The final recommendation focuses on introducing stronger criminal penalties for individuals and organisations involved in illegal gambling activities targeting UK consumers.

The BGC believes tougher sanctions would act as a deterrent and reinforce the seriousness of operating outside the regulatory framework.

The proposal reflects wider concerns that illegal gambling can be associated with broader criminal activity, including fraud, financial misconduct and other forms of unlawful behaviour. By increasing enforcement and strengthening penalties, the organisation hopes to create greater barriers for those seeking to profit from unlicensed gambling operations.

Consumer protection remains a central concern

A central theme throughout the BGC's proposal is the importance of consumer protection.

The organisation argues that customers who engage with regulated gambling operators benefit from a range of safeguards designed to promote responsible gambling and reduce potential harms.

These measures include age verification requirements, identity checks, safer gambling tools, affordability protections and formal complaint resolution processes.

In contrast, illegal operators are not subject to the same standards and oversight. As a result, consumers who use unlicensed platforms may have limited protections if disputes arise or if they encounter financial or security-related issues.

The BGC has also warned that policy decisions should carefully consider potential unintended consequences. According to the organisation, measures that inadvertently encourage consumers to seek alternatives outside the regulated market could undermine broader consumer protection objectives.

Industry calls for greater collaboration

The BGC welcomed the establishment of the Government's Black Market Taskforce, describing it as a positive development in efforts to address illegal gambling.

However, the organisation stressed that further action is needed to ensure effective cooperation among regulators, law enforcement agencies, technology companies and financial institutions.

The trade body believes that a coordinated response is essential because illegal operators increasingly use multiple channels to reach consumers. These include social media platforms, search engines, affiliate marketing networks and encrypted communication services.

By working together, stakeholders may be better positioned to identify illegal activity, disrupt operations and reduce consumer exposure to unlicensed gambling services.

Grainne Hurst outlines the risks

Grainne Hurst, Chief Executive of the Betting and Gaming Council, emphasised the urgency of the issue while outlining the organisation's concerns about future market trends.

She said: “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.

“That should concern anyone who cares about consumer protection and reducing gambling-related harm.

“Illegal gambling operators offer none of the protections required in the regulated sector. They do not conduct safer gambling interventions, they do not carry out identity checks, they do not verify age properly and they provide no route to redress when things go wrong.

“Every customer who is driven into the black market loses those protections.

“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.

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

“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.

“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.

“Our five-point plan sets out practical, targeted measures that would strike at the heart of the black market and better protect consumers.”

Conclusion

The Betting and Gaming Council's five-point plan represents a broad industry proposal aimed at addressing the challenges posed by illegal gambling operators in the United Kingdom. By focusing on advertising enforcement, regulatory powers, payment restrictions, accountability measures and stronger criminal sanctions, the organisation seeks to reduce the influence of unlicensed operators and strengthen consumer safeguards.

As online gambling continues to evolve, the effectiveness of efforts to combat illegal activity will likely depend on cooperation among regulators, government authorities, technology platforms, payment providers and industry participants. The BGC's proposals contribute to the ongoing debate about how best to protect consumers while maintaining a well-regulated and transparent gambling environment. Whether these recommendations are ultimately adopted, the discussion highlights the growing importance of coordinated action in addressing risks associated with the illegal gambling market.

FAQs

What is the Betting and Gaming Council?
The Betting and Gaming Council is a trade association that represents a large proportion of the regulated betting and gaming industry in the United Kingdom.

What is the purpose of the BGC's five-point plan?
The plan aims to reduce illegal gambling activity and strengthen consumer protections through coordinated action by regulators, government agencies, technology companies and financial institutions.

Why is illegal gambling considered a concern?
Illegal gambling operators operate outside the regulatory framework and may not provide consumer protections such as age verification, safer gambling tools and dispute resolution processes.

What growth is forecast for the illegal gambling market?
Forecasts cited by the BGC suggest that stakes placed with illegal operators could rise from £17 billion in 2025 to more than £33 billion by 2028.

How does the BGC propose addressing illegal gambling advertising?
The organisation wants technology companies and social media platforms to remove illegal gambling advertisements and promotional content more quickly.

What additional powers does the BGC want regulators to receive?
The BGC is calling for enhanced authority for the UK Gambling Commission to block illegal gambling websites and remove unlicensed applications.

Why are payment providers included in the plan?
The BGC believes that blocking financial transactions linked to illegal operators could make it more difficult for those businesses to operate.

What penalties are proposed for service providers?
The organisation proposes sanctions for companies that knowingly provide services such as advertising, hosting or payment processing to illegal gambling operators.

What consumer protections are available in the regulated market?
Regulated operators generally provide age verification, identity checks, safer gambling tools, affordability measures and formal dispute resolution procedures.

What is the Government's Black Market Taskforce?
The Black Market Taskforce is an initiative aimed at addressing illegal gambling activity and improving coordination between relevant stakeholders.