BGC Targets UK Black Market as Illegal Stakes Could Double
The Betting and Gaming Council launched a five-point plan on 8 June 2026 to curb illegal gambling operators targeting British consumers. The BGC, which represents around 90% of the regulated UK betting and gaming sector, warned that the black market has outpaced current enforcement efforts.
Central to the BGC’s case is a forecast from H2 Gambling Capital: black market gambling stakes could climb from £17bn in 2025 to more than £33bn by 2028. On that trajectory, almost one in every five pounds staked online could go to illegal operators within three years.
Advertising and Website Blocking Lead the Plan
The first measure calls for social media companies to take responsibility for removal of illegal gambling content and ads. According to WARC analysis cited by the BGC, illegal operators now account for almost half of UK gambling advertising spend and could overtake licensed operators by 2028.
Stronger powers for the Gambling Commission form the second plank, specifically the ability to block illegal gambling websites and remove unlicensed apps more quickly. H2 Gambling Capital data puts the amount staked with illegal operators at £16.6bn, more than triple the 2019 figure and double what it was two years ago.
Payments, Penalties and Criminal Sanctions
The third proposal focuses on payment flows. The BGC wants payment providers to refuse transactions linked to unlicensed operators, with the argument that access to deposits and withdrawals is the core of the black market’s business model.
Fourth on the list are penalties for companies that knowingly facilitate illegal gambling through advertising, payment processing or hosting. The BGC noted that illegal operators use influencers, search engines and AI-generated content to reach consumers outside the UK regulatory framework. By contrast, Alvarez & Marsal analysis cited by the BGC shows that ASA rulings relate to fewer than 0.02% of gambling adverts from licensed operators.
Tougher criminal sanctions round out the plan. The BGC wants penalties that reflect the consumer harm caused by illegal operators and give law enforcement stronger tools against organised criminal activity.
Grainne Hurst, Chief Executive of the BGC, described the forecasts as a warning for policymakers: “The black market is growing fast, becoming more visible and attracting billions of pounds in stakes from British consumers.” She added: “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.”
Hurst placed the issue beyond industry self-interest: “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.”
The BGC welcomed the creation of the UK Government’s Black Market Taskforce but said its work must now produce concrete action from regulators, law enforcement, payment providers and technology companies.
💡TGJ Take
The BGC’s plan is also a warning to ministers: tighter rules on licensed operators can backfire if enforcement against illegal sites does not keep pace. For operators, the core issue is channelisation. If compliant brands face higher costs while illegal rivals retain access to ads, payments and search traffic, the regulated market loses both customers and margin. Affiliates should watch this closely too, because traffic sources tied to unlicensed brands could become a direct compliance liability if the UK moves toward penalties for enablers. The H2 Gambling Capital forecast makes the policy risk hard to ignore.
