The Betting and Gaming Council (BGC) has issued a stark warning regarding the health of the UK’s regulated gambling sector, estimating that up to £100 million in bets may have been placed with illegal operators on Boxing Day alone.
Citing data from H2 Gambling Capital, the industry body highlighted that the festive date accounts for approximately one percent of annual betting activity, serving as a bellwether for broader market trends.
Tax Reforms Could Fuel the Black Market T
he BGC used these figures to underscore the potential dangers of the government’s proposed tax reforms. The council argues that increasing duties on licensed operators will inevitably make the regulated market less competitive. If licensed bookmakers are forced to offer poorer odds or tighter restrictions to offset tax hikes, players are likely to migrate to the unregulated black market, where no such safeguards exist.
Economic and Social Impact
Grainne Hurst, Chief Executive of the BGC, emphasized that a shift toward illegal platforms is a loss for everyone except the black market operators. Unlicensed sites pay no tax to the UK Treasury and contribute nothing to the economy or British sports. Moreover, they operate without the strict player protection, affordability checks, and anti-money laundering protocols that bind regulated operators.
Fiscal Consequences
The warning aligns with forecasts from the Office for Budget Responsibility, which has suggested that the proposed tax changes could reduce projected revenues by nearly a third over the next five years. This shift in consumer behavior could result in a £500 million shortfall in tax receipts as early as next year. The BGC continues to urge policymakers to engage with the industry to ensure that fiscal measures do not inadvertently fund the very black market the government seeks to eradicate.
