BGC Cites Data Showing 52% of Players Predicting Black Market Growth

The Betting and Gaming Council (BGC) has cited data claiming more than half of those polled believe higher taxes will make punters more likely to use unlicensed black market sites.

From April 1, remote gaming duty (RGD) for UK operators, paid on online casino bets, will increase from 21% of gross gambling yield (GGY) to 40%. On top of this, general betting duty (GBD), paid on online sports bets, will go up from 15% from 25%; bets on horseracing will be exempt from this.

The BGC, a UK gambling trade body which represents more than 90% of retail betting shops, online betting and gaming operators, casinos and bingo operators, has published data showing 52% of people who bet believe these increases will make people more likely to use unlicensed black market sites. The figure was based on a poll by political intelligence firm Anacta.

The BGC also claimed via Anacta that 66% of those who bet say tax increases will make betting and gaming less enjoyable, and that 57% think UK gambling is already heavily regulated.

According to the BGC, around 22.5 million adults place a bet each month. The BGC did not publish a link to the full poll, meaning it is unclear how many people were polled. It is also unclear as to whether the research was commissioned by the BGC.

“Back the regulated sector”

Grainne Hurst, BGC CEO, said:

“When you tax responsible, regulated betting and gaming companies harder, you do not reduce demand; you simply drive customers towards the unsafe, unregulated black market.

“Illegal gambling sites do not pay tax. They do not contribute to British sport. They do not invest in safer gambling and they do not protect vulnerable people. If the government wants growth and genuine consumer protection, it must back the regulated sector not make it less competitive against criminals.”

The BGC has previously commissioned research on what the impact of the tax rises could be. In October, prior to the November Budget, Ernst & Young (EY) made a series of forecasts based on various possibilities of what the increases could be.

In one model, based on the Institute of Public Policy Research’s recommendation of a 50% RGD and 25% GBD, EY forecast about 40,000 jobs could be impacted, with £8.4 billion in  betting stakes moving to the black market.

This would mean £290 million in tax revenue would be lost, and excise revenue of £1.06 billion for operators would be gone. While those tax rates are not exactly what was confirmed by Reeves, this model was the closest.

BGC backs unlicensed operator consultation

Earlier this week, the BGC welcomed the government’s announcement that it is to launch a consultation on sports sponsorship this spring, with a view to banning unlicensed gambling sponsorship of all British sports teams, aiming to mitigate the risks associated with the illegal market.

Following the government’s announcement, Entain CEO Stella David urged the English Premier League to ban unlicensed gambling operators from appearing on its teams’ shirts.

From the start of the 2026/27 season, which begins in August, the Premier League will implement a voluntary ban on front-of-shirt sponsorships for gambling operators.

However, gambling brands will still be allowed to appear on the teams’ sleeves, and teams will still be able to have partnerships with gambling brands. The ban will not apply to all leagues below the Premier League.

A BGC spokesperson said:

“Culture Secretary Lisa Nandy is right that gambling companies without a UK licence should be banned from sponsoring Premier League clubs and should go further to prevent these harmful illegal companies from sponsoring any sport in the UK.”