Report Alleges Black Market Operators Making £2bn In UK Turnover

An independent body has alleged offshore companies have been operating illegal gambling services in the UK that are generating more than £2 billion a year in black market turnover.

The Gambling Industry Accreditation, Monitoring & Registration Service (GAMRS) has published a report detailing how Curacao-based operators Santeda International BV and Ryker BV conducted black market activity with brands including MyStake, Cosmobet, Velobet, Goldenbet, Donbet and Rolletto.

According to GAMRS, MyStake alone generates £1.2 billion in annual turnover. GAMRS said the Santeda-operated brand network generates approximately £3.5 billion annually, and that approximately 64% of this activity is likely derived from customers in the UK, which would equate to £2 billion to £2.2 billion in annual UK-sourced turnover.

What has GAMRS done?

GAMRS describes itself as the global registry for accredited suppliers to the gambling industry. The body works with operators, regulators, and public bodies in an attempt to limit black market influence and criminal infiltration.

GAMRS collected testimonies from 96 UK-based individuals, collecting bank records and operator communications. The group who participated in the investigation were said to have lost £241,152 to MyStake alone. These losses were often made in very short timeframes and following attempts at self-exclusion or use of UK harm-reduction tools such as GAMSTOP.

One user is said to have reported a loss of £45,000 in the space of three days, while another user is said to have lost £21,400 in one evening. In many cases, consumers were found to be taking loans and other credit facilities to fund their gambling.

A monthly active user base for MyStake alone was calculated to be more than 61,000. Analysis of shared infrastructure is said to show active accounts across brands including Cosmobet, Velobet, Goldenbet, Donbet, and Rolletto are processed through the same backend systems. The mean total expenditure per user was £2,512.

Mystery surrounding Santeda and Ryker

Santeda International and Ryker do not appear to have a website or social media accounts. MyStake Casino operates an account on X. A Velobet post on LinkedIn dated from one year ago mentions it is licensed by the Curaçao Gaming Control Board.

Within the post, Velobet claimed this license is “recognised internationally, allowing Velobet.com to attract players from various jurisdictions.”

The post says: “This license [from Curacao] allows the company to legally offer games of chance to players, ensuring a regulated and secure gaming environment. The license provides legal backing, instilling trust among players regarding the integrity of the games offered.”

While both companies are registered and licensed in Curacao, GAMRS is highly confident the core operational control, technical infrastructure, and day-to-day management are concentrated in Georgia, primarily through the Upgaming/InPlayNet ecosystem.

Black market fears

The report has surfaced at a time where concerns have been expressed from several figureheads within the industry about the potential of the black market increasing in size as a result of planned tax increases.

In November, Chancellor Rachel Reeves announced that from April 2026, remote gaming duty (RGD), paid on gross profit from online casino betting, will increase from 21% to 40%. On top of this, general betting duty (GBD), paid on gross profit from online sports betting, will go up from 15% to 25% in April 2027.

A report from Ernst & Young forecast in a predicted system of a 50% RGD and 25% GBD that £8.1 billion in stakes could move to the black market, which would lead to £470 million in lost revenue for operators and £250 million in lost duty revenue.