Connect with us

BGC

New Report Highlights Potential Impact of Increased Tax and Regulation on UK Betting and Gaming Market

Published

on

new-report-highlights-potential-impact-of-increased-tax-and-regulation-on-uk-betting-and-gaming-market

Reading Time: 2 minutes

European countries with higher tax and regulation of their betting and gaming markets are more likely to see increased black market activity, according to a report produced by PwC and published by the BGC.

The study, Impact of the taxation and regulatory environment on European online betting and gaming markets, draws clear links between restrictive policy regimes across Europe and black-market growth.

Countries such as France (57% black market), Sweden (35%) and the Netherlands (37%) have seen large proportions of their gambling markets move offshore.

By contrast, Spain and Denmark, where tax rates are moderate and licensing systems open, maintain higher levels of onshore participation – with only around 11% of gambling taking place outside the regulated sector.

The report reveals that around 5% of all online betting and gaming in the UK now takes place on unlicensed black-market websites. This is equivalent to hundreds of millions of pounds in untaxed, unregulated activity and marks a sharp rise from a previous estimate in 2021, when the black market was thought to account for only 3.3% of total spend.

The report concludes that higher effective tax rates and tighter rules consistently lead to smaller regulated markets, while jurisdictions that liberalise and maintain balanced taxation enjoy stronger growth.

The findings also challenge the assumption that higher gambling duties increase public revenues. Between 2019 and 2024, countries with tax rates below 25% of gross gaming revenue saw annual growth in tax receipts of 13%, compared to 9% in higher-tax jurisdictions.

Operators facing steeper duties typically cut back on marketing and promotions, the analysis found, making licensed platforms less competitive.

The report shows how operators respond to higher regulatory and tax environments by adjusting gross win pricing, reducing bonuses and reducing spending. This makes the player proposition less attractive.

The findings come as the Treasury prepares its Autumn Budget and reportedly considers potential changes to remote betting and gaming duties.

While Britain remains among the world’s safest and most highly regulated gambling markets, the report demonstrates the potential impact of increasing taxes.

Grainne Hurst, CEO of the Betting and Gaming Council, said: “Britain has one of the safest gambling markets in Europe but if the Treasury isn’t careful, we could quickly end up like France or Sweden, with huge black markets contributing nothing in tax, offering zero player protection, and providing no funding for sport or the economy.

“Well-balanced regulation and fair taxes protect players, raise more revenue for the Treasury, and support thousands of jobs. Unlicensed operators do none of those things.”

The post New Report Highlights Potential Impact of Increased Tax and Regulation on UK Betting and Gaming Market appeared first on European Gaming Industry News.

Betting and Gaming Council

BGC Calls on Tech Giants to Protect Consumers from Illegal Gambling Sites

Published

on

bgc-calls-on-tech-giants-to-protect-consumers-from-illegal-gambling-sites

 

The Betting and Gaming Council (BGC) has issued an open letter to Britain’s leading technology platforms calling for urgent action to tackle the growing threat posed by illegal gambling operators online.

The letter, signed by BGC Chief Executive Grainne Hurst, warns that black market gambling websites are increasingly using social media platforms, search engines, messaging services and digital advertising networks to reach consumers in Britain, including people who have self-excluded from gambling and those seeking support.

The intervention follows warnings from Gambling Commission Executive Director Tim Miller, who earlier this year highlighted the continued presence of illegal gambling advertising online, including promotions for so-called “not on GamStop” operators.

The BGC argues that illegal operators are exploiting digital platforms to access UK consumers while operating entirely outside the regulatory framework designed to protect them.

Unlike regulated operators, black market gambling websites are not licensed by the Gambling Commission, do not carry out customer protection measures, do not contribute to research, prevention and treatment services through the statutory levy, and do not pay UK tax.

Analysis by WARC suggests illegal operators now account for almost half of all gambling advertising spend in Britain and could overtake the regulated sector entirely by 2028. Separate analysis by H2 Gambling Capital forecasts that stakes with black market operators could grow from £17bn today to £33bn by 2028.

Grainne Hurst, Chief Executive of the Betting and Gaming Council, said:

“The harmful black market is growing at an alarming rate, and illegal operators are exploiting online platforms to target British consumers.

“Technology companies have some of the most advanced tools, data and expertise in the world. The question is no longer whether this problem can be addressed, but whether enough is being done.

“Every consumer drawn towards an illegal operator is being pulled away from the protections of the regulated market.

“We are calling on technology platforms to match the scale of the threat with the scale of their response.”

In the open letter, the BGC calls on technology companies to proactively identify and remove illegal gambling advertising, invest more resources in disrupting black market operators, strengthen cooperation with regulators and law enforcement, increase transparency around enforcement activity and work collectively to prevent vulnerable consumers being targeted by unlicensed operators.

The post BGC Calls on Tech Giants to Protect Consumers from Illegal Gambling Sites appeared first on EE Gaming | Global iGaming & Tech Intelligence Hub.

Continue Reading

Betting and Gaming Council

Betting and Gaming Council Appoints Kane Purdy as New Chair

Published

on

betting-and-gaming-council-appoints-kane-purdy-as-new-chair

 

The Betting and Gaming Council (BGC) has appointed Kane Purdy, Managing Director at Gamesys Operations Limited, as the new non-executive Chair with immediate effect.

Kane takes on the role after 20 years in the betting and gaming industry, bringing extensive operational experience, deep sector knowledge and a strong track record of leadership across the regulated sector.

In addition to his role at Gamesys Operations Limited – part of Bally’s Intralot – Kane has played an active role in driving industry collaboration, including as Chair of GamProtect, the single customer view initiative designed to enhance player protection and raise standards across the industry.

The Chair position will be filled on a rotating basis by BGC members, with each term lasting 12 months.

Kane succeeds Executive Chair Michael Dugher, who stepped down earlier this year after six years at the BGC.

Grainne Hurst, Chief Executive Officer of the Betting and Gaming Council, said: “Kane brings a huge amount of experience, expertise and talent to this role, built over two decades in the industry.

“He is a highly respected leader with a deep understanding of both the opportunities and the responsibilities that come with operating in a regulated environment. He has also demonstrated a strong commitment to collaboration, helping to drive forward initiatives that strengthen standards and protections across the sector.

“I look forward to working closely with him as we continue to champion our members, raise standards and support a well-regulated industry that delivers for customers, the economy and communities across the country.”

Kane Purdy, Managing Director at Gamesys Operations Limited and non-executive Chair of the Betting and Gaming Council, said: “I am honoured and delighted to take on the role of Chair of the Betting and Gaming Council.

“After 20 years in the industry, I understand the importance of working collectively to meet challenges, raise standards and ensure the regulated sector continues to thrive.

“I look forward to working collaboratively with Grainne and the team, as well as with members from across the industry, to build on the strong progress already made and help shape the future direction of the BGC.”

The post Betting and Gaming Council Appoints Kane Purdy as New Chair appeared first on Eastern European Gaming | Global iGaming & Tech Intelligence Hub.

Continue Reading

Betting and Gaming Council

BGC: Black Market Cashes in on Grand National as Criminal Bookies Target Millions

Published

on

bgc:-black-market-cashes-in-on-grand-national-as-criminal-bookies-target-millions

The harmful gambling black market cashed in during the Grand National, with up to £100m potentially staked with illegal operators across the Aintree Festival, including as much as £40m on the big race alone, the Betting and Gaming Council (BGC) has warned.

The Grand National is one of the biggest betting events in the sporting calendar, attracting millions of punters and billions in wagers each year.

But these figures underline the growing threat posed by illegal gambling operators, who target major events while offering none of the protections required of regulated firms.

The BGC warned that rising costs on licensed operators, alongside the threat of increasingly intrusive checks requiring customers to hand over personal financial details, risk driving more punters towards the unsafe, unregulated market.

Grainne Hurst, Chief Executive of the Betting and Gaming Council, said: “The Grand National is one of the biggest moments in the sporting calendar, enjoyed safely by millions.

“But the criminal harmful black market will also have tried to cash in, targeting punters with illegal betting that offers zero protections.

“Rising costs and increasingly intrusive checks will only make it harder for legitimate operators to compete.

“The priority must be keeping punters in the regulated market, where safeguards are in place, rather than driving them towards dangerous illegal operators.

“Licensed betting firms in Britain must meet strict standards, including age verification, anti-money laundering checks and safer gambling protections. By contrast, black market operators act outside the law and offer no safeguards to customers.”

The regulated betting and gaming sector supports over 109,000 jobs, contributes £6.8bn to the UK economy and raises £4bn in tax each year, while also providing vital funding for British horseracing.

The BGC said tackling the criminal gangs behind illegal gambling sites must remain a priority to protect punters and support the regulated sector.

The post BGC: Black Market Cashes in on Grand National as Criminal Bookies Target Millions appeared first on Eastern European Gaming | Global iGaming & Tech Intelligence Hub.

Continue Reading

Trending

Get it on Google Play

Fresh slot games releases by the top brands of the industry. We provide you with the latest news straight from the entertainment industries.

The platform also hosts industry-relevant webinars, and provides detailed reports, making it a one-stop resource for anyone seeking information about operators, suppliers, regulators, and professional services in the European gaming market. The portal's primary goal is to keep its extensive reader base updated on the latest happenings, trends, and developments within the gaming and gambling sector, with an emphasis on the European market while also covering pertinent global news. It's an indispensable resource for gaming professionals, operators, and enthusiasts alike.

Contact us: [email protected]

Editorial / PR Submissions: [email protected]

Copyright © 2015 - 2024 - Recent Slot Releases is part of HIPTHER Agency. Registered in Romania under Proshirt SRL, Company number: 2134306, EU VAT ID: RO21343605. Office address: Blvd. 1 Decembrie 1918 nr.5, Targu Mures, Romania