New Insights on the Black Market in UK Gambling: Challenges and Influences
A recent investigation by the gambling charity Deal Me Out reveals a concerning trend in the UK: a growing number of gamblers are turning to the black market. This shift can be linked to regulatory pressures on licensed operators, a lack of legal avenues for cryptocurrency betting, and the influence of popular online personalities who direct users towards unregulated sites.
Published on April 9, the black market report showcases the results of a survey that gathered insights from over 1,250 minors, 300 adults, and 10 content creators involved in gambling within the UK. The findings indicate a surge in the number of gamblers gravitating towards non-regulated platforms, heavily influenced by social media trends and stringent regulations.
According to the report, social media affiliates direct nearly five million clicks every month to illicit gambling websites. This is particularly alarming as many influencers share guidance on effectively accessing these platforms, often promoting the use of VPNs to evade tracking mechanisms.
The report further highlights that an overwhelming 90% of content creators surveyed expressed their use of BC Game, an online crypto betting site that has lost its legal standing in the UK following a bankruptcy ruling in Curaçao. One content creator actively encouraging their followers to engage with the site stated: “If you want the best gambling experience with quick spins and no verification, be sure to use my affiliate link!”
Concerning Trends Among Youth Gamblers
A striking element of the report is the revelation that underage gambling may be far more prevalent than previously thought. Deal Me Out estimates that up to 420,000 minors in the UK could be engaging with illegal online gambling platforms, particularly showing interest in loot boxes and in-game currencies associated with video gaming. Younger gamblers also exhibit a preference for crypto gambling sites, which are not permitted under UK law.
One participant, identified as MT, shared their experience of starting to gamble at 14, emphasizing the social aspects intertwined with gambling among friends: "We would come home from school and jump on Discord, enjoying the thrill of gambling both together and with friends from around the world,” they recounted.
Regulatory Hindrances in the Gambling Landscape
The UK gambling sector is currently undergoing reforms following the review of the Gambling Act, with new measures such as strict deposit limits and revised stake caps for slot games being implemented. However, these changes have led to significant dissatisfaction among consumers, who feel burdened by the necessity of sharing more personal data with operators and frustrated by the elimination of enjoyable features like bonuses and turbo spins.
As a response, many individuals are gravitating towards unregulated global platforms, seeking a more lenient gambling experience. The report cautions that punitive measures against black market operators often lead to a cat-and-mouse scenario, where new sites swiftly emerge in the wake of shutdowns.
The Role of Influencers in the Shift to Black Market Gaming
Content creators have begun to voice their distress regarding the impact of regulatory changes on their ability to generate engaging content. A YouTube influencer highlighted the frustrations faced by creators in the UK when competing with international peers who utilize crypto casinos: “The regulations make it nearly impossible for us to create the kind of content that viewers desire,” they explained.
Another TikTok creator noted: “Look at what’s happening in other countries; content creators there are benefiting from crypto casinos. It’s a whole different game,” indicating a broad trend where UK-based influencers feel forced to pivot to illegal platforms due to the restrictions placed on them.
Call to Action from Deal Me Out
In light of these findings, Deal Me Out has urged the government and relevant regulatory bodies to take urgent action to mitigate the risks presented by the black market. The charity advocates for a comprehensive review of crypto gambling practices and calls for public awareness campaigns to inform citizens about the potential dangers of engaging with illicit sites.
Their concerns emphasize that while the intention behind stricter regulations—such as stake limits and affordability checks—are to protect the public, a more nuanced approach is needed to avoid inadvertently pushing vulnerable individuals further into the black market.
According to similar findings from the Betting and Gaming Council, approximately £2.7 billion is staked annually with illegal operators in the UK. Of those gambling on both legal and illegal platforms, an estimated 12% of their spend—around £2 billion—is directed towards unregulated sites. This compels policymakers to reassess the framework of regulation to balance consumer safety with legitimate gambling operators’ interests.