UK Black Market Hits £16.6 Billion… As Gambling Commission Hunts for ‘Head of Illegal Markets’

Industry intelligence experts H2 Gambling Capital (H2GC) have published a new report that reveals the scale of the UK’s black market problem.

Their data finds that the turnover generated by illegal firms has hit £16.6 billion annually… for an increase of more than 300% since 2019 alone.

Meanwhile, the Gambling Commission has begun welcoming applications for the newly-formed role of Head of Illegal Markets.

On the Rise

Just six years ago, around £5 billion a year was wagered with unlicensed bookmakers and betting sites.

Fast forward to today and that figure has reached £16.6 billion… with no indication that such rapid growth is going to slow down any time soon.

The Gross Gambling Yield for black market operators has increased from £200 million to £685 million since 2019, as per H2GC’s research, with illegal gambling now accounting for around 8% of all bets placed in the UK… up from 3% just six years ago.

That’s not the only damning research report published of late, with the World Advertising Research Center revealing that black market operators will spend a cumulative £1 billion a year on advertising in the UK by 2028 – a higher amount than the regulated sector.

Regulatory officials and ministers met this week to discuss the possible introduction of financial risk assessments for individual punters – a measure that is feared will push even more from licensed operators to the black market.

An outcome of that meeting, which is expected to give the green light to the checks, is likely to be announced next week.

Rushing Ahead

The chief executive of one of the UK’s largest betting groups has called on the Gambling Commission to ‘think again’ over the introduction of financial checks.

Peter Jackson, speaking in a week in which Flutter revised their revenue guidance for 2026 due to ‘punter friendly’ sports results, warned that the regulator’s pilot study proved that the assessments can’t be undertaken in a ‘frictionless’ way as promised.

And the outcome, in Jackson’s opinion, is that the Gambling Commission ‘risks pushing yet more customers towards illegal operators.’

“We believe the Gambling Commission should pause the new affordability checks and think again,” he said. “Rushing ahead with these checks in their current form will only help the illegal market.”

Jackson’s view has been supported by the Labour MP for Doncaster Central, Sally Jameson.

In an open letter posted on the Betting and Gaming Council (BGC) website, Jameson writes about the ‘serious questions’ over whether the financial risk assessments can be performed in a frictionless manner.

“Before any further steps are taken, the government must ensure the Gambling Commission properly evaluates the pilot,” she continues. “If the data is inconsistent and customers may still face disruption or intrusive checks, then the case for moving forward simply has not been made and there is more work to be done.”

New Vacancy

As part of the £26 million promised to them by the Labour government to tackle black market betting, the Gambling Commission will invest £65,000 of that annually in a new senior member of staff.

A job advertisement for a Head of Illegal Markets has appeared on the regulator’s website, promising that £65k salary and other perks.

The new position has been described as ‘an exciting new role that will significantly contribute to, shape, and lead our response to illegal gambling’, with the remit to identify new products, systems and strategies designed to tackle black market growth.

The successful applicant will also be tasked to provide a tactical response to emerging threats, leading investigations and ‘disrupting’ illegal gambling operations.