The BGC has warned that over £100m will feed the UK’s black market on Boxing Day. We look at some of the reasons why the black market continues to grow.
The Betting and Gaming Council warns that unregulated operators could capture up to £100 million in illegal wagers on Boxing Day alone as British gamblers face growing black market risks.
It is reported that Britain’s black market online gambling sector accounts for billions of bets and online casino gaming wagers annually.
According to the BGC, Boxing Day accounts for roughly 1%t of annual betting activity, and unregulated operators are always ready to exploit this major sporting event.
Although Boxing Day has passed, and we don’t have the official figures in front of us, it still goes to show just how many Brits prefer to gamble at online casinos and sportsbooks that aren’t currently operating under the UKGC.
As a result, these sites operate without UK consumer protections, age verification, or safer gambling tools while paying zero tax to British authorities.
As a result, we don’t advertise them here on Casinoplusbonus as, in our opinion, Brits are better off gambling at officially licensed UKGC casinos.
Of course, we are not fans of the fact that UK online gambling sites still don’t accept cryptocurrency for deposits, betting, or gaming, which, in our opinion, would shrink or slow the rise of black-market casinos and sportsbooks accepting UK players.
This gambling news report is based on data and statements from the Betting and Gaming Council’s December 2025 announcement covering black market betting projections for Boxing Day. The information, sourced from H2 Gambling Capital data analysis, is available on the BGC’s official news portal.
A Black Market Bonanza
Boxing Day traditionally ranks among Britain’s biggest betting days, featuring Premier League football, horse racing from Kempton Park, and various sporting events. The BGC’s analysis suggests that this single day could generate £100 million in illegal stakes as black-market operators position themselves to capitalize on the festive betting surge.
Grainne Hurst, BGC Chief Executive, stated that money flowing to criminal operators provides no protection and pays no tax. She warned that if higher taxes make regulated betting less attractive, the black market becomes the only winner—bad news for consumers, jobs, and public finances.
Black Market vs. Regulated Sector
| Topic | Black Market Impact | Regulated Sector |
|---|---|---|
| Boxing Day Stakes (Projected) | Up to £100 million | Unknown |
| Annual Tax Loss | £500 million (OBR estimate) | £4 billion contributed |
| Jobs Supported | 0 (undermines 109,000) | 109,000 directly |
| Consumer Protections | None | Full UKGC compliance |
| Potential Stake Diversion | £6 billion (140% increase) | £6.8 billion economy contribution |
| Age Verification | Not enforced | Mandatory |
| Tax Payments | £0 | £4 billion annually |
Budget Changes Could Accelerate Black Market Growth
The BGC’s concerns stem partly from recent UK Budget announcements. Chancellor Rachel Reeves’ decision to raise remote gaming duty has sparked industry warnings about unintended consequences. The Office for Budget Responsibility acknowledges these tax changes will reduce expected revenues by approximately one-third by 2029-30 as consumers shift behavior, including moving toward illegal operators.
Independent modeling from EY projects the combined impact could see more than £6 billion in stakes diverted to the black market—representing a 140 per cent increase in its size, while putting nearly 17,000 jobs at risk across online betting and gaming.
Recent tax increase warnings from the BGC highlight how these policy decisions may inadvertently drive players away from regulated operators. If costs are passed on to players through reduced bonuses or increased margins, the black market becomes increasingly attractive despite the lack of proper safeguards.
Why Offshore Operators Continue Winning
The black market’s appeal isn’t new. We previously examined why offshore gambling sites succeed in regulated markets, noting that excessive regulation and high taxation often push players toward unregulated alternatives. This creates a dangerous cycle where well-intentioned policies produce opposite effects. Licensed UK operators face strict rules on player safety, affordability checks, and anti-money laundering measures while contributing billions to the economy and supporting British sport and racing.
By contrast, black market operators function entirely outside the law, targeting UK customers without oversight, accountability, or tax contributions.
What This Means For British Players
UK players using black market sites forfeit all protections afforded by UKGC licensing. These include:
- No Recourse for Disputes: Your money isn’t protected if operators refuse withdrawals
- Zero Responsible Gambling Tools: No deposit limits, self-exclusion, or reality checks
- Data Security Risks: Your personal and financial information lacks protection
- No Age Verification: Sites may allow underage gambling
- Criminal Funding: Stakes may support organized crime networks
The regulated sector’s £6.8 billion economic contribution and £4 billion annual tax payment fund vital public services. Every pound staked with black market operators represents lost tax revenue and increased gambling harm risk.
Casinoplusbonus Opinion
The BGC’s Boxing Day warning reflects broader industry tensions between regulation, taxation, and player protection. While we support robust consumer safeguards, there’s legitimate concern that punitive taxation drives the very behavior regulators aim to prevent. Licensed operators provide transparent, regulated environments with genuine protections—something black market sites never will.
However, if regulatory burdens make legal gambling uncompetitive, players will seek alternatives regardless of warnings. The solution isn’t less regulation but smarter regulation that balances protection with market viability. British players deserve better than to have to choose between over-regulated domestic sites and dangerous offshore operators. For readers concerned about black-market risks, the BGC previously released educational content on identifying illegal gambling sites, which remains highly relevant as Boxing Day approaches.
Stay informed, gamble responsibly, and stick to UKGC-licensed operators where your money and well-being are genuinely protected.
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