United Kingdom: More tax = less revenue? 65% of gamblers will choose illegal games
•
12 Jun 2025 •
Reading time: 2 minutes The United Kingdom could standardise its tax regime on online gambling, bringing the tax on sports betting (15%) into line with that on remote gaming (21%). The intention? To simplify administration. But for the Betting & Gaming Council (BGC), this measure conceals a threat: driving regular gamblers towards unauthorised sites.
A possible switch to the black market
A survey conducted by the BGC reveals that 65% of regular gamblers would consider migrating to illegal platforms if taxation increased. This worrying proportion proves the possible counterproductive effect of excessive taxation: less tax revenue, more health risks.
Loss of control and loss of security
What’s in it for unregulated sites? High bonuses, a high level of confidentiality and no limits – precisely the advantages that the legal market is trying to control. But without regulation, players are exposed to fewer protections: no identity checks, self-exclusion or prevention of over-indebtedness.
Higher taxes, greater dangers
Ironic, isn’t it? Raising taxes to collect more could… reduce revenue. The BGC argues that gamblers would flee to grey areas, which would lead to a drop in channelling to the regulated market – and therefore lower taxes instead of raising them.
Internationally, Sweden and the Netherlands are already warning signs: as soon as taxes went up, the illegal market expanded, sometimes to the detriment of protection systems. A bad signal for the UK.
The absolute need to strike a balance
Rather than increasing taxes, the experts suggest strengthening existing mechanisms: limiting aggressive bonuses, optimising the use of AI to detect risky behaviour, and improving the fight against offshore fraud.
Faced with highly agile offshore giants, the Gambling Commission must have more powerful tools at its disposal: closing down dubious URLs, rapidly removing illegal advertising, cooperating with search engines and access providers.