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The land-based gambling sector, comprising adult gaming centres (AGCs), betting shops, bingo halls and casinos, produced £4.9 billion in GGY over the year, marking a 1.1% yearly increase.

However, the UK’s physical estate shrank, with overall licensed gambling premises falling by 2% to 8,081.

Betting shops declining for the twelfth consecutive period, standing at 5,617, a 3.6% decrease representing a loss of 208 shops year-on-year.

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She said the government would receive a report every six months on illegal gambling advertising across these platforms. 

The KVA’s statement mirrors a broader European regulatory trend where authorities are increasingly scrutinising how major internet platforms facilitate traffic to unlicensed gambling services.

In Sweden, Spelinspektionen recently flagged affiliates and social media as key channels for black market advertising and how affiliate networks redirect search traffic towards unlicensed operators.

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“If a customer finds black market sites that have all their preferred betting and gaming options, convenience dictates they will transfer a broad range of their expenditure there. Consumer recycling means that banning or restricting key products has a broader distortive impact on the entire market,” the report noted.

Notably for highly engaging verticals light online slots, if players are receiving a smaller-than-expected RTP (return to player), or bonuses have been restricted, they could again transition to an illegal offering where there are no such restrictions.

As has been flagged in previous reports, Regulus highlighted that the top 1% of active customers accounts for almost 50% of black market revenue across Europe. This follows a similar trend across licensed gambling as the report highlights “online gambling is a consumer discretionary expenditure item. This means a large proportion of expenditure is concentrated into a relatively small number of players.”