Fans gambled around £2m per race with illegal operators backed by organised crime gangs, analysts say. Experts believe the illegal market now accounts for 6% of all betting in Britain
Black market bookmakers took bets totalling £60m during the Cheltenham racing festival, according to analysts. Fans wagered around £2m-per-race with illegal gambling houses during the four-day event.
Officials estimates £3bn of horse racing’s annual £11bn betting turnover is gambled with illegal operators who do not pay tax or have safety tools to guard against addiction. Recent analysis suggests the illegal market now accounts for 6% of all betting in Britain.
Bets totalling around £1bn were placed with legitimate bookmakers during the horse fest. The Betting and Gaming Council has warned that tax rises on legitimate bookmakers and the threat of intrusive financial checks requiring customers to provide bank statements risk pushing more punters towards the illegal market.
The council’s chief executive Grainne Hurst said: “Cheltenham is the biggest week of the year for racing fans and millions placed bets safely with regulated operators. But the criminal harmful black market also tried to cash in, targeting punters with illegal betting that offers none of the protections provided in the regulated sector.
“Rising taxes and increasingly intrusive checks will only make it harder for legitimate operators to compete. The priority must be keeping punters in the regulated market where protections are in place, rather than driving them towards harmful unregulated operators.”
The regulated betting and gaming sector supports over 109,000 jobs, contributes £6.8bn to the UK economy and raises £4bn in tax each year while also providing vital funding for British horseracing. Licensed betting operators in Britain must meet strict regulatory standards including age verification, anti-money laundering checks and safer gambling protections.
But black market bookies – often run by organised crime syndicates – operate outside the rules and provide no safeguards for customers.
A spokesman for the Betting and Gaming Council said: “These figures highlight the growing threat posed by illegal gambling operators who seek to take advantage of major sporting events while offering none of the protections required of regulated firms. Tackling the criminal gangs running black market gambling sites must remain a priority to ensure punters stay within the regulated market where protections are in place.”