
Addressing unlicensed gambling is a key priority for the UK Gambling Commission, as part of its broader goal to prevent gambling from becoming a source of crime and to disrupt illegal activities on a large scale.
The Commission has become aware that casino games provided by licensed operators are appearing on unlicensed websites, which are illegally accessible to consumers in Great Britain (GB).
These markets are unregulated and do not offer the same safeguards required of licensed operators. They often target vulnerable individuals, such as those who have self-excluded through the GAMSTOP scheme. Additionally, these websites may lack sufficient social responsibility and Anti-Money Laundering (AML) controls, exposing customers to risks such as fraud, data privacy issues, and unfair practices. Therefore, it is essential that the Commission works closely with the gambling industry and key stakeholders to take all necessary actions to mitigate risks to GB consumers.
Business-to-Business (B2B) operators, including those offering live games, live casinos, and slots, have an important role to play in addressing the illegal gambling market. The Commission has identified cases where third-party resellers have unlawfully distributed games supplied by licensed operators, often in violation of their contractual obligations. In these instances, operators may have been negligent in allowing such activities to occur, potentially jeopardizing their own licenses.
The Commission advises operators to closely monitor their business relationships to ensure that partners are not facilitating illegal gambling in the GB market. If any non-compliance is identified, operators should immediately terminate those relationships.
It is also crucial that licensees engage proactively with the Commission when such activities are detected, providing a clear plan of action to stop the illegal activities swiftly. Promptly notifying the Commission and outlining the steps taken to address the issue is a minimum requirement.
The Commission is taking a proactive stance on this issue and may, at any time, conduct test purchasing activities to investigate potential breaches.
Source: https://www.gamblingcommission.gov.uk/news/article/industry-warning-notice-licenced-software-appearing-on-illegal-market