Amid a sea of far-reaching claims pushed forward by the All-Party Parliamentary Group on Gambling Reform (GRAPPG) and Peers for Gambling Reform (PGR), they acknowledged streamers that are promoting black market operators are continuing to have a detrimental impact on the younger generation.
For the APPG, one of its core messages has been to introduce a stop on all advertising of the regulated market in the UK. However, the group did also back recent government calls for a total ban on sports sponsorship from unlicensed operators – a pursuit that realistically looks like it could soon be achieved as momentum for stricter gambling regulations continues to build.
It is almost certain that the efforts to eradicate unlicensed sponsorship from English sport will go some way to limiting their exposure.
As the climate for regulated firms becomes increasingly tight, and mid and small tier operators are forced to assess their strategy and role in the market, a void for unlicensed operators to seize upon grows.
Tapping into a new age of digital consumption
However, one particularly troubling route taken by many unlicensed operators to entice the younger demographic is via a new generation of streamers and influencers.
The importance of closing off this route to young first-time players is crucial as an increasingly vulnerable demographic risks slipping between the cracks of the licensed market.
While there was an acknowledgement of the impact that the black market has had in the UK, the recommendations put forward by the GRAPPG and PGR risk widening the gap and cripples the ability of any regulated operators below a tier one status to gain any market share in the UK.
The two bodies stated: “The growth of advertising by black and grey market operators also requires serious consideration, but not at the expense of taking action on licensed operators.”
Ensuring that regulated firms operate in a safe and responsible framework is essential. But there should be more of a synergy when it comes to combating the black market, even if it presents a far more abstract challenge.
Balance is essential
As intensified enforcement and a more rigorous approach to compliance dwindles the ability of mid-tier operators to attract players and gain exposure, subsequently, the door opens for a dangerous and opportunistic black market.
The group also noted “the government’s increasing focus on illegal gambling marketing, including comments by Gambling Minister, Baroness Twycross, indicating that this is viewed as the primary risk area for children and vulnerable people in correspondence to the GRAPPG and PGR, dated 18th February 2026.”
It added: “While illegal operators do pose clear dangers, this emphasis risks overlooking the well-documented and widespread harms arising from within the regulated sector.
“A balanced approach is essential to ensure that efforts to tackle unlicensed activity do not come at the expense of addressing the systemic issues present in the licensed market.”
While there has been a fresh focus from the regulator on tackling the black market, it is yet to be met with implementation of any effective enforcement action. There is obviously no surefire remedy to cutting off engagement with the black market, but in the absence of coherent action, measures against the regulated sector serve to hand unlicensed operators a clear advantage.
The key avenue of growth for black market operators in recent years has been through streamers. Unlicensed operators have opportunistically seized upon new digital habits of a younger generation – with little to no regard to their age or problem gambling risk factor.
Aside from a few self-imposed restrictions from platforms, effective methods identified for tackling the virulent presence of unlicensed operators on social media platforms have been effectively nonexistent.
The group all but acknowledged this as they aimed for the approach of the Advertising Standards Authority (ASA), stating: “Content marketing and influencer promotion now account for a significant proportion of advertising, yet regulatory bodies such as the ASA have failed to enforce existing codes effectively.”
In and among increasing tax rates, the marketing strategies of regulated market operators are shrinking at a rapid rate. However, the recommendations of both groups go even further to halt any marketing presence at all from the licensed sector.
This could potentially be nothing short of a disaster as the black market pollutes the digital consumption of a younger generation that are glued to their phones and encompassed in the activities of influencers, with little regard to the products they push their way.
Balance is vital in this debate. The regulated industry falling on the threat of the black market every time a new regulation is proposed has meant it is easily dismissed by those with little education around its impact – but the danger is severe for those most vulnerable, and an increasing power balance in the UK only threatens to increase that risk.
