A shocking new report of Europe’s online gambling ecosystem has found that illegal operators now dominate the market, prompting urgent calls for stronger enforcement and coordinated regulatory action within the continent. The study, commissioned by the European Casino Association (ECA) and carried out by intelligence firm Yield Sec, outlines the most detailed picture to date of how unlicensed platforms have overtaken legal providers across all 27 EU member states.
A market where illegal operators hold the majority share
The report’s central finding is concerning as unlicensed gambling platforms now account for 71% of all online gambling activity in the European Union. Yield Sec, an intelligence platform for online marketplaces, estimates that illegal operators generated €80.6 billion in gross gambling revenue in 2024, more than doubling the €33.6 billion earned by licensed providers.
Beyond the main concern of lost tax revenue, the high levels of consumer exposure without governmental oversight is even more concerning. According to the analysis, more than 6,200 illegal operators are actively targeting EU players, reaching an estimated 81 million people. These platforms operate outside national licensing systems, avoid taxes, and circumvent player-protection rules that are standard in regulated markets.
Based on an assumed EU-wide online gambling tax rate of 25 percent, regulators estimate that more than €20 billion in tax income was diverted away from European governments last year. The ECA says the loss represents money that could have supported economic development, workforce training and innovation across the bloc.
Regulators warn illegal gambling is now a societal threat
ECA Chairman Erwin van Lambaart said the findings confirm an issue the industry has raised for years: illegal gambling is not a fringe problem but a major threat with huge economic and social consequences.
In a statement responding to the report, van Lambaart said every euro lost to unlawful operators represents a direct hit to citizens, licensed businesses and government services. He urged policymakers to strengthen oversight and to treat illegal gambling as a coordinated, cross-border challenge rather than a country-specific regulatory nuisance.
Yield Sec’s analysis shows how criminal operators exploit advertising channels that fall under the EU’s Digital Services Act, allowing them to reach vulnerable groups at scale. The report cites examples of unlicensed casinos impersonating regulated brands, copying logos and layouts to mislead players. Others use anonymous payment methods, fake bonuses and unlimited betting limits to bypass restrictions.
A multi-layered fight that demands EU-wide cooperation
The ECA says that addressing the surge in illegal gambling requires more than isolated national enforcement efforts. Because illegal operators move quickly between markets and exploit digital platforms, consumer-protection groups argue that only coordinated action can create meaningful deterrence.
Yield Sec’s founder, Ismail Vali, noted that understanding the “full marketplace” is essential. Every jurisdiction, he said, contains both legal and illegal activity, and regulators must account for both to design effective interventions. The company examined advertising patterns, traffic flows, consumer behaviour and operator networks across the EU to build what it calls the first complete map of the region’s online gambling ecosystem.
A call to protect Europe’s regulated market
Legal operators warn that unlicensed platforms undermine not only player safety but also the long-term sustainability of Europe’s regulated gambling industry. Without coordinated action to address what the ECA describes as “systematic theft” of regulated revenue, European casinos argue that economic stability, market integrity and consumer trust all face heightened risk.
For policymakers, the report’s findings add new red flags to the ongoing discussions around digital-market regulation, consumer protection and cross-border enforcement within the EU. With illegal gambling now controlling the lion’s share of Europe’s online market, regulators face growing pressure to respond decisively.
References:
- European Casino Association: Yield Sec Illegal Gambling Report 2024 – https://www.europeancasinoassociation.org/news/yield-sec-report-illegal-online-gambling-eu-2024
- Yield Sec: Online Gambling Market Intelligence & Methodology – https://www.yieldsec.com/
- European Commission: Digital Services Act (DSA) Framework – https://digital-strategy.ec.europa.eu/en/policies/digital-services-act
- European Commission: Taxation and Customs Union: Online Gambling Oversight – https://taxation-customs.ec.europa.eu/taxation-1/online-gambling_en
- European Parliament: Consumer Protection in Digital Markets – https://www.europarl.europa.eu/topics/en/article/consumer-protection-in-the-digital-age
