The United Kingdom Gambling Commission (UKGC) is facing possible legal action from the Betting and Gaming Council (BGC) around its proposed affordability checks.
A letter from BGC Chief Executive Grainne Hurst has outlined how the introduction of the measures could be open to legal challenge.
One in five players expected to provide personal information if plans go ahead
The UKGC is firm in its assessment that affordability checks will involve little friction for the customer, claiming initial findings indicated that about 3% of players would undergo assessments, while the remaining 97% of checks would be completed without direct player involvement.
However, in her letter, Hurst was withering on those predictions. She said: “The evidence from the pilot is that financial risk assessments (FRAs) are not fit for purpose. Accordingly, the BGC and its members would have to consider all available options should the Gambling Commission implement them without taking into account those findings.
If FRAs are not effective and would result in more customers playing with illegal operators to evade checks, they should not be implemented.”
In response, a spokesperson for the UKGC said: “We reiterate that we are continuing to work on financial risk assessments, with one of the key focuses being on removing unnecessary friction for consumers. If introduced, the checks would apply only to a small proportion of the highest-spending accounts and would be frictionless for the vast majority of those assessed.”
The reasons behind the proposals are to identify financially vulnerable gamblers and reduce gambling-related harm, according to the UKGC.
Regulators say the checks would mainly rely on credit reference data rather than personal financial documents, allowing most assessments to be completed without direct customer involvement. The measures aim to create a more consistent approach to consumer protection across the gambling industry.
MPs step in to urge UKGC to remove affordability checks
The BGC appear to have the support of a healthy coalition of British MPs, who have urged Culture Secretary Lisa Nandy to suspend the Gambling Commission’s planned financial risk assessments, warning the measures could damage horseracing and the regulated betting sector. The lawmakers represent 59 racecourses that attract more than five million visitors annually.
In an open letter published by the Racing Post, the MPs said horseracing contributes more than £4 billion to the UK economy, generates £300 million in tax revenue and supports around 85,000 jobs. They argued the proposed affordability checks threaten the long-standing relationship between racing and betting.
The MPs cited findings from the Gambling Commission’s pilot program using Credit Reference Agencies, arguing the checks would not be “truly frictionless” for bettors. “This unprecedented state intrusion into people’s private lives has dismayed the millions of people who love horseracing,” the letter stated.
The lawmakers also noted that more than 100,000 people signed a petition opposing the checks in 2024. “Despite our repeated warnings, the Commission seems intent on pursuing this highly controversial policy regardless of the consequences for Britain’s second most-popular sport,” the letter added.
UKGC lays out illegal gambling taskforce
Meanwhile, the UKGC has launched a new Illegal Gambling Taskforce aimed at cracking down on black market betting operators. The initiative comes as concerns grow over the expansion of unlicensed gambling in Britain, with the Betting and Gaming Council estimating the market is now worth nearly £17 billion.
The taskforce will bring together law enforcement agencies, gambling industry representatives, payment providers and technology platforms to strengthen enforcement efforts. Its priorities include disrupting payments linked to illegal operators, removing unlawful gambling advertisements and improving coordination between agencies.
The regulator said the taskforce “does not seek to direct or intervene in operational matters” handled by the commission itself, but will instead focus on identifying solutions to ongoing enforcement challenges. Biannual meetings will be held to review progress over the next 12 months.
The UKGC recently also created a Head of Illegal Gambling role to focus on restricting the black market. Some industry observers criticized the position’s reported £65,000 salary, arguing it did not reflect the scale of the challenge facing regulators.
In a recent speech, acting UKGC Chief Executive Sarah Gardner said: “Investment in our work to tackle illegal gambling is another important area of work.” She added that £26 million in government funding over the next three years would help the regulator address illegal gambling “for the first time in a serious way,” including in the land-based sector.
