Europe's Illegal Gambling Market Grows 18% Annually Since 2019

Europe's black market for online casinos has grown at an average annual rate of 18% since 2019, according to a report from industry association Euromat cited by iGaming Business. The report also found that just 1% of the most active players generate nearly 50% of illegal operators' revenue across the EU.

Analysts attributed the illegal market's growth to the popularity of cryptocurrency, strong brand recognition among leading unlicensed operators, and restrictive regulatory conditions. Among the markets studied, 46% impose significant restrictions on advertising for licensed operators, 29% apply additional taxes on players, 14% ban specific product categories, and 5 EU countries maintain state monopolies that limit player choice. The UK received particular attention in the report: following the increase in online gambling duty from 21% to 40%, the country's unlicensed market could approach €1 billion in volume, with tightened affordability checks on players cited as an additional contributing factor. The UK currently has approximately 1,491 licensed operator websites, though the report suggests stricter conditions for licensed operators may push more players toward unlicensed platforms.

The findings build on Euromat's earlier report showing Europe's illegal gambling market had tripled over six years to reach €12 billion, reinforcing a consistent pattern of sustained growth in the region's unlicensed gambling sector despite ongoing regulatory efforts to curb it.