Most regular gamblers in Britain say they would consider turning to illegal, unregulated betting websites if the government raised taxes on sports betting companies. That’s the main finding from a new survey by YouGov, commissioned by the Betting and Gaming Council (BGC).
For years, BGC members have been boosting their support for racing. It’s now at record levels. But new tax hikes could jeopardise that vital funding, hitting racecourses hardest in red wall areas. 🏇https://t.co/YMnZHmFbRU pic.twitter.com/kLvtlawxuT
— Betting and Gaming Council (@BetGameCouncil) June 9, 2025
BGC survey raises concerns over potential UK gambling tax reforms
The poll, conducted on May 28 and 29, 2025, asked 2,055 adults across Great Britain for their views. Among those who bet “very often” or “fairly often,” 65% said higher taxes on betting companies would likely push customers toward sites that don’t pay tax and don’t follow UK gambling rules.
Looking at the wider public, 53% of all respondents said it was either “very likely” (14%) or “fairly likely” (39%) that a tax hike would drive people to the black market. Only 18% thought that outcome was unlikely, and nearly a third were not sure.
The BGC says these results show why raising taxes too much could backfire, especially in areas like horseracing that rely on the legal betting industry. While just 7% of those surveyed said they gamble regularly, with 2% saying they do so very often and 5% fairly often, the council points out that this still adds up to millions of people. If betting becomes too expensive, they argue, more of them might look for cheaper, less safe alternatives online.
‘Self-defeating tax hike’
In response to the study, BGC CEO Grainne Hurst, said in a statement: “This shocking statistic proves what’s at stake if the Government forces through a self-defeating tax hike on ordinary punters.
“It’s clear it will not raise more tax, it simply risks forcing huge numbers of customers out of the regulated market, with its world leading standards on player safety, into the arms of the growing, illegal, unregulated and unsafe gambling black market online.”
He added: “Any tax rises would make a mockery of the Government’s growth strategy and be catastrophic for horseracing, which is already facing a bleak financial outlook.
“This is a wake up call for Government, punters have been loud and clear, hit them with further taxes and they will walk away from sports like racing, straight to the black market, triggering a spiral of decline.”
The findings arrive amid government discussions about potential reforms to gambling taxation and regulation, including the long-anticipated implementation of recommendations from the Gambling Act review.
Featured image: Canva