As the showpiece event on Britain’s horse racing calendar, the Grand National is popular with both regular and seasonal bettors. However, while many will wager with licensed operators, the BGC expects millions to be bet via illegal routes.
The BGC estimates £9.4m will be staked with black market operators this year. This represents 3.8% of the overall £250.0 million the BGC expects to be wagered on the race. The race takes place tomorrow (5 April) at Aintree Racecourse.
BGC CEO Grainne Hurst said this should serve as a “wake-up call” for the government. As illegal operators do not pay tax in Britain, the government would miss out on significant tax revenue.
According to the BGC, the Grand National alone will generate £3.0 million in tax revenue and £2.0 million in contributions to the horse racing levy to support the sport.
Grand National being “subverted” by illegal operators
In addition to costing the government, Hurst said players may also be at risk when betting via illegal routes. Unlicensed sites are not required to offer the same protection measures as those that are approved and regulated in Britain.
“Almost £10.0 million is predicted to be staked illegally on the gambling black market at the Grand National,” Hurst said. “This fuels crime, undermines player protection measures, while sucking vital cash from sport and the treasury.
“The Grand National is one of the precious few sporting events in this country with the ability to unite the entire nation around a single spectacle. It is the nation’s punt. But it is being subverted by illegal operators offering illicit gambling to thousands of punters, many of whom are vulnerable to harm.”
Hurst said the only way to tackle illegal betting is through “balanced regulation and stable tax regime”. This, she said, will help stave off an “existential threat” to British horseracing.
“This should serve as a wake-up call for government, which must guard against overbearing regulations which risk driving punters into the arms of illegal operators,” she said. “Balanced regulations and a stable tax regime are the best defences against this black market menace, which now poses an existential threat to British racing.”
Ongoing issue for the British market
This is the latest call from the BGC for more action to be taken on illegal gambling.
Last year, a study from the organisation found that 1.5 million British players spent £4.3 billion on the illegal market each year. The same report also revealed that one in five players aged 18 to 24 already gamble with unregulated operators.
According to the BGC, black market gambling could result in £355 million in lost tax revenue during a five-year parliament.
Meanwhile, the International Federation of Horseracing Authorities in February this year also set out its concerns over illegal gambling. A study from the organisation suggested the use of unlicensed sites for betting on horse racing is on the rise.
It found the number of unique customers visiting 22 unlicensed sites taking bets on British racing had grown by 522% between August 2021 and September 2024. In contrast, unique visitor traffic to 10 legal websites only grew 49% during the same period.
Total visitor traffic from the UK to the unlicensed betting sites grew 131% since August 2021. This is compared to just 25% for legal bookmakers.
