Commission: Problem gamblers more prevalent on illegal sites

The UK Gambling Commission has published the results of its research on illegal online gambling. Industry representatives welcomed the findings as confirmation of their own views. There are also points of concern for the legal sector. The announcement came in the same week as the government's budget. The budget raised Machine Games Duty to 25 percent, on top of the online gaming duty that had been increased earlier.

The Commission compared data from people who gamble with legal operators and with known illegal sites. Among those dealing with illegal operators, 45 percent scored 8 or above on the Problem Gambling Severity Index (PGSI). Among those dealing with legal companies, the rate was recorded at 6 percent. The share scoring between 3 and 7 was 16 percent on the illegal side and 8 percent on the legal side.

One possible reason for the high rate is that people who have self-excluded under GAMSTOP may be turning to casino and betting sites outside GAMSTOP. In that case, excluded players are able to get around the restriction even though they have been removed from the legal market.

The study's sample consists of 179 cases, 146 of which include a PGSI score. Most participants are men, and their average age is 44. For this reason, the results cannot be applied directly to all adult gamblers in the UK. Even so, they give an idea of player behaviour.

Dan Waugh, a consultant at Regulus Partner, said the study was small in scale. In his view, the significantly higher risk of harm among those gambling on the black market is consistent with the existing literature. It also strengthens concerns about the growth of unlicensed gambling.