UK Betting Sector Faces Exodus as ICE 2026 Sounds Alarm

_{Grainne Hurst spoke to delegates at ICE2026 about potential rise in black market activity. (Image: BGC)}

Grainne Hurst used ICE 2026 to caution lawmakers: ‘Undermining the sector has handed a gift to illegal operators’. (Image; Grainne Hurst/BGC)

With sweeping tax reforms now confirmed, Britain’s regulated betting and gaming sector is bracing for economic headwinds, potential job losses and a sharp rise in black market activity. Industry executives sounded the alarm at this month’s ICE 2026 in Barcelona, the world’s largest gambling industry event.

Among them was Grainne Hurst, CEO of the Betting and Gaming Council (BGC), who used her appearance at ICE to press home a message she has delivered to Westminster for months: tax policy is now out of step with the regulatory progress made since the Gambling White Paper.

“The regulated betting and gaming industry currently supports 109,000 jobs across the country, contributes £4 billion in tax and plays a vital role in funding sport, charities and safer gambling.” — Grainne Hurst, BGC 

Tax Rise Set for April 2026

In the Autumn Statement, the Treasury confirmed that the Remote Gaming Duty will rise from 21% to 40% as of 1 April 2026. From April 2027, a new 25% duty on online sports betting will also apply. These measures aim to raise more than £800 million in additional tax revenue, though concerns persist around the law of unintended consequences.

The Office for Budget Responsibility (OBR) estimates that behavioural responses, such as consumers shifting to offshore platforms, could significantly reduce those expected gains. A report by Frontier Economics, commissioned by the BGC, found that as many as 1.5 million UK players already wager on unlicensed sites, with £4.3 billion in annual stakes placed outside British regulation.

“Undermining the sector with these further tax increases has handed a gift to the growing illegal operators who pay no tax and offer no protections.” — Grainne Hurst, BGC

At ICE 2026, Eyes Turned to Europe

Held annually, ICE attracts more than 65,000 delegates from 190 countries and provides a key forum for shaping the gambling industry’s regulatory and commercial future. In 2026, the issue of balancing revenue with regulation took centre stage.

Delegates discussed how similar tax hikes in countries like Sweden, France and the Netherlands had backfired, pushing customers to unregulated sites and eroding player safety. Industry leaders warned that a similar path in the UK would erode trust, sponsorship deals, and tax receipts.

_{Delegates from across Europe flock to ICE to hear challenges faced by operators. (Image: Will Chimes/OpticsPR)}

At the same time, regulated operators including online casinos face tighter rules, higher compliance costs and stiffer advertising controls. This combination could diminish their ability to compete with illegal websites that offer instant access, few restrictions and none of the accountability.

“We should be strengthening the regulated market, not weakening it. Once consumers go offshore, they’re incredibly hard to bring back.” — Grainne Hurst, BGC 

What’s at Stake in 2026?

The betting industry argues that the Gambling White Paper reforms, coupled with strong age verification and safer gambling tools, have created a world-leading model of consumer protection. But the sector’s future viability, say campaigners, hinges on tax policy that does not price it out of the market.

The BGC estimates nearly £6 billion in stakes could shift to the black market under the current plan, and more than 17,000 jobs may be lost in online betting and gaming alone.

Sport may also feel the impact. Regulated betting firms provide major funding for football, racing, darts, snooker and rugby league, including the £350 million racing levy and sponsorships linked to responsible gambling campaigns.

With events like the 2026 Grand National, the Commonwealth Games and the FIFA World Cup all on the calendar, stakeholders say this is the wrong moment to weaken the legal framework supporting British sport.

Next Moves: Evidence Over Ideology

The government maintains that the new structure better reflects modern gambling consumption, especially online. However, the sector continues to lobby for a review and realignment of tax rates based on actual market behaviour, not theoretical forecasts.

ICE 2026 underlined a core theme that industry leaders hope lawmakers will heed: only a competitive, regulated environment can deliver both consumer protection and economic benefit.

The alternative, they warn, is a surge in grey and black market gambling, with no rules, no taxes and no way back for many players.