The UK solidified its place as a front-runner in the world of gambling when a study published by Statista revealed that the country has the second-largest gambling market in the world. This is a testament to the robust and expansive nature of the betting industry in the country.
According to the data, the UK’s gross annual yield is projected to reach £11.01 billion this year, likely driven by increased popularity in online sports betting and casino games. This figure, however, does not account for casinos outside Gamstop’s regulations, which means the actual size of the market could be even larger. These sites are licenced and regulated elsewhere, for example in Malta and Panama, and player spends there, and the taxes and revenue generated, are not recorded in UK data.
Favourable regulations
But, even at UKGC-regulated sites, online casinos have played a key role in the expansion of the UK gambling market. Favourable regulations along with an increase in players have supported the sector, making it a big contributor to the country’s economy. Digital platforms that offer sports betting, table games, bingo and casino games are especially popular, with online slots being one of the largest revenue sources. Research has shown that just less than 30% of adults have played some form of online gambling, and half of online gamblers spend more than £5 a month on sports betting.
The UK comes in second behind the United States, where the revenue is predicted to reach £18.41 billion come the end of 2024. In third place is Australia, with a projected revenue of £8.11 billion.
Access is key
The growth of the UK market is thanks to easy access to gambling services (in part thanks to online casinos), advanced technological infrastructure, as well as mobile gaming that has contributed to the market’s value. With this increase in popularity, the UK market revenue is expected to grow by 7.4% this year. This is lower than the expected growth in the US (20.3%) and Australia (10.5%).
Gamblers in the UK spend their time across a range of games. According to data from YouGov’s Global Gambling Profiles, 25% of online players enjoy slots, 17% play other casino games, and 18% play bingo. Lottoland UK is also popular with those wanting to win big, with an estimated 70% of UK adults regularly entering the lottery. That amounts to almost 45 million people.
When it comes to sports betting, horse racing, tennis, cricket and rugby see the most action, with individuals spending around £200 per month. This might be shocking, as most assume that football would enjoy the most bets.
The UK is extra attractive to gamblers thanks to the lack of consumer betting tax in the country. 2001 saw the abolition of tax on winnings – instead, the profits of betting companies are taxed. Since gambling winnings are not considered income (when it comes to tax), UK winners can enjoy their winnings in full.
Quick growth
The quick growth of the market raised concerns for public health. However, the UK has an established legal framework for gambling, and the UK Gambling Commission provides regulation and licencing requirements.
The UK’s gambling market, which is driven by regulatory support and tech advancements, will continue to stand as a frontrunner in the global gaming industry. The revenue generated from this sector highlights its importance to the economy, and continued support from government regulations will ensure the country retains its position as a leader in gambling.
