European Operators Urged to Unite Against Black Market Suppliers

Christer Fahlstedt, CEO of Paf, has emphasized the need for regulated operators in Europe to unify in distancing themselves from suppliers serving both legal and black markets. He proposed that operators take proactive steps instead of waiting for regulatory interventions, which could delay tangible outcomes.

Collaborative Action to Fight Illicit Operations

In the face of growing black market challenges, Fahlstedt suggests that regulated operators across Europe should form a united front. His call to action involves boycotting suppliers that associate with both licensed and unlicensed entities. Fahlstedt stated, "What I would like to see is all the serious regulated online players in Europe come together and have a joint understanding." He argues that operators must decide not to collaborate with providers engaged in illegal activities in any European market.

The Role of Larger Operators

Fahlstedt believes large operators need to spearhead this initiative. Recent changes to UK regulations, including the increase in remote gaming duty to 40% and pending increases in remote betting duty to 25%, might drive a shift in the market. These adjustments have led operators like Betfred and William Hill to reassess their market presence, shutting down a number of retail outlets.

Rising Black Market Concerns

H2 Gambling Capital data indicates that stakes in the UK's black market could reach £36bn by 2031, with online betting's illegal market share expected to rise to 22% within five years. Fahlstedt points to these statistics to highlight the urgency of industry-led action against unlawful operations. "What’s happening in the UK could be the catalyst," he noted, urging industry leaders to act decisively.

Evolution's Recent Compliance Issue

The spotlight is also on Evolution, a prominent live casino provider. They recently settled with the UK's Gambling Commission for £4.75m after their games appeared on unauthorized platforms. The commission warned Evolution of potential licence suspension due to this serious breach. Evolution claims they acted swiftly to remedy the situation and cooperated with the authorities.

Paf's CEO is clear: it’s time for industry leaders to take the helm in combating the grey areas exploited by suppliers who profit from both the legal and illegal markets. "Paf would certainly sign up for that, and I think it would be a great thing for the industry as a whole," Fahlstedt concludes, stressing the potential benefits of solidarity among regulated operators in Europe.