A top bloodstock agent, who has also described himself as a serious punter, has shared that he and a large number of his fellow big bettors have already turned to bookmakers operating on the black market as a result of the intrusive source-of-funds and affordability checks.
Bernard Cullinane, the bloodstock agent behind Princess Zoe, revealed that, apart from him, many other serious bettors had no other choice but to take their business to companies that operate without the necessary licence on the unregulated black market. He explained that the draconian measures under which licensed bookmakers have been asking bettors to provide personal information as a result of the implementation of the controversial affordability checks have been the main reason why many punters have already been driven to black market operators.
Bookmakers operating on the black market, however, are not subject to regulation and do not make any contributions to the racing sector via taxes, levies, or media rights, which have reportedly been providing the sport with more than £260 million on an annual basis.
Mr Cullinane now warned that the British racing sector was heading to serious trouble, with many big-staking bettors being no longer willing to spend their money with regulated companies. At first, the bloodstock agent provided the necessary bank statements when requested to hand over more information about his source of funds. However, the tightening restrictions have been found extremely frustrating in their nature by Mr Cullinane and “tens” of his fellow punters, and they have made a decision to turn away from the regulated market, although they have been aware of the fact that such a withdrawal would equal less money going back into racing.
About £2.8 Billion Were Staked with Black Market Bookmakers in the UK in 2020
The British bloodstock agent shared that the situation with the source-of-funds and affordability checks is getting ridiculous, with bookmakers asking questions that invade punters’ privacy and rise data protection issues. In his opinion, some of the questions are totally unnecessary and sometimes irrelevant and could pose danger to bettors’ personal data.
The scale of the black gambling market in the UK has been debated frequently. According to data provided by a 2021 report commissioned by the Betting and Gaming Council (BGC), about £2.8 billion had been staked with companies operating in the unregulated sector in 2020, with the figure doubling the amount staked during the previous year.
The main gambling regulatory body in the country – the UK Gambling Commission (UKGC) – has, however, played down the risks of the implementation of extremely restrictive policies that could push punters away from the regulated market. Earlier in January, Sarah Gardner, the deputy CEO of the gambling watchdog, noted that the risks of bettors migrating to the black market were quite exaggerated.
Some big bettors, such as Mr Cullinane, do not share the regulator’s opinion and claim that the damage has been already done by the stringent checks for customers of regulated bookmakers in the country under the guidance and encouragement of the UKGC. They explained that a lot of bloodstock owners wager as a form of entertainment, while others are in the game for the business. In any case, and an increasing number of punters believe that the local betting industry is in big trouble and the more restrictions are being implemented, the bigger trouble the sector gets into.
- Author
Daniel Williams
