The UK Gambling Commission has defended its planned Financial Risk Assessments (FRAs), stating they will impact only a small fraction of British bettors amid criticism from racing stakeholders and industry groups. The assessments, sometimes referred to as affordability checks, have been contentious, with critics warning they could push customers toward unregulated operators.

FRA Pilot Results and Industry Response

Commission Director of Policy Ian Angus reaffirmed at the Clarion Payments Providers Summit that FRAs are distinct from traditional affordability checks. He stated, “Nor do the proposed thresholds for an assessment limit or cap customer spend.” According to the FRA pilot, fewer than 3% of active accounts would trigger an assessment, and of those, 97% could complete the process without friction. Only 0.1% of accounts might experience difficulty, which could be further reduced if operators verify customer information accurately at account creation.

Despite these assurances, opposition from the British Horseracing Authority and a cross-party group of 19 MPs has grown. They warn that the introduction of FRAs could disrupt horseracing-related betting, which contributes over £4 billion to the UK economy and supports 85,000 jobs. The MPs have requested that Culture Secretary Lisa Nandy intervene and pause the rollout until a full review of its economic impact and effect on the regulated betting market is conducted.

Critics argue that focusing assessments solely on spend fails to consider betting frequency or duration, potentially creating false positives for sports bettors. Previous incidents, such as the licensing of Football Index, have left stakeholders wary of another misstep that could harm consumers and the licensed sector.

Black Market Concerns

A key concern for both regulators and operators is the potential growth of illegal gambling. As reported by SBC News, the Betting and Gaming Council reported that over £16.6 billion was staked via offshore operators in 2025. The Gambling Commission has invested an additional £26 million over three years to combat illegal platforms, including issuing 741 cease-and-desist notices, referring more than 1,000 websites to search engines for delisting, and taking down over 1,100 websites through geo-blocking or removal. Angus emphasized that enforcement efforts will continue to target the drivers of consumer demand for black-market offerings while supporting innovation within licensed operations.

The Commission intends to proceed carefully if FRAs are implemented, ensuring operators do not request unnecessary documents following an assessment. Collaboration with government bodies, credit reference agencies, and operators will guide the creation of an implementation plan, focusing on proportionate engagement with customers identified at financial risk.

Angus concluded by highlighting that innovation remains a priority for the sector. “If you have ideas to improve the customer experience, make it more positive, make it more competitive, we want to hear them,” he said in his speech, while acknowledging that current statutory and policy frameworks place limits on what is feasible.

The Gambling Commission board is expected to review the FRA pilot findings imminently, with a formal decision on implementation anticipated later this month. Meanwhile, calls for ministerial oversight and a pause in implementation continue from racing representatives and MPs concerned about both consumer impact and potential revenue losses.