Unlicensed Gambling Threatens Belgium's Market, BAGO Says

The Belgian Association of Gaming Operators (BAGO) has once again voiced significant concerns regarding the proliferation of unlicensed gambling activities within Belgium, warning that the country risks losing control over its gambling industry if decisive action is not taken against the illicit market.

Figures presented by BAGO highlight the scale of the problem: approximately 25 percent of players in Belgium are reportedly using unlicensed gambling sites. This figure is particularly alarming among younger demographics, rising to 65 percent among male players aged 18 to 21. This trend suggests potential negative consequences stemming from Belgium’s decision to raise the legal gambling age to 21 from September of last year (2024), effectively pushing a segment of younger players towards unregulated offerings.

The industry body has warned that unlicensed sites operate entirely outside the jurisdiction of Belgian authorities. This absence of oversight means a heightened risk of fraud and problem gambling for consumers, as these platforms often lack fundamental safeguards such as age verification, deposit limits, and self-exclusion tools. BAGO specifically noted that 47 percent of players who had previously self-excluded from legal sites had reportedly resumed gambling via these unregulated platforms, underscoring the black market’s ability to circumvent player protection measures.

BAGO Chairman Tom De Clercq stressed the gravity of the situation. As reported by iGaming Times, De Clercq stated that Belgium is “on a dangerous trajectory.” He highlighted that while licensed gambling platforms adhere to strict regulations, invest in responsible gaming measures, and actively protect players (referencing the Belgian gambling regulator Kansspelcommissie’s (KSC) new bonus restrictions and a ban on gambling sponsorships in sports), illegal operators face no such restrictions. De Clercq asserted that the consequences are clear: “increasing numbers of people - particularly young people and vulnerable groups - are being drawn into unregulated gambling environments with no oversight or safeguards. Without decisive action, Belgium risks losing control over its gambling industry.”

BAGO has reiterated its strong support for plans to enhance regulatory oversight, as outlined under a new coalition government agreement. Emmanuel Mewissen, Vice-President of BAGO, reinforced this stance, stating, as reported by iGaming Times, that “Combating illegal gambling is critical.” He conveyed BAGO’s full support for the coalition agreement, which is expected to empower the Gaming Commission to evolve into a more robust regulatory body. Mewissen emphasised that strengthening the Commission is seen as the key to effectively addressing illicit operators, protecting consumers, and ensuring a well-regulated private market for gambling in Belgium.

The concerns raised by BAGO align with observations in other European markets where increased regulatory restrictions on the legal sector have sometimes correlated with a rise in black market activity, as unlicensed operators continue to target players without adhering to responsible gambling standards or contributing taxes. The current situation in Belgium presents a challenge to ensure that the regulatory framework effectively channels players into the protected legal environment.