SCCG · Licensing

UK Gambling Commission Research Reveals Consumers Struggle to Identify Illegal Lotteries Promoted on TikTok

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UK Gambling Commission Research Reveals Consumers Struggle to Identify Illegal Lotteries Promoted on TikTok
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UK Gambling Commission research shows consumers cannot reliably spot illegal social media lotteries on TikTok, relying on informal trust signals rather than licensing checks. Only one in five verify operators via official registers. With 252 removals in the past year, the 18-24 age group emerges as a priority for further study and enforcement.

SCCG Take — The evidence exposes clear gaps in digital platform accountability and consumer education. Regulators and operators must prioritize transparent verification tools and platform-level controls to reduce reliance on ambiguous signals.

The UK Gambling Commission has detailed how consumers taking part in illegal lotteries and raffles on social media often prioritize whether a draw appears genuine over whether it is legally operated. The regulator commissioned Yonder Consulting after its intelligence team noted a rise in reports of suspected illegal lotteries and raffles on TikTok during 2025. The resulting study examined consumer encounters with these promotions, reasons for participation, and operator practices.

Limited understanding of licensing rules was widespread. No participant in the qualitative research clearly understood when paying for a chance to win a prize required a license in Great Britain. Awareness of the Commission remained generally low, and respondents had difficulty distinguishing regulated gambling businesses from illegal operators. As reported by Yogonet International, only around one in five participants using TikTok performed formal checks such as consulting the Commission’s business register, verifying GAMSTOP registration, or looking for gambling-related logos.

Consumer Reliance on Informal Signals

Participants instead depended on cues including familiar hosts, visible winners, user comments, repeat exposure, and live draws. Lower ticket prices, familiar payment methods, and casual framing reduced perceptions of risk. Hosts commonly described the activities as giveaways, competitions, or live draws, distancing them from gambling terminology. Some operators shifted payments off-platform or requested use of PayPal’s family and friends function. Host knowledge of licensing obligations varied, with indications that ambiguous language and payment practices were sometimes employed to limit scrutiny. Consumers rarely reported issues, viewing losses of only a few pounds as insufficient to warrant complaints, and some who did report illegal activity cited frustration with absent enforcement outcomes.

Targeting Emerging Digital Risks

The Commission noted consumers aged 18 to 24 were more likely to encounter these illegal operations on TikTok, though recruitment challenges limited the depth of insights into that cohort, which will now receive priority in future research. Enforcement activity over the past 12 months resulted in 252 illegal lotteries being removed from social media platforms. The regulator intends to sustain collaboration with website providers, social media companies, and payment providers.

“This research has provided us with insight into an aspect of the illegal gambling market that is relatively new,” Commission Research and Impact Manager Rupam Jagota said. “Our aim is to continue strengthening the evidence base using innovative approaches so that we can better understand consumer experiences, identify emerging risks and target regulatory action where it can have the greatest impact in a digital ecosystem that’s rapidly changing.” These findings highlight the specific enforcement obstacles posed by social media’s rapid evolution and the resulting need for targeted, evidence-driven interventions that address both consumer behavior and platform responsibilities.

Reporting: Yogonet International

Generated by SCCG’s automated editorial system from published source reporting. SCCG Management holds editorial responsibility.

Steve’s read · SCCG Intelligence

Operators and platforms must close the verification gap before regulators close markets on everyone's behalf.

We've watched illegal and grey operators erode trust across every emerging channel from daily fantasy to social casino. When consumers can't tell legal from illegal, compliance becomes your competitive edge — and your liability shield. This UK data proves platform governance and consumer education aren't nice-to-haves anymore.

SCCG angle: SCCG works with lottery providers, compliance tech, and platform partners across 545+ relationships. When illegal activity clouds consumer trust, we connect you to verification solutions, responsible gaming frameworks, and platform policy experts who've navigated similar enforcement waves in sports betting and iGaming.

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