The European Commission (EC) has been alerted to significant weaknesses in how major tech platforms control online gambling advertising, following new research commissioned to support its oversight work. The study, conducted by Open Evidence and Spark Legal, scrutinises the verification processes of platforms like Meta, Google, and Apple, raising concerns about their effectiveness in preventing illegal gambling promotions across Europe.
Research Uncovers Gaps in Advertiser Verification
The EC's research found that online gambling is among several sectors highly targeted by scammers, alongside financial services and e-commerce. Investigators identified that advertising systems on major platforms sometimes permit unlicensed gambling operators to run campaigns in jurisdictions where they lack the necessary regulatory approval. This is often due to over-reliance on self-declared information from advertisers, rather than robust verification.
Additionally, the study highlighted issues with fake gambling apps on legitimate app stores, which can hide their true function to bypass initial reviews and later enable gambling features for users. The research did not assess compliance with the Digital Services Act (DSA) but supports its goal of a safer online environment.
Fraudulent Advertising and Consumer Risks
Fraudulent casinos and betting services continue to exploit advertising to attract consumers, often promising guaranteed winnings or reliable systems. Victims can face manipulated outcomes, frozen accounts, or blocked withdrawals. The report cited data indicating that advertising was present in the vast majority of reviewed gambling scam cases, though it clarified this does not mean most gambling ads are fraudulent.
Concerns also extend to the rapid proliferation of illegal gambling adverts, particularly on social media platforms. Dutch authorities reported thousands of such ads to Meta in April, with the number rising further in May. These ads frequently use recognisable brands or personalities to appear trustworthy.
Industry and Regulatory Response
The lack of EU-wide gambling legislation means each member state retains responsibility for regulating its market, complicating the verification of gambling advertisers. The EC notes that simply holding a licence somewhere in Europe does not entitle an operator to advertise in all jurisdictions. Google has responded by tightening its certification requirements, now mandating country-specific approvals for gambling advertisers.
In the Netherlands, trade body VNLOK has called for stricter advance verification of gambling licenses and better detection of deceptive marketing tactics. VNLOK has launched legal action against Meta and filed a complaint with the EC, citing evidence that most identified gambling ads came from unlicensed operators.
Why This Matters for the Industry
For operators and affiliates, the findings signal increased regulatory scrutiny and the likelihood of stricter advertising controls on digital platforms. Suppliers and regulators may also face new expectations for cooperation and reporting. The push for more robust verification and monitoring could affect how gambling businesses reach customers online, especially in fragmented regulatory environments like the EU.
Key takeaways
- EC research exposes flaws in tech platforms' verification of gambling advertisers.
- Unlicensed operators and fraudulent ads remain a widespread problem in Europe.
- National regulators and trade bodies are demanding stronger controls and legal action.
- The findings could drive tighter advertising rules and verification standards for the industry.