The UK Gambling Commission has published new research showing consumers taking part in illegal lotteries and raffles on social media are more focused on whether a draw looks genuine than whether it is legally operated, with 252 such lotteries removed from social platforms over the past 12 months through Commission enforcement activity.
The regulator commissioned Yonder Consulting to examine the issue after its intelligence team recorded a rise in reports of suspected illegal lotteries and raffles on TikTok during 2025. The research examined how consumers encounter and take part in the draws, why they participate, and how the individuals running them operate.
Researchers found no participant in the qualitative study clearly understood when paying for a chance to win a prize could require a licence in Great Britain. Awareness of the Gambling Commission itself was generally low, and participants struggled to distinguish licensed gambling businesses from illegal operators running draws on TikTok, Facebook and Instagram.
Formal verification was rare: only around one in five TikTok users surveyed said they checked whether a provider appeared on the Commission’s business register, was registered with GAMSTOP, or displayed gambling-related logos or account details. Consumers instead relied on informal cues, including familiar hosts, visible past winners, comment activity, repeat exposure and live draws, alongside lower ticket prices and familiar payment methods, all of which reduced perceived risk.
The study found hosts frequently used terms such as giveaway, competition or live draw rather than lottery, softening the activity’s association with gambling. Some operators moved payments off-platform or directed participants toward PayPal’s family and friends option. Host understanding of licensing rules varied, with the Commission noting some appeared confused about requirements while others may have used ambiguous language and payment routing to reduce scrutiny.
Reporting behaviour compounded the problem. Consumers who lost only a few pounds generally saw that as insufficient reason to complain, and those who did report suspected illegal activity expressed frustration at a perceived lack of visible enforcement.
The Commission said consumers aged 18 to 24 were more likely to encounter illegal lottery activity on TikTok, though difficulties recruiting younger participants for the research prevented a comprehensive picture of their behaviour from emerging. That age group will be a priority for future research, the regulator said, as it continues working with website providers, social media platforms and payment providers to remove illegal activity from circulation.
Rupam Jagota, the Commission’s Research and Impact Manager, said the study had provided insight into a relatively new segment of the illegal gambling market. Jagota said the Commission’s aim was to keep strengthening its evidence base through innovative approaches so it could better understand consumer experiences, identify emerging risks and target regulatory action where it can have the greatest impact in a rapidly changing digital ecosystem.
Source: Yogonet
When he is not analysing the latest compliance updates or dissecting quarterly operator results, Florian follows Bundesliga football closely and maintains a healthy skepticism toward anyone claiming to have cracked a winning betting system. He brings a grounded, insider-aware perspective to his writing and is always more interested in the structural story behind the headline than the headline itself.