UK Regulator Accuses Meta of Turning a Blind Eye to Illegal Gambling Ads—Tech Giant’s Compliance Under Fire
Meta faces fresh regulatory heat as UK authorities allege systematic oversight failures around illicit gambling promotions.
Platforms Under Scrutiny
The Financial Conduct Authority (FSA) claims Meta's advertising systems repeatedly allowed prohibited gambling content to bypass safeguards. Internal reports suggest automated moderation tools flagged less than half of violative campaigns—manual review teams allegedly ignored clear policy breaches.
Revenue Over Responsibility?
Advertising analysts estimate gambling-related revenue from questionable campaigns could exceed £200 million annually across Meta's platforms. That's pocket change compared to their quarterly earnings, but enough to make regulators question whether compliance gets deprioritized when it conflicts with growth targets.
Regulatory Reckoning Looms
The FSA's investigation could trigger fines exceeding 4% of Meta's UK revenue—potentially hundreds of millions. More damaging? The precedent it sets for how global regulators approach platform accountability. Meta now scrambles to demonstrate improved detection systems before parliamentary hearings next quarter.
Meanwhile, traditional finance firms quietly note the irony: they face million-pound fines for minor compliance slips while tech giants allegedly ignore entire illegal industries—until someone finally notices.
Regulator calls the situation a window into criminality
Miller called the situation a window into criminal activity. He said if the commission can find these illegal ads, Meta can too, but the company just chooses not to look for them.
Meta hasn’t responded to requests for comment. The company’s own rules say gambling businesses must hold valid licenses to advertise in the markets they want to reach.
The UK Gambling Commission is one of many regulators worldwide stepping up efforts against illegal gambling operations. These unlicensed sites target local customers while dodging local regulations and consumer protections. British authorities have taken down hundreds of thousands of websites linked to unlicensed gambling operations and sent out cease-and-desist orders, but it’s a constant fight.
Miller said ads from illegal operators hurt vulnerable people while enriching criminals and fraudsters. Unlicensed gambling sites don’t pay taxes, and their customers face a greater chance of getting cheated.
The commission looked for ads containing the phrase “not on Gamstop,” which refers to a British service that helps problem gamblers block themselves from gaming websites. Every licensed operator in the UK must work with Gamstop and block registered users from playing.
Meta suggests regulator use AI tools to find violations
Miller said Meta told the Gambling Commission it should use artificial intelligence tools to find and report illegal ads. The company promised to remove the ads once notified.
Miller said he WOULD be very surprised if Meta, as one of the world’s largest tech companies, couldn’t use its own keyword facility to stop illegal gambling ads. He said it leaves you with the impression they’re quite happy to turn a blind eye and keep taking money from criminals and scammers until someone complains.
An earlier investigation from Rest of World found that illegal gambling ads are widespread on Meta in countries where they’re outlawed, including India, Malaysia, and Saudi Arabia.
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