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How to Start an Online Casino in the UK

  • Writer: KodeDice
    KodeDice
  • Dec 27, 2024
  • 3 min read

Starting an online casino in the UK is a common question among both existing casino operators from other markets and newcomers to the industry.

The UK online gaming market is one of the largest and most profitable in the world, making it highly attractive for remote gaming service providers.

However, entering this market is challenging due to the strict regulations and rules that must be followed to operate legally and promote services to UK players. Let's explore some key considerations for launching an online casino in Great Britain.


Gambling images

Market

According to the UK Gambling Commission's Gambling Industry Statistics Report (April 2013 - March 2016), remote gambling services, including online casinos, generated a total Gross Gambling Revenue (GGR) of £4.47 billion from April 2015 to March 2016. This accounted for 33% of the total gaming industry GGR.


Online casinos contributed 57.5% and remote betting 35.1% of the total GGR, making up 92.6% of the remote gaming revenue. The remaining share came from bingo, betting exchange, and pool betting.


During this period, the number of active player accounts across all online gaming platforms reached 22.87 million, with 24.65 million new accounts registered. Remote operators held funds totaling £607.04 million within these accounts.


Legality


Online gaming services provided to customers in Great Britain are regulated by the UK Gambling Commission (UKGC). Since 1 November 2014, online casinos must obtain a remote license from the UKGC to accept players from the UK and promote themselves in the local market.


Obtaining a UK remote license is also crucial if you plan to collaborate with major game content providers like Microgaming and NetEnt, as they only supply their games to licensed operators for distribution to UK customers.


To obtain a UK remote gaming license, you need to submit an application to the UK Gambling Commission along with all necessary supporting documents. Before doing so, it's important to understand the strict technical standards and security requirements to ensure your casino platform complies with them.


The license is typically granted within 16 weeks from the application date. Consulting a local lawyer is highly recommended to streamline and expedite the application process.

It's also important to note that casinos targeting markets outside the UK should obtain a gambling license from another reputable jurisdiction, such as Malta or Curacao, as the UK license only permits operation within the local market.


Casino Software


As mentioned, the UK Gambling Commission places significant emphasis on the technical parameters and security standards of a casino applying for a license.


These standards include information on player accounts, financial transactions, game rules, and the probability of winning; auto-play functionality and time-critical events; certified RNG and clear definition of game results; handling interrupted gambling; setting money limits; responsible gambling information; time limits and reality checks, among others.


Therefore, when selecting a software provider, it is crucial to ensure that the online casino platform you choose complies with all UKGC requirements. For instance, at Kodedice, we have thoroughly studied the specific UK standards and adapted our platform accordingly to ensure our software is fully prepared for a UK remote license application.


Games


UK players, like other gamblers, prefer slots over other types of casino games. From April 2013 to March 2016, slots generated £1,751.55 million in gross gaming revenue (GGR), accounting for 68.1% of the total online casino GGR.


Table games ranked second with £400.79 million (15.6% of the GGR), followed by card games with £188.83 million (7.3% of the GGR). When it comes to game content developers, there are no specific preferences, with various vendors competing for players' attention.


UK players enjoy high-quality games with top-notch designs from well-known providers. The greater the variety of games, the higher the potential for a casino to succeed.


Currency and Payment Systems


The currency in a casino operating on the UK market should be GBP. UK players prefer to use their credit cards for all financial transactions, but other payment methods are also used, so having a standard choice of Skrill, Neteller, bank transfers, etc. is also a must. Good news is that the UK Gambling Commission has officially acknowledged Bitcoin as a payment alternative, so running an online casino which accepts Bitcoin is a nice competitive advantage.


Marketing and Promotion


While many countries restrict or prohibit advertising for online gaming, the UK allows all types of promotion, including ads on the Internet (e.g., Google Ads), television, radio, and print media. The only requirement is that the casino holds a UK remote gaming license.

Overall, launching an online casino in the UK requires thorough preparation and legal work, but it is worthwhile due to the significant potential and development opportunities.

With trusted partners, you can capture a share of this attractive market and include UK customers in your player portfolio. Kodedice is eager to share knowledge on related matters and provide complete technical and software support.



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