NetBet Hit with £650,000 Penalty After UKGC Investigation into AML and Player Protection Failures

The UK Gambling Commission (UKGC) has ordered NetBet Enterprises Limited, operator of Netbet.co.uk, to pay a £650,000 settlement following a detailed compliance review. The regulator found multiple shortcomings in the company’s anti-money laundering (AML) systems and social responsibility measures between late 2023 and mid-2024. According to the Commission, the money will be directed to initiatives supporting responsible gambling.

Weaknesses in AML Procedures

The UKGC report pointed to a pattern of procedural and oversight failures within NetBet’s AML framework. Investigators found that the company relied too heavily on financial indicators when evaluating customer risk and failed to take appropriate action in several high-risk cases. In some instances, customers were able to deposit amounts far above their declared income without proper verification.

Key AML issues included:

• Overdependence on basic financial checks to assess player risk.

• Poor escalation of suspicious transactions to the AML officer.

• Incomplete risk assessments that omitted high-value gambling, third-country residents, and business-partner exposure.

• Delays in verifying affordability for players showing unusual spending patterns.

In one example cited by the regulator, a customer deposited £2,000 within four days, yet was still classified as “low risk” despite earning less than £3,000 a month.

Social Responsibility Failures

Alongside AML concerns, the Commission identified gaps in NetBet’s player protection processes. The operator, according to the report, did not have effective early-warning systems to identify harmful gambling behaviour or intervene promptly. Problem indicators — such as late-night sessions, rapid deposits, and repeated limit breaches — were often detected only after manual review.

The UKGC also found that NetBet submitted inaccurate compliance data, breaching Licence Condition 15.3.1, which obliges licensees to provide timely and correct information.

Regulatory Response and Required Improvements

Instead of a traditional fine, the Gambling Commission approved a regulatory settlement requiring NetBet to:

• Carry out an independent audit of its AML and safer gambling controls.

• Strengthen internal training and monitoring procedures.

• Rework its risk-assessment framework to ensure proportional action.

• Improve data accuracy and reporting to the regulator.

The Commission emphasized that these failures demonstrate the serious consequences of weak compliance structures. Enforcement Director John Peirce noted that the UKGC “will intervene whenever operators fail to meet the standards expected to protect consumers and prevent financial crime.”

Broader Implications

This case underlines the UKGC’s ongoing commitment to tightening regulatory oversight across both AML and responsible gambling areas. The regulator continues to signal that operators must not only have systems in place on paper but also prove that those systems work effectively in practice. NetBet has confirmed it will review its operations and cooperate fully to restore compliance standards.

Earlier, we reported that the UKGC suspended the licence of game provider SPRIBE due to serious compliance gaps related to remote hosting. Together, these cases highlight the regulator’s intensified oversight of both B2B and B2C operators — a clear signal that compliance standards in the UK gambling sector are becoming stricter than ever.