Artificial intelligence chatbots are drawing new scrutiny from regulators after tests showed they could recommend offshore online casinos that are not licensed to operate in the United Kingdom.
The findings have triggered concern among policymakers and gambling harm specialists because the responses may direct users toward operators that fall outside the country’s regulated market. Under UK law, gambling operators must obtain authorization from the UK Gambling Commission to legally provide services to British players. Any operator targeting UK customers without such approval is considered to be offering gambling illegally within the jurisdiction.
Leading Platforms On the Spotlight
Testing of several widely used AI systems found that chatbots could be prompted to provide lists of recommended casinos that operate outside the UK’s licensing framework.
Platforms tested included ChatGPT, Microsoft Copilot, Gemini, Meta AI, and Grok. Across the responses, the systems produced recommendations for offshore gambling websites and highlighted features such as promotional bonuses, fast withdrawals, and cryptocurrency payment options. Some responses also discussed ways to access sites that are not linked to the UK’s national self-exclusion system, raising additional concerns about consumer protection compliance.
Enforcement Challenges
Many of the casinos referenced by the chatbots operate under international licenses issued by regulators in jurisdictions such as Curaçao. These licenses allow operators to offer services globally but do not authorise targeting UK players unless the company also holds a UK licence.
From a regulatory standpoint, the presence of offshore operators is already a persistent challenge. Sites operating outside the UK’s licensing system may not provide the same responsible gambling protections, affordability checks, or dispute resolution processes required by domestic regulations. The emergence of AI chatbots as potential referral points adds a new layer to that challenge by acting as information intermediaries between users and offshore platforms.
Compliance Risks Under UK Online Safety Law
The issue also affects broader digital regulation. The Online Safety Act 2023 requires technology companies to limit the distribution of illegal or harmful content across their platforms. If AI systems are directing users toward illegal gambling services, regulators may examine whether those platforms have adequate safeguards in place to prevent such outcomes.
Consumer protection experts have also warned that directing vulnerable individuals toward offshore casinos could undermine national harm prevention measures, including the self-exclusion scheme operated by GamStop. Government officials have already indicated that digital platforms must ensure their tools comply with UK law and protect users from illegal services.
