Increasingly, sportsbooks based in the UK are looking overseas. Many operators are now eyeing Europe as the domestic market matures and regulation tightens.
As they expand in all directions, a significant obstacle is payment fragmentation. While attracting customers and innovating sport products get most of the attention, payments are quickly emerging as a new competitive battleground. For UK operators expanding to Europe, the different local payment ecosystems, regulatory frameworks and currency realities are much more than a nuisance. It’s a strategic risk.
Why payments matter more than ever
Punters are increasingly considering payment options and payouts before choosing a sportsbook. Research shows fast payouts as one of the reasons behind selecting popular payment methods for online betting, in addition to brand trust. In addition, a player wants to be able to deposit money easily with their preferred payment method. Over 80% of online sports bettors worldwide would keep betting with a brand after a positive payment experience. This suggests that companies have to overcome their payment logistics in order to be successful in new markets.
The European challenge: fragmented payments
Europe seems like the next logical step for expansion; mature markets, mobile-first audiences and regulated frameworks. But the world of payments hides much more underneath. The methods of payment suitable for Europe are fragmented along national lines. It means that different EU countries prefer different payment systems and there is rarely a pan-European one.
For example:
In many nations, usage of Local Payment Methods (LPMs) outweighs credit and debit cards. For instance, in Spain or Italy, a digital wallet may be used by 70‑80 % of bettors.
Problems with currency and conversion tools persist as multi-currency support is often incomplete.
Laws, licenses, and tax regulations are different in different places.
A UK sportsbook is not used to typical ‘mini-markets’ with their own payment preferences, regulatory checklists and currency quirks that Europe represents.
What this means for UK sportsbook operators
UK operators expanding to Europe will see significant repercussions.
Conversion friction leading to lost users – If an Italy or Spain player lands on a UK operator’s site but can’t deposit or withdraw with their choice of wallet, local bank method or in local currency, that’s a significant friction point. According to research, as many as 80 % of gamers might abandon a brand that does not offer their preferred payment method. With user acquisition costs in sports betting what they are, this drop‑off is costly.
Compliance and regulatory risk – Payment systems have strong links to anti-money-laundering (AML), Know Your Customer (KYC) and responsible-gaming rules. It is risky to apply one payment stack for all as each European jurisdiction is applying its own rules deposit limits, payout caps, and permitted methods. If you do not use local payment methods you will attract regulatory scrutiny or player anger.
Cost and integration complexity – Providing support for more local payment systems, currencies and payout methods adds to technical and operational complexity. It could mean a lot of distinct acquiring banks and reconciliation methods, as well as several fallback methods for each market. Payment fragmentation adds both cost and complexity.
Strategic priorities to overcome fragmentation
UK sportsbooks looking to develop a competitive edge as they look to expand in Europe should focus on key payment strategies.
Localise the cashier – Offer local players their expected payment methods, including digital wallets, local bank transfers, and vouchers or e-wallets. Sales conversions and abandonment rates improve by having a local-feel cashier.
Easy management of multiple currencies and real-time alerts – In-game players must be allowed to use their local currency or at least be shown conversion fees. Hidden FX fees or unexpected deductions destroy trust. Mobile operators in the UK should not have GBP as their base currency, with everything else converting.
Fast, dependable, and payout excellence – Speed of payout is often the primary factor for bettors. Players expect instant or near‑instant withdrawals. UK operators looking to expand overseas must ensure their payout engines are up to the task, across currencies and local methods.
Partner ecosystem and technology stack flexibility – Each European market has its own particularities. Therefore, payment service providers (PSPs) with modular, localised payment integrations across geographies are worth consideration. If not, they will incur a higher cost of building payment stacks that are not integrated.
Conclusion
For UK sportsbooks, Europe is an easy market to scale into and grow in. However, the payments component is taking a more prominent role than you’d think. If each European market has its own payment standards and limitations, it could risk conversion, harm trust and increase cost, unless a long-term solution is established.
Operators looking to expand in Europe will have a competitive advantage by supporting localisation of the cashier, multi-currency, fast payouts and partner-enabled modular infrastructure. Those that halt payments risk long-term player loyalty, or worse, mis-serving players and regulators.
Summing up: Payment methods are not just plumbing anymore. They drive growth, and for UK sportsbooks that operate in Europe, they can make the difference between launching and scaling.
Read more:
Payment fragmentation: The hidden barrier for UK sportsbooks expanding into Europe
