The Isle of Man Government has released its first Terrorist Financing National Risk Assessment (TFNRA), raising the terrorism financing risk level of online gambling from low to medium.
This marks the island’s most focused review on terrorist financing to date, expanding on past money laundering assessments published in 2015 and 2020.
Online Gambling Now Matches Banks in Risk Category
The TFNRA concluded that while the overall terrorist financing risk for the Isle of Man remains medium-low, both banks and online gambling now carry medium risk ratings. Previously, online gambling was rated low.
The shift comes as global cases involving gambling-related terrorist financing remain moderate, while local cases on the island are still rare.
“There’s a low likelihood of funds being knowingly sent from the Isle of Man to support terrorism… but there is always a risk,” the report stated.
Red Flags and Sector Size
Before 2024, about 32% of assumed clients came from higher-risk countries. That number has since dropped to 3.2%, according to the report.
The online gambling sector, including non-regulated support services, contributes around 13.6% of the Isle’s national income.
Supervision Under Review
The Gambling Supervision Commission (GSC) recently revised its entry control systems after recent money laundering investigations exposed shortcomings.
“These cases prompted a reassessment of the adequacy and effectiveness of our entry controls,” the report noted.
In response, the GSC plans to establish stricter, risk-based licensing rules and address B2B oversight gaps.
Earlier this year, the GSC fined Celton Manx £3.9 million and revoked its licence over anti-money laundering failures.
Government Response
Justice and Home Affairs Minister Jane Poole-Wilson called the TFNRA a “vital tool” in protecting the island’s financial integrity and international reputation.
“It reflects the depth of collaboration across government, regulators, and industry,” she said. “We’re committed to keeping the Isle of Man a secure and responsible jurisdiction.”
