IG Group targets UK prediction markets launch as early as Q4 2026 after applying for Gambling Commission licence

IG Group, the FTSE 100 financial trading firm, is aiming to launch a prediction markets product in the UK as early as the fourth quarter of 2026. Management outlined the plan to investors at a Capital Markets Event in London on 22 October, saying it sees strong appetite for such products among UK consumers.

The launch will be led by IG Consumer, the company's retail investing arm. Its chief executive, Michael Healy, said predictions, crypto and traditional trading would be combined on a single in-house platform. The company intends to broaden the range of markets to include politics, entertainment and sports by early 2027, and a marketing campaign built around the idea of consumers being able to "trade better" is due to appear on channels including Sky Sports next month.

The announcement came a week after IG applied for a betting licence from the UK Gambling Commission. The move follows the group's $1.1bn acquisition in July of Underdog, a US daily fantasy sports and prediction markets platform that offers its product in 46 US states. Underdog's expertise is expected to support the UK rollout. In the US, prediction markets are overseen by the Commodity Futures Trading Commission rather than by state gambling regulators, and the licence application marks a departure from that model for IG.

If the plans proceed, the business would face oversight from both the Gambling Commission and the Financial Conduct Authority. The FCA has recently said it intends to hold talks on the future of prediction markets in the UK. US market leaders Kalshi and Polymarket reject the gambling label, describing their platforms as financial trading venues offering derivatives and event contracts, while many European betting operators argue that sports-based prediction markets are no different from conventional sports betting.

Group chief executive Breon Corcoran acknowledged regulatory uncertainty but said he was fully confident in the company's ability to manage it. He described the next phase of growth as broadening propositions, investing in brands and improving efficiency. IG also said its planned redomiciliation to Jersey remains on track for completion later this year or in early 2027. Shares were up 22p at £9.72 at 3:10pm GMT, about an hour into the event.