IG Group targets UK prediction markets launch by late 2026

IG Group is aiming to launch a UK prediction markets product as early as the fourth quarter of 2026, according to SBC News.

The London-headquartered trading platform told investors it sees "strong appetite for prediction markets in the UK". The launch will be led by IG Consumer, the firm's retail investing arm.

IG Consumer chief executive Michael Healy set out the plan at a Capital Markets Event on 22 October, saying the business will combine predictions, crypto and traditional trading into a single in-house platform.

The announcement came a week after IG Group applied for a Gambling Commission betting licence. The firm has signalled it intends to run a targeted marketing campaign built around the idea of consumers being able to "trade better", with adverts due on UK channels including Sky Sports next month. IG Group expects to broaden its prediction markets offering into politics, entertainment and sports by early 2027.

The UK push follows IG Group's $1.1bn acquisition in July of Underdog, the US daily fantasy sports and prediction markets operator founded by Jeremy Levine, which already operates in 46 US states under oversight from the Commodities Futures Trading Commission rather than state gambling regulators.

By seeking a Gambling Commission licence for its UK product, IG Group is departing from that CFTC-style model and effectively accepting that the UK service will be treated as gambling. The business will sit under both the Gambling Commission and the Financial Conduct Authority if the plan proceeds, with the FCA having already indicated it intends to hold talks on the future regulatory treatment of prediction markets in the UK.

The regulatory question is contested elsewhere. US market leaders Kalshi and Polymarket reject the gambling label entirely, describing their products as financial trading platforms offering derivatives and event contracts. European betting operators generally dispute that framing, arguing that sports-based prediction markets are functionally indistinguishable from conventional sports betting. Should the FCA ultimately favour a CFTC-style approach over the Gambling Commission's stricter regime, IG Group could find scope to operate under lighter-touch oversight.

IG Group chief executive Breon Corcoran acknowledged the regulatory uncertainty involved in the move but said he was confident in the company's ability to manage it. "Trading, investing and entertainment are converging, and IG is well placed to capitalise on the opportunity," Corcoran told the Capital Markets Event, adding that the firm's current plan "underpin my confidence that we will create significant shareholder value in the coming years."

Separately, IG Group confirmed its planned redomicile to Jersey remains on track, with completion expected by late 2026 or early 2027. That move, alongside the Underdog deal, has fuelled speculation about a secondary listing that could affect the company's place on the FTSE 100 Index.

Investors responded positively to the announcements. IG Group shares rose 22p to £9.72 by 3:10pm GMT, roughly an hour after the Capital Markets Event began, according to SBC News.