What is it really like running an independent bookmaker in Britain in 2026?
In Episode 108, I sit down with James Lovell, co founder of DragonBet and experienced racecourse bookmaker, to explore life on the other side of the betting counter.
James explains why bigger staking and sharper punters are increasingly returning to the racecourse, as competitive prices, online restrictions and reduced exchange liquidity make the betting ring an attractive alternative.
We also get inside DragonBet, where compliance now requires roughly twice as many people as trading, and discuss sharp bettors, restrictions, regulation and the growing threat from black market bookmakers.
Finally, James explains how increased taxation is affecting smaller operators and why, despite all these pressures, he remains optimistic about the future of independent bookmaking.
KEY TALKING POINTS
• James's journey from growing up in a bookmaking family to becoming a racecourse bookmaker
• Bringing traditional racecourse bookmaking values into an online betting business
• Why bigger staking and price sensitive punters are returning to the racecourse - especially with competitive pricing.
• How online restrictions and compliance friction are influencing where people bet
• The impact of declining exchange liquidity on bookmakers and punters
• How large bets and AML checks are handled on course
• Why compliance is now one of the biggest challenges facing independent bookmakers
• How DragonBet approaches sharp and winning bettors
• Why James believes bookmakers need customers who are trying to beat them
• The competitive threat posed by unregulated and black market betting operators
• Higher taxation, rising costs and why James believes DragonBet needs to grow rather than simply cut costs
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Resources & Mentions
Key Quotes
The Return of Real Bookmaking
“Until a few years ago, you could be really lazy and just track the exchanges. Now you have to pay attention to your surroundings. It’s bringing back that old bookmaking skill again.”
Sharp Punters Are Part of Bookmaking
“I can’t say we want to take on every sharp punter in the world, but at the same time, we are bookmakers and we do want to have a bet. A bookmaker is not a bookmaker unless he’s got punters who are trying to beat him.”
The Time to Worry Is When You Can Get On
“My old man used to say to me all the time, the time to worry is when you can get on. If a bookmaker wants you to bet with them, you’re in trouble.”
Why Punters Are Returning to the Racecourse
“I’m taking the same amount of bets as I was a few years ago, but my average stake has gone up massively. It’s definitely the bigger punters. If you’re having a bigger bet, you’re more likely to shop around and notice the difference in prices.”
Regulation Does Not Remove the Demand to Bet
“The increase in stakes on the racecourse tells you one thing about over regulation. It doesn’t stop the demand. People still want to bet on horse racing. They’re just going to try and find somewhere else to go and do it.”
Compliance Versus Taking Bets
“The biggest shock to me when we launched, going from the racecourse to online, was how much smaller a part of the business trading is. We’re bookmakers. We want to be here taking bets, and it’s very easy to get distracted by other stuff such as compliance.”
Why Bookmakers Ask for Bank Statements
“You ask someone for a bank statement, I wouldn’t want to send my bank statement. I don’t want my missus to see my bank statement, never mind someone I don’t know at a bookmaker. But the truth is, to work within the Gambling Commission guidelines, there are certain instances where you have to ask for certain stuff.”
The Black Market Advantage
“These black market websites, their incentive is to do the opposite (than safer gambling). They want to provide the path of least friction for customers. Their advertising, they’re using no regulation as an advertising tool, and I just think it’s dangerous and wrong.”
You Cannot Cut Your Way to Growth
“You can cut your way to survival for a while, but ultimately you’ve got to grow your way out of it. We’re trying not to become a worse bookmaker and offer worse prices. We’re trying to become a bigger and better one.”
Treating Punters Fairly
“We’re fair bookmakers. We’re fair to punters. I can’t say that we’re going to take on every sharp punter, that would just be wrong. We’re a business trying to make money, but we’ll treat you properly.”
The Return of the Betting Ring - James Lovell on Bookmaking in 2026
37:45