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The South African Gambling Industry in South Africa 2016

  • September 2016
  • -
  • Who Owns Whom
  • -
  • 90 pages

Summary

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The South African Gambling Sector : The South African gambling industry which includes casino gambling, sports betting, Limited Payout Machines (LPMs), the National Lottery and bingo achieved gross gambling revenue (GGR) of R26.3bn in 2016 and paid R2.8bn in taxes and levies. In the sector there are six casino operators, dominated by Tsogo Sun, Sun International and Peermont Global, 11,235 active LPMs and approximately 400 South African bookmaker outlets. Casinos employ 24,300 people and the industry as a whole, including non-gambling services such as hospitality and catering, indirectly supports more than 64,000 jobs.


A Regulated Sector: The industry is highly regulated with nine provincial gambling regulators responsible for the issuing of casino, bookmaker and LPM licences. Local gambling authorities fall under the purview of the National Gambling Board (NGB) and the Department of Trade and Industry (DTI). The National Gambling Policy which sets the direction for the future regulation of the industry and its segments was approved in April 2016 and the National Gambling Regulator (NGR) which will replace the NGB, is scheduled to begin operations in the next two years. Despite stringent regulations and fines of R10m or up to ten years in prison, illegal gambling activities at non-licensed venues persist. The Casino Association of South Africa (CASA) estimates that some R125m in potential gambling taxes and levies was lost to illegal online gambling alone in 2015.



Report Coverage:

The report on the Gambling industry focuses on the size of sector, where R358.4bn was wagered during the 2015/2016 financial period, recent developments and factors influencing the success of players in the formal sector. The report profiles 16 companies, ranging from the major casino operators to companies in the growing sports betting segment. These include online sports betting websites, Clickabet (Pty) Ltd, Netbet (Pty) Ltd t/a Sportingbet and Sunbet, part of Sun International.

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