South Africans spent R1.5 trillion on gambling activities last year
South Africans spent R1.5 trillion on gambling activities during the 2024/25 financial year, which is a R400 billion increase from the year before.
This is according to the National Gambling Board’s annual report for the financial year, which was presented to Parliament on Wednesday, 15 October.
The overwhelming majority of this spending came from the betting industry, with South Africans wagering R1.1 trillion in bets throughout the year.
This is nearly four times that of casinos, which generated R293 billion in turnover, followed by slot machines, also known as limited payout machines, at R55 billion, and bingo at R28 billion.
However, what is most interesting about the turnover figures is where the bets are being wagered.
According to the National Gambling Board, the province with the highest amount wagered throughout the year was Mpumalanga at R623 billion (41.5%).
The Western Cape was second at R402 billion (26.8%), followed by Gauteng, which is South Africa’s most populous province and three times that of Mpumalanga, at R179 billion (12%).
The report also revealed that the gambling sector generated R75 billion in revenue during the period, representing a roughly R16 billion increase from the year before.
According to Rise Mzansi Member of Parliament (MP) Makashule Gana, this 26% increase makes it the fastest-growing sector in the country.
Similar to the turnover figures, the majority of this was generated through betting activities (R52 billion), followed by casinos (R17 billion), slot machines (R4.1 billion), and bingo (R1.7 billion).
However, despite Mpumalanga accounting for 41.5% of the money spent on gambling activities, businesses registered in the province only generated 30% (R22.2 billion) of the country’s total gambling revenue.
Almost all of this was generated through betting, amounting to R21.3 billion.
Businesses in the Western Cape contributed the largest portion to overall revenue, at R23.1 billion (31%), while those in Gauteng generated R13.5 billion (18.2%).
What Gana pointed out as most concerning is that gambling companies paid just over R5 billion in tax in 2024/25. This accounts for approximately 7% of the revenue generated.
The most significant contributor to the overall tax sum is the Western Cape at R1.7 billion (30%), followed by Mpumalanga at R1.5 billion (R25.3%), and Gauteng at R1.2 billion (20%).
A closer look at Mpumalanga
Five years ago, Gauteng generated the most gambling revenue in the country, accounting for 40.2% of the total sum, followed by the Western Cape at 18.1% and KwaZulu-Natal at 17.6%.
At the time, casinos generated the lion’s share of revenue, 56.3%, with betting only comprising roughly a quarter.
On the other hand, businesses registered in Mpumalanga contributed only 4.5% to the overall revenue.
Fast forward to today, and businesses in Mpumalanga and the Western Cape have overtaken those in Gauteng, not only in terms of revenue but also in turnover.
This is because most sports betting businesses have gambling licences registered in either the Western Cape or Mpumalanga.
These include companies such as Betway, Hollywoodbets, Sunbet, World Sports Betting, SuperSportBet, Easybet, and Bet.co.za, some of which have multiple licences from different jurisdictions, according to a MyBroadband report.
The dangers of sports betting
According to a study by the National Gambling Board, the most common reason for South Africans’ gambling was the “chance to win large sums of money.”
Second to this was “I needed the money”, a reason provided by 56% of respondents. Another 14% said they were gambling because they had lost their job.
A study by Nerilee Hing, Matthew Rockloff, and Matthew Browne, titled “A Bad Bet for Sports Fans: The Case for Ending the ‘Gambling’ of Sport,” argues that the gamblification of sports also normalises sports betting and, therefore, gambling among sports fans, including children.
While people under the age of 18 are prevented from participating in online sports betting activities, the study argues that this normalisation increases their chances of doing so once they reach the legal age.
An Australian weighted survey, found that 31% of adolescents considered betting on sports normal, and 15% believed that knowing the odds of a game was part of following sports.
Another survey in the UK found that 78% of children and teens thought that betting had become a normal part of sport.
A strong association was also found between sports betting and children, with an Australian study reporting that 42% of children could recall a sports betting brand unhindered.
Another survey performed in the UK found this to be 46%.
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