As we wait for the Ontario government to release revenue figures for the Ontario online casino sector, an interesting report says the numbers could be massive.
Gross gaming revenue in Ontario’s gambling sector could grow by nearly $6.5 billion to $8.02 billion by the end of 2023, according to H2 Gambling Capital.
The increase of more than 400% between 2022 and 2023 was reported this week by the International Betting Integrity Association in its 2022 second-quarter integrity report. The IBIA got its numbers from H2.
The figures, which H2 released on July 4, peg the total Ontario gambling handle at $1.56 billion in 2022.
That’s a 37% increase from $1.14 billion in 2021, thanks to the province opening its online gaming market on April 4. That’s a minor jump compared to what is to come. In just five years, total revenue is expected to be nearly eight times higher than 2022 projections.
H2, which has been providing gambling data for 20 years, predicted that by 2027 gaming revenue in Ontario will be $12.28 billion, an increase of more than 975% from 2021 figures.
Province could net some $10.9 billion
The provincial tax rate on gaming operators is heavily rumoured to be 20%. If true, that would mean revenue to the province from gambling would be the following:
- 2022: $312 million (on gross gaming revenue of $1.56 billion)
- 2023: $1.6 billion ($8.02 billion)
- 2024: $2.04 billion ($10.18 billion)
- 2025: $2.17 billion ($10.87 billion)
- 2026: $2.32 billion ($11.59 billion)
- 2027: $2.46 billion ($12.28 billion)
Over five years, that totals more than $10.9 billion in estimated tax revenue to the province of Ontario from the gambling sector.
IBIA: 88 cases of suspicious betting activity
The Alcohol and Gaming Commission of Ontario has accredited the IBIA as an independent integrity monitor. The IBIA also represents the majority of the operators currently offering sports betting in the province.
The same IBIA report was a tally of suspicious betting activity in the second quarter of 2022. Eighty-eight cases were reported to the relevant authorities in 36 countries in Q2, said the IBIA.
By region, the number of reports of suspicious betting activity was as follows:
- Europe: 46
- Asia: 18
- North America: 13
- Africa: 5
- South America: 2
Soccer, tennis and horse racing jointly accounted for 71 of the reports of suspicious activity, or 81%. The complete breakdown is as follows:
- Soccer: 32 alerts
- Tennis: 27
- Horse racing: 12
- Table tennis: 8
- eSports: 4
- Basketball: 3
- Handball: 1
- Greyhound racing: 1
The IBIA was established in 2005. The company is “the leading global voice on integrity for the licensed betting industry.”
