A report conducted by Deloitte and released today by iGaming Ontario estimates the open Ontario online gambling betting market supports more than 12,000 full-time equivalent jobs and contributes almost $1.6 billion to the province’s Gross Domestic Product.
The GDP figure includes more than $900 million in labour income.
The report estimates that by 2031-32:
- The number of full-time equivalent jobs could be as high as 22,000.
- The contribution to Ontario’s GDP could be $4.7 billion.
- Online gambling could deliver over $2.1 billion in revenue annually to the provincial government.
Ontario launched an open market on April 4, 2022. Today, Ontario is home to 45 different gambling operators that operate 76 different online sites. In its first year, the Ontario online gambling industry took in some $35.6 billion in bets and produced revenue of about $1.4 billion.
In a press release, iGO chair Dave Forestell said:
“Today’s report reveals that the newly regulated iGaming market in Ontario is delivering real benefits to every resident of Ontario, whether they play or not. The iGaming industry has the potential to be a real economic driver in Ontario and, together, we can help realize that goal of leading the world’s best gaming market right here at home.”
Deloitte’s data is as of April 26, 2023. It was acquired through “data sharing, secondary research and interviews with stakeholders across the iGaming ecosystem.”
High-paying jobs in the Ontario gambling sector
The report is the first detailed look at the economic impact of Ontario’s expanded gambling sector.
Deloitte said its jobs numbers came from the legal, regulated Ontario online gambling operators that have agreements with iGO.
Apart from the some 12,000 full-time equivalent jobs in the sector, Deloitte reported that:
“Employees receive an average of $103,000 a year in compensation, which is 41% higher than average job compensation across all industries in the province.
“This is early evidence that the iGaming employment base, which generally relies on science, technology, engineering and mathematics (STEM) skillsets, is sustaining and creating demand for highly skilled and productive talent in Ontario.”
Ontario revenue expected to grow from $470 million to $1.4 billion annually
The report also said the Ontario government’s share of the online gambling industry will grow from “about $470 million last year to just under $1.4 billion in 2031-32.”
The federal government’s share will increase from $238 million to $647 million by 2031-32.
The amount flowing to Ontario municipalities from the iGaming market will more than double from $54 million to $115 million in that time.
Deloitte’s report said it, “accounts for the 20% iGaming revenue share to Ontario, as well as taxes on products and production (e.g., provincial sales taxes and property taxes), corporate income taxes and personal taxes and estimates revenue to municipal, provincial and federal governments. Federal taxes estimates only include federal taxes from the operation of iGaming operators and their suppliers in Ontario.”
More quick facts from the report
The Deloitte report also noted:
- The GDP per full-time equivalent job in the Ontario iGaming market was about $171,000 in 2022-23. The report projects this figure to grow to $813,000 in GDP per job in 2031-32.
- In 2022-23, the report estimated that approximately $1.14 of GDP was added to the Ontario economy for every dollar spent by igaming operators in operating or capital expenditures. By 2031-32, the report projects this figure to rise to $1.78 of GDP for every dollar spent.
- The scope of this report only includes the potential economic contribution of the iGaming industry as conducted and managed by iGaming Ontario. It does not contemplate any potential economic benefits associated with iGaming offered by the Ontario Lottery and Gaming Corporation.
Ontario’s Attorney General lauds “safe, legal and competitive” industry
Ontario Attorney General Doug Downey praised the “internationally recognized” regulated Ontario online gambling sector, “for creating a safe, legal and competitive landscape while supporting the province’s economy and displacing the existing unregulated market.
“By driving innovation, creating exciting new opportunities for workers and providing protection and choice for players, this made-in-Ontario market will remain a global leader in this sector.”