Is Online Gambling Becoming South Africa’s New Social Ill?
The rapid growth of online gambling in South Africa has sparked concerns among experts and policymakers. Young people and vulnerable groups are feeling the impact the most, prompting louder calls for stricter regulations and increased accountability from gambling platforms.
A New Social Challenge: Online Gambling
The expansion of internet access in South Africa has transformed the gambling landscape, shifting much of the market from physical establishments to online platforms. While this shift has fueled significant growth in the gambling sector, experts warn that it may also become South Africa’s “next great social ill.”
Speaking in parliament, Rise Mzansi MP Makashule Gana called for urgent intervention from the Department of Social Development to address the issue of online gambling.
“We have a new crisis in this country affecting young people and grant recipients, and it is online gambling. Online gambling is more addictive than nyaope. It is a social ill and we need to deal with this problem because these online gambling companies are targeting young people and grant recipients.”
Data from the National Gambling Board illustrates the explosive growth of South Africa’s gambling sector. In 2003/2004, gross revenues stood at R8 billion, a figure that has soared to R59 billion by 2023/2024.
Over the past two decades, the market share has shifted dramatically from casinos—previously dominating with 89% of the market—to online sports betting, which now accounts for 69% of the market, leaving casinos with just 29%.
This shift has been accelerated by the Covid-19 pandemic, which drove players away from physical venues and toward online alternatives.
Social Implications of Online Gambling
The rise of online gambling comes with significant societal risks, especially for vulnerable populations. Data from the South African Responsible Gambling Foundation highlights the increasing prevalence of online gambling among those seeking help for problem gambling. Between April 2023 and March 2024, referrals for online betting far outpaced any other gambling activity.
Sibongile Simelane-Quntana, Executive Director of the South African Responsible Gambling Foundation, expressed concern over the accessibility of online platforms:
“Children can now gamble using their parents’ phones without the parents’ knowledge. This was difficult for them to do before the advent of online gambling as they could not get entry into gambling venues.”
Online gambling’s 24/7 availability has made it particularly addictive. Youth aged 18-34, being more tech-savvy, are especially drawn to these platforms. Additionally, employed individuals are among the most affected, often gambling during work hours and diverting household income to betting.
Despite the accessibility of treatment programs, certain groups, including children and the unemployed, are less likely to seek help. Many may not even recognize they have a gambling problem, further complicating efforts to address this growing issue.
Calls for Stricter Regulation
The Remote Gambling Bill has become a focal point for reform, with finance influencer and former banker Koshiek Karan advocating for stricter regulations. His recommendations include restricting the integration of betting platforms with banking apps and curbing the use of gamification techniques that lure users into prolonged gambling sessions.
“Online gambling is designed to monetise exploitation. There’s relentless marketing, ‘free’ bets, banking app integrations and addictive gamification. In reality, gambling firms actively seek out the most vulnerable.”
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