By Tyrone Dobbin
Co-Founder: Sportingbet South Africa | Chairman: Western Cape Bookmakers Association
I have prepared this open letter to foster a balanced, evidence-based dialogue regarding the current narrative on gambling in South Africa. My goal is not to argue against the current concerns but to expand the conversation. We need a united, solutions-driven approach that brings together regulators, policymakers, civil society, and licensed operators.
Over the last decade, online betting has grown significantly in South Africa. However, recent media reports have painted this growth solely as an escalating crisis, citing rising addiction and aggressive advertising. When gambling shifts from entertainment to dependency, it inflicts real harm on individuals and families. As licensed operators, we take this threat to our communities seriously.
However, blaming this complex issue entirely on "excessive advertising" is an oversimplification that fails to address the root causes of problem gambling.
The Regulatory Vacuum
South Africa’s gambling regulation is split between National and Provincial governments. This includes the National Lotteries Commission, the National Gambling Board (NGB), and nine Provincial Licensing Authorities (PLAs).
The body meant to coordinate these entities, the National Gambling Policy Council, is legally required to meet twice a year. Yet, they have met only twice in the past eight years. Furthermore, the NGB has operated without a formal board since 2014. This lack of leadership has resulted in a fragmented industry where provinces fight provinces and regulators fight operators.
Meanwhile, illegal foreign betting companies exploit this chaos. They pay no local taxes and contribute nothing to the South African Responsible Gambling Foundation (SARGF), yet they are brazen enough to sponsor national sports teams.
Channelisation vs. Expansion
Headlines screaming about "R4 billion a day" in turnover lack context. While Gross Gambling Revenue (GGR) increased to R74.50 billion in the 2024/2025 financial year, this does not simply represent new gamblers.
Much of this growth is "channelisation." This describes players moving from illegal, unregulated offshore sites to licensed, tax-paying South African operators. This is a regulatory success story. It brings gambling into the light where it can be taxed and monitored. Despite this, an estimated 62% of online gambling still occurs on illegal offshore platforms.
The Self-Exclusion Gap
The most glaring failure in our current system is player protection. We still lack a digital national self-exclusion register, a tool first proposed in 2004. Currently, a problem gambler must navigate a humiliating, manual process of emailing forms to dozens of different operators.
Our association has consistently offered a solution: a centralized digital register funded by the industry and managed by the SARGF. This could be implemented in three months and would be the single most effective step toward protecting vulnerable players.
The Way Forward
We cannot solve these problems with panic. We need partnership. To achieve a healthy industry, we propose:
- A Joint Task Team: Regulators, the NGB, the SARGF, and operators must sit at the same table.
- Data-Driven Decisions: A national framework for proper data reporting.
- Digital Self-Exclusion: A modern system implemented within six months.
- Enforcement: A crackdown on illegal offshore operators combined with public education.
Let facts, not fear, lead the way. Together, we can build a responsible industry that serves the public good.