Lottery Funding in Jeopardy
South Africa might experience a significant disruption in its National Lottery operations, potentially lasting up to six months. This pause could severely impact numerous charitable and community groups, including old age homes, sports, and arts organisations, which rely heavily on lottery funding for their daily activities.
Licensing Delays and Allegations of Misconduct
Recent complications have arisen around the National Lottery Commission (NLC), leading to a postponement in awarding a new operating license by the Minister of Trade and Industry, Parks Tau. Allegations of irregularities during the current selection process for a new lottery operator have led to unexpected delays, and if unresolved, could lead to a temporary cessation of the lottery.
A close source revealed, “The licensing process has been marred by accusations and legal concerns, jeopardising the timely selection of a new operator.”
Continued Delays and Legal Challenges
Despite the expectation to name a successful bidder last month, the decision has been deferred following allegations involving board members and bidding entities. The current license holder, Ithuba, whose contract was extended by 18 months last year, is set to expire next May. Preparations for a new operator require a minimum of six months to establish the necessary infrastructure, such as ticket machines nationwide.
Potential Impact on Community Support
The hiatus could have far-reaching effects on various community support initiatives. Funding for early childhood development, sports organisations like athletics and swimming, and even the SA Sports Confederation and Olympic Committee could dry up without the flow of lottery funds.
“Last year alone, R1.2 billion was distributed to support these organisations through the National Lotteries Distribution Trust,” the source added.
Governance and Legal Concerns
In a recent parliamentary session, Tau faced scrutiny over alleged conflicts of interest and questionable legalities concerning the board’s constitution. The Parliamentary portfolio committee on trade, industry, and competition expressed apprehensions that the board might have been improperly constituted and that the selection process lacked transparency.
Implications of a Prolonged Shutdown
Should the lottery operations stall, it could trigger a domino effect, risking over 10,000 jobs and leading to a potential retrenchment within the NLC and related sectors. The absence of a functioning lottery would also pave the way for unregulated operators, further destabilising the industry.
Commitment to Integrity and Governance
Despite these challenges, NLC board chairperson Barney Pityana assured the public of the board’s commitment to transparency and good governance. “We are diligently following all legal protocols and anticipate resolving these issues promptly. The selection process is rigorous, and we are committed to ensuring it remains fair and transparent,” Pityana stated.
As the process drags on, all eyes are on Minister Tau’s next moves and how they will navigate the ongoing controversies to restore stability and trust in the National Lottery’s operations.
The Australian government is facing increased scrutiny after Prime Minister Anthony Albanese made a surprising claim in parliament, linking 15% of gambling-related harm to lotteries. The remark, made during a response to Independent MP Zali Steggall’s question on gambling harm, has sparked confusion among experts and advocates who question the source of the statistic. Albanese’s statement appears to sidestep ongoing debates around sports betting and online wagering, both of which have been key targets in the push for gambling reform.
The prime minister defended his administration’s efforts to combat gambling harm, emphasizing that poker machines are responsible for about 70% of the damage caused. However, his claim about lotteries raised concerns, as no clear data backs up his assertion, leaving experts like Samantha Thomas, a professor of public health at Deakin University, searching for answers.
Experts Challenge Albanese’s Statistics
In response to Albanese’s claim, Professor Samantha Thomas, a leading public health expert, expressed her disbelief over the lack of verifiable evidence. “We immediately tried to locate the source of this figure, but it appears to be absent from any publicly available data,” she stated. Thomas, who has extensively researched gambling advertising’s impact on children, noted her team even contacted the Department of Communications for clarification but received no response. This lack of transparency has only deepened the confusion around the prime minister’s remarks.
Independent Senator David Pocock echoed these concerns, questioning whether Albanese had been overly influenced by industry leaders. Pocock successfully passed a motion in the Senate demanding the prime minister provide documentation to substantiate his claims. However, Acting Prime Minister Richard Marles indicated that Albanese was citing “a recollection of published material,” though no such documents were provided.
Industry Influence and Reform Stagnation
The debate over these statistics intensified following media reports that Peter V’landys, chairman of the Australian Rugby League Commission, had previously mentioned similar figures. V’landys claimed that 15% of gambling harm came from lotteries, but no substantial evidence accompanied this claim either.
At the core of the controversy is a broader discussion on the need for stricter gambling reform. The late Labor MP Peta Murphy chaired a parliamentary inquiry into online betting harms, recommending a complete ban on gambling advertising. Albanese’s remarks about lotteries seem to divert attention from the inquiry’s focus on sports betting, further frustrating advocates who believe the government is not taking decisive action.
Professor Thomas, along with other experts, emphasized the importance of relying on credible, independent data to shape policy. She expressed concern that the prime minister’s unverified claims risk undermining efforts to address the real causes of gambling-related harm.
Australia’s Gambling Crisis Deepens
Australia continues to report the highest gambling losses per capita in the world, with Australians losing $31.5 billion in 2022-23 alone. Of this, $15.8 billion was attributed to poker machines, while sports betting and lotteries accounted for $8.4 billion and $3.1 billion, respectively. Despite these staggering figures, stories of significant lottery-related harm are rare, with most gambling-related tragedies linked to poker machines and online betting.
Advocates, including Martin Thomas, CEO of the Alliance for Gambling Reform, argue that the government must prioritize reform efforts. Thomas pointed out that online betting, especially among younger Australians, is growing rapidly, and further delays in action will lead to more people being harmed by addictive gambling behaviors.
As the Albanese government faces mounting pressure from experts, legislators, and advocacy groups, the path forward for comprehensive gambling reform remains unclear. For many, it is a question of whether the government will base its policies on credible data—or continue to rely on questionable figures from industry sources.
Gambling Reform: What’s Next?
With 15 months passing since the parliamentary inquiry’s recommendations were released, advocates are urging the government to act swiftly on the proposed reforms. Senator Pocock and others hope to see a shift away from industry-influenced narratives and towards evidence-based strategies that tackle the core issues driving Australia’s gambling epidemic. Whether the prime minister’s government will respond with meaningful action remains to be seen.
Online Casino Growth Drives Revenue Surge in August
Denmark’s gross gaming revenue (GGR) for August 2024 reached DKK571m (£64.2m/€76.6m/$84.1m), marking a 4.3% increase from the same period last year, according to data from the Danish gambling regulator, Spillemyndigheden. This increase was largely driven by the substantial growth in the online casino sector, which posted a 20.8% year-on-year rise to DKK299m. This performance was also 5.3% higher than July, falling just short of the all-time monthly record of DKK309m set in March 2024.
In contrast, other sectors of Denmark’s gambling market saw declines. Sports betting revenue dropped by 14% year-on-year to DKK147m, which was also down by 1.3% from July. Meanwhile, land-based gambling continued to struggle, with physical slot machine revenue dipping by 0.2% to DKK96m. However, this was slightly better than the previous month. Land-based casino revenue also fell, down by 12% to DKK29m, a figure unchanged from July.
Crackdown on Illegal Gambling Intensifies
As Denmark’s licensed gambling sector faces both growth and challenges, efforts to combat illegal gambling operations have intensified. On August 22, 2024, a Danish court approved the blocking of 79 unlicensed websites offering illegal gambling services, following a request from Spillemyndigheden. This brings the total number of blocked sites to 162 in 2024, making it a record year for enforcement.
The move is part of an ongoing effort to protect consumers, particularly minors, from unlicensed gambling platforms that fail to meet Denmark’s strict regulatory standards. The court order included the blocking of several skin betting websites, which allow users, particularly younger audiences, to gamble using virtual items and currencies like “Robux” from the popular game Roblox. Spillemyndigheden’s Director, Anders Dorph, expressed relief over the shutdown of these platforms, underscoring the need to shield children from gambling-related risks.
Self-Exclusion Scheme Grows, Targets Vulnerable Users
August also saw the continued rise of participants in Denmark’s national self-exclusion scheme, ROFUS, which reached 51,893 registrants, an increase of 12.4% year-on-year. Of those registered, 66.6% have opted for permanent exclusion, while the rest have chosen temporary exclusions. The scheme aims to provide a safety net for those at risk of gambling addiction, offering individuals a pathway to limit or stop their gambling activities.
In addition, data from Spillemyndigheden reveals that younger individuals are increasingly using Denmark’s StopSpillet support service. Since its launch in 2019, the service has received 3,200 inquiries, with 37% of those coming from people aged 18 to 25—indicating a growing awareness of gambling risks among the youth.
Looking Forward: Balancing Growth and Regulation
As Denmark’s gaming industry navigates growth in online sectors and challenges in land-based operations, the country’s regulatory efforts to curb illegal gambling continue to expand. With Spillemyndigheden blocking more websites and telecom providers joining the initiative, the aim is clear: maintaining a fair, regulated gambling environment that protects consumers, particularly vulnerable groups like minors, from the dangers of unlicensed platforms.
The future of Denmark’s gaming sector will likely hinge on this delicate balance between fostering growth in the legal market and effectively regulating the industry to safeguard its users.
The Coalition of New Mexico Gaming Tribes recently convened at the Sandia Resort and Casino in Albuquerque for a membership meeting. The Indian Gaming Association (IGA) took this opportunity to brief member tribes on national legislative developments and organizational matters.
Chairman’s Address Highlights Tribal Gaming Success
Ernie Stevens, Jr., the IGA Chairman, delivered a keynote speech to the assembled gaming tribes and pueblos. He commended the tribes for their significant contributions to New Mexico’s economic landscape and their efforts in preserving cultural heritage. Stevens expressed his admiration for the impressive growth witnessed at Sandia.
Record-Breaking Revenue Reported
Stevens shared encouraging news about Indian gaming revenues. According to the latest National Indian Gaming Commission (NIGC) figures, revenues had reached a new high of $41.9 billion in 2023, more than the previous year’s record. He emphasized the positive ripple effects of this growth on tribal and neighboring communities. Stevens also noted that employment in the Indian gaming sector was approaching the same levels pre-COVID, demonstrating the industry’s resilience.
The chairman reflected on the sector’s recovery, noting that while some described it as miraculous, especially following the pandemic’s challenges, tribal leaders viewed this success as an expected outcome of their commitment to securing a prosperous future for their communities.
Focus on Sovereignty and Collective Action
Stevens stressed the importance of maintaining tribal sovereignty and fostering unity in pursuit of continued economic development. He urged New Mexico’s gaming tribes to remain cohesive as they navigate the evolving political landscape and advocate for policies that protect their sovereignty and promote growth.
Key Legislative and Policy Developments
The chairman provided updates on several crucial legislative matters. These included modifications to the General Welfare Exclusion Act, changes in the Interior Department’s fee-to-trust processes, and ongoing concerns about land restoration cases. Stevens cautioned about potential risks from unfavorable Supreme Court rulings and stressed the importance of collaboration with organizations like the National Congress of American Indians (NCAI).
He emphasized the significance of the upcoming national elections, stating that the Native vote would be crucial and urging support for policymakers who understand and respect the unique sovereign status of tribal nations.
Additional Insights from IGA Leadership
Complementing Stevens’ address, Danielle Her Many Horses, IGA Deputy Director, and Elizabeth Homer, IGA Regulatory Counsel, provided additional legislative updates to the member tribes.
Commitment to Ongoing Advocacy
In conclusion, Stevens stressed the IGA’s dedication to advocating for its member tribes. He stated that the work in Indian Country is continuous, and the Indian Gaming Association remains committed to protecting tribal sovereignty and ensuring the success of tribal gaming nationwide.
According to Citigroup’s latest report, Macau’s high roller segment, particularly within the premium mass gaming category, has experienced a sharp rise in 2024. Known as “whales,” these affluent gamblers have significantly increased their spending, outpacing previous records set in 2023. Citigroup’s monthly survey reveals that both the number of whales and the total wagers placed this year have already surpassed last year’s figures.
Whale Activity Soars in 2024
In the first nine months of 2024, Citigroup identified 228 whales—players betting HKD100,000 (approximately US$12,842) or more—placing a combined total of HKD43.3 million. This marks an increase from the HKD39.7 million wagered by 224 whales in 2023. Analyst George Choi, in a report shared by GGRAsia, stated, “As of this year, 228 whales have wagered HKD43.3 million, surpassing last year’s total of HKD39.7 million from 224 whales.”
Moreover, these high-rollers’ average wager per session has also risen. In 2024, their bets averaged HKD655,000, a notable 43% jump from the HKD457,000 recorded in 2023. Choi added that the trend has been accelerating, with the last five months showing an even higher average bet of HKD728,000. Despite economic uncertainties in mainland China, wealthy gamblers in Macau continue to display confidence in their spending habits.
Growth in Premium Mass Players
The Citigroup report also highlights a boost in the number of premium mass players. In September 2024, the survey recorded 613 premium mass players, a 42% increase compared to the same period in 2023. However, the average wager per player saw a slight 5% decline. Despite this dip, the overall market remains strong, as evidenced by a 36% year-on-year rise in total wagers.
Sands China Ltd emerged as the leader in September 2024, commanding a 26% share of total wagers, up from 22% in August. Melco Resorts & Entertainment Ltd also saw gains, increasing its share to 17%, up from an average of 13.5% in the first eight months of the year. Melco’s recent rebranding of its premium mass products appears to drive this success, with early indications of strong performance at Studio City.
Resilience of Macau’s Gaming Sector
Citigroup’s September survey shows Macau’s gaming sector remains resilient despite broader economic challenges. Total premium mass wagers reached HKD11.9 million in September 2024, a 36% increase from the HKD8.8 million recorded the previous year. The survey also documented 21 active whales in September, compared to 17 a year earlier. One notable bet at Galaxy’s StarWorld Horizon room reached HKD640,000, while several other whales placed bets between HKD100,000 and HKD250,000.
These figures reflect Macau’s enduring appeal as a global gaming hub, attracting affluent players despite economic headwinds. The continued growth in whale activity and premium mass participation highlights the region’s strong market performance.
