South Africa’s gambling industry is on fire—but the government isn’t just watching from the sidelines. With R1.1 trillion in bets placed last year, officials are eyeing higher taxes on gambling winnings in 2025 to cash in on the industry’s explosive growth.
But SA isn’t acting alone. Ghana has already raised the stakes with aggressive betting taxes, and if lawmakers here get their way, punters and operators alike might be in for a rude financial awakening.
A Billion-Rand Boom That’s Hard to Ignore
Gambling in South Africa isn’t just big—it’s massive. The industry saw a 40% jump in total wagers last year, while total gambling revenue soared to R60 billion—a 26% increase from 2023, according to Business Tech.
While that’s great news for betting companies, the government is less thrilled. With gambling largely underregulated, concerns about addiction and financial risk are mounting. Daily Maverick notes that for many middle- and low-income South Africans, sports betting isn’t just a hobby—it’s a Hail Mary attempt at a better life. And that’s exactly why MPs want tougher regulations and bigger taxes—because when an industry grows this fast, the government wants its cut.
South Africa Takes Notes from Ghana’s 50% Betting Tax Proposal
South Africa isn’t the only African nation taking a hard look at its betting industry. Ghana’s Institute of Community Sustainability has called for a jaw-dropping 50% betting tax to curb what they call an “alarming rise” in sports betting among young people.
This comes after the Ghana Revenue Authority (GRA) slapped a 10% tax on all betting and lottery winnings in 2023—a move that was met with backlash but boosted tax revenue significantly.
Now, South African MPs are looking at similar strategies, arguing that the current 8% Gross Gambling Revenue (GGR) tax—which raked in R5 billion last year—is simply not enough.
The Push for a “Sin Tax” on Online Betting
The biggest driver behind South Africa’s gambling explosion? Smartphones.
With online betting just a few taps away, participation has skyrocketed. And MPs believe it’s time for higher taxes on winnings and stronger consumer protections to offset the social and health costs of gambling addiction.
“There is no country in the world that has gambled its way to prosperity,” MP Gana warned. He’s advocating for:
✅ Higher taxes on gambling winnings
✅ Stronger public-awareness campaigns about addiction risks
✅ A new revenue-sharing model to distribute gambling tax revenue fairly across provinces
