Gaming Law 2025 Comparisons

Online Growth

South Africa’s bookmaking sector continues to expand at a remarkable pace, with increasing mobile and online access transforming consumer engagement. In 2024/25, total gambling turnover is estimated to have reached ZAR1.5 trillion with bookmakers said to be worth more than two-thirds of this. On the face of that, the number is massive and said to be equivalent to 31% of national consumer spend, but is deceptive in that it ignores “churn” or “re-betting of winnings”. This “churn” can account for as much as 95% of what is reported as “bets”.

For this reason, operators’ gross gambling revenue (GGR) reportedly stood at approximately ZAR75 billion (+/- USD4 billion) constituting 1.5% of total consumer spending and confirming the sector’s continuing dominance in the entertainment economy. While GGR growth has been rapid, reported as being 26.2% over the past year, average households still spend more on categories like alcohol than gambling.

Amid this expansion, recent misinterpretations of legal developments have led to confusion with a massive media explosion in October 2025 when the national gambling regulator, the National Gambling Board (NGB), put out sensationalist press releases surrounding a gambling judgment and misstating that this outlawed anything but pure sports betting online.

The Supreme Court of Appeal (SCA)’s Portapa judgment, while important, applies narrowly to Gauteng’s definition of a sporting event and found that a Gauteng-based bookmaker was not permitted to offer bets on the broadcasting of a live studio roulette offering as roulette did not fall within the scope of events available to bookmakers in Gauteng. The NGB’s subsequent position, suggesting this invalidates fixed-odds betting on all contingency games (including RNG-based (random-number-generation-based) games) countrywide, is incorrect and in conflict with South Africa’s constitutional framework. The actual legal position remains that South Africa’s gambling landscape is governed by concurrent national and provincial competency. Provincial regulators like the Western Cape Gambling and Racing Board retain clear and lawful authority to license and regulate fixed-odds betting on non-sporting contingencies, including games mimicking traditional casino products.

The author clarified this distinction in numerous legal and media engagements. The SCA’s decision does not outlaw licensed betting on casino-style outcomes in jurisdictions where such contingencies are permitted under local law. Public statements to the contrary by the NGB risk generating confusion among licensees, consumers, and commercial stakeholders.

Social Risk and Regulatory Momentum

South Africa is not immune to global concerns about rising gambling participation and consumer over-exposure. Some studies suggest 40% of working South Africans gamble frequently, with one in five having borrowed or sold assets to fund their activity. However, closer examination of the data shows that betting’s growth is largely displacing other discretionary recreational spending (eg, cinemas or magazines), not necessities such as food or education.

Still, the NGB and other stakeholders have advocated for tighter regulation, particularly around advertising. Operators spent an estimated ZAR2.6 billion on marketing in 2024/25, more than telecoms or the fast food sector, and this prominence has driven calls for reform. Recommendations include restricting gambling ads during daytime and capping the number of gambling promotions per commercial break.

The Advertising Regulatory Board (ARB) has also become very vocal in recommending advertising restrictions out of fear of the worst-case alternative in the form of an outright ban on gambling advertising by government. Whilst beyond the scope of this guide, it is worth commenting at a broad level that a prohibitionist approach to advertising would very unlikely curtail or significantly alter the prevalence of gambling, or propensity to gamble, but would more than likely push play toward illegal channels.

Legislative Stalemate, Industry Reform

Despite market growth and social concern, the legislative progress remains stalled, as it has been for the better part of 20 years, unfortunately. The long-debated National Gambling Amendment Bill and the 2024 Remote Gambling Bill (which would introduce licensing for interactive gambling) have both failed to advance. Policymakers are now exploring a committee bill from the DTIC (Department of Trade, Industry and Competition) Portfolio Committee. Meanwhile, regulatory innovation is happening at the provincial level.

Overall, the market’s future hinges not only on managing its expansion through intelligent and harmonised regulation as opposed to draconian or prohibitionist measures, but on correcting misinterpretations of legal authority and maintaining a balance between commercial opportunity, constitutional clarity, and consumer protection.

Technical Challenges

The Western Cape regulator remains the only significant one offering online-only bookmaker licences on demand, although the Eastern Cape Gambling Board opened itself for on demand applications over the last year.

The author previously reported that the Western Cape regulator, the Western Cape Gambling and Racing Board, was struggling with delays in the technical compliance process and whilst a long awaited and welcomed increase in its staff quantity has brought some respite, the technical compliance process may still prove frustrating for some in getting new content to market.

In addition, there have been reports of increasing frustrations in terms of technical compliance approvals and processes in the other major “online regulator”, the Mpumalanga Economic Regulator (MER).

This remains partly a product of the outdated and somewhat archaic and inadequate national certification standards applicable to gambling technologies, the SANS1718 suite of standards. It is ever more apparent that reform and a revamp of the overarching national technical standards are dramatically required in order to evolve the approach to new games and content to an international standard. Progress appears very slow on this front.

Crypto

One of the larger operators in the online space, Betway, has announced this year that they are introducing a stable coin pegged to the South African rand and set to be launched in Q1 2026. The project appears to be aimed at reducing banking and payment processing costs in Africa.

Lottery Bets

A court case that commenced in 2016 in Mpumalanga surrounding whether a handful of bookmakers could lay online fixed-odds bets on the outcome of lotteries, as had been permitted by the MER, or whether this constituted an actual lottery in and of itself has finally found itself in the highest court of the land, the SCA. The SCA warned interested parties that it is likely to pronounce a judgment on the matter that will impact the betting industry nationally and invited interested parties that ostensibly wish to make their own cases to formally express their interest to the court during 2023. This led to a flood of interest from the broader gambling industry from around the country, resulting in the SCA directing that parties formally lodge motions with it by the end of August 2024. At the time of publication these motions have all been accepted and filed and the case is expected to progress in the second half of 2026.

It remains expected that this will be a critical case for the future of the betting industry, as betting on the outcome of lotteries has become popular and a good source of revenue for operators.

Land-Based Stagnation

Land-based casinos remain in steady free-fall in terms of interest by walk-in punters, and almost all large terrestrial casino groups appear to be focusing their marketing and efforts on their online betting sites, offered under the auspices of bookmaker licences where they offer casino-style games online.

Terrestrial Low Denomination/Low Payout Machines

These continue to demonstrate stable growth with occasional new sites and licences emerging.

The gambling sector in South Africa is prescribed in the constitution as the subject of concurrent competency between the national government and the nine provinces.

Conducting a lottery is a specific carve-out and is the subject of national legislation only and the administration by a national regulator, the National Lotteries Commission (NLC). Currently, there is only one national licensee appointed by the NLC. In this sense, when discussing “gambling” or “betting” in the local context, this generally is not thought of as including “lottery”.

South Africa is a quasi-federal state that for most practical purposes functions as a unitary state in most matters of law, except in certain specific areas benefitting from constitutional carve-outs as mentioned previously. Gambling is one of these sectors. Whilst the constitutional mandate is “concurrent competency”, the provinces enjoy practical autonomy in determining their respective approaches to gambling provided that such approaches remain within the broad parameters of the national legislation.

Given the broad definitions of gambling both in the national and provincial context, the ageing nature of all applicable gambling statutes of nearly 30 years old, and the relative freedom of discretion that each provincial regulator has in administering the sector, approaches have varied somewhat in the various provinces insofar as “online betting” is concerned.

Notwithstanding that provincial regulators may differ in the latitude offered to licensees and/or policies and approaches thereto, a de facto and time-honoured comity has developed between the provincial regulators – such that cross-border, or inter-province, transactions between bookmakers outside of any given province and punters within other provinces are afforded freedom in transacting with one another, provided that the gambling falls under the regulation of “one of” the provincial gambling regulators.

In understanding the landscape around online gambling in South Africa, it is very important to understand the constitutional and regulatory framework described, but it is even more important to understand that all available online betting in South Africa falls under the sole category of a licence awarded to bookmakers, being a bookmaker’s licence. Not all provinces have effectively opened the way for online gambling via a bookmaker’s licence and, even then, some have inextricably linked the provision of such to a compulsory land-based betting outlet, meaning one needs to operate a terrestrial retail shop in order to have an online presence.

The Western Cape Gambling and Racing Board and the Mpumalanga Economic Regulator, the respective gambling regulators for the Western Cape and Mpumalanga provinces, have, over the past few years, become viewed as the vanguards in facilitating online betting and gambling. The Western Cape is a particularly attractive province due to its “licence on demand” regime for bookmaker applicants and not requiring a terrestrial retail presence in order to operate an online betting site. The Northern Cape and Eastern Cape have seen some shifts by operators to the online space and are jurisdictions to watch in the coming years, with the Eastern Cape having gained some popularity for its relatively fast processing of on demand bookmaker licence applications opened during 2025.

Currently and broadly dependent on the jurisdiction selected by potential entrants, the following activities are permitted online:

• betting – a wide range of sports betting and betting on contingencies (see 3. Legislative Framework);
• casino-style games – approved as “contingencies”;
• fantasy sports – approved as “contingencies”;
• poker – two provinces have recently permitted this in terms of their statutory framework but specific consultation and guidance is recommended as generally the South African legislative regime is prohibitive insofar as peer-to-peer gambling is concerned and careful consideration of this must take place in conjunction with equally careful structuring;
• social gaming – with equally careful consideration being given to the challenges pertaining to poker; and
• online lotteries are not permitted, nor is the participation by South African citizens in foreign lotteries, however, for many years several provincial gambling regulators have permitted the laying of fixed odds bets on the outcome of the local and foreign lotteries, which offers punters similar odds for similar stakes on such lotteries ‒ this has become contentious and has become the subject of litigation for the past seven years, culminating in the escalation of the issue to the highest court in the land (see 1.1 Current Outlook and Recent Changes).

Ongoing Illicit Offerings

Pure online casino platforms (not licensed as betting operators locally) are deemed illegal, yet many offshore gambling websites still target South Africans. Authorities have struggled to police these effectively due to jurisdiction and technological limits. The NGB regularly warns the public that playing on unlicensed gambling sites is unlawful, and it has highlighted that winnings from such sites have no legal protection and may be confiscated if discovered. However, it continues to muddy the waters by conflating the concept of illegal offshore casinos with licensed provincial bookmakers. Enforcement against offshore operators has been largely non-existent. Any prospective legislation should hopefully introduce more robust blocking measures and explicit licensing of online gaming to address this grey market.

All major forms of land-based gambling are permitted under licence. These include casino gaming (slots and table games at casinos), betting on sports and horse races (at licensed bookmakers’ and totalisators’ premises under the same licences permitting online betting as described in 2.1 Online Gambling), bingo (traditional and electronic bingo in licensed halls), and limited payout machines (LPMs) in bars and other venues. Poker can be offered in licensed casinos (as a casino game) but there is no separate poker-room licence type. Overall, the land-based sector is well-established, with commercial casinos and LPM route operators present in most provinces.

Casino licences are capped by policy (no more than 41 nationwide), and each province has an allotted number – most of which have been awarded in prior years. No new casinos have been licensed since the last submission; entry to the casino market is only possible via acquiring an existing licence. Betting shop licences (bookmakers) and LPM site licences continue to be issued by provinces. In general, land-based licences are available (mostly on RFA (regulatory framework approval) and in some provinces on demand) but closely controlled – applicants must meet stringent suitability, local economic development, and Black Economic Empowerment (BEE) ownership requirements.

The land-based gambling industry continues to face headwinds from the consumer shift to online wagering. Casino revenues, while improved, now represent a smaller slice of the pie as bettors gravitate toward online options. Some casino groups have responded by launching betting divisions (many traditional casino companies now also hold bookmaker licences). In the bingo and LPM sectors, gradual expansion is ongoing – additional electronic bingo terminal sites and LPM routes have rolled out in certain provinces, extending gambling availability in retail venues. Regulators have increased compliance oversight in venues, enforcing underage gambling prohibitions and anti-money laundering controls in this cash-intensive environment.

The National Gambling Act of 2004 (NGA) is the national legislation outlining the broad definitions of legal gambling types, standards and policies. The 2004 Act made minor reforms to the 1996 post-apartheid legislation following the legalisation of gambling in South Africa in 1995. The major feature of this statute was to prescribe that further provisions for interactive gambling should be finalised within two years of its promulgation. To this end, a special statutory committee was to be formed to advise the Minister of Trade and Industry of draft legislation within one year.

The author formed part of this committee and the duty of that committee was discharged at the end of 2005 with the publication of a comprehensive report. In 2008, a draft amendment to the national legislation, not featuring many of the committee’s recommendations, was promulgated. The 2008 amendment was contingent on the further promulgation of regulations. To date, there are no such regulations, and the amendment is effectively redundant, leaving no effective national legislation on the topic of online gambling other than a general one-line ban on “interactive gambling”, which is inapplicable to the provincial licensing regimes surrounding bookmaker licences and online betting that to all intents and purposes facilitate online or interactive gambling with national reach across provincial borders.

This dichotomy causes major confusion at every turn, even with local banks and media partners in South Africa that are aware of the national “ban” but do not fully comprehend the differences in the provincial approach and the legitimacy thereof in terms of the constitutional imperative granting concurrent competency to national and provincial governments respectively. This leads to challenges in areas like marketing and payment processing. Based on this apparent contradiction the, albeit lucrative, South African gambling market is a veritable minefield to navigate for potential entrants without the proper guidance and advice, especially in view of the exceptionally confusing misstatements by the NGB in the latter part of 2025 surrounding the Portapa judgment (see 1.1 Current Outlook and Recent Changes).

Each of the nine provinces have their own gambling statutes that all essentially hark back to the 1995 legalisation on gambling in South Africa. Prior to 1995, betting on horse racing was the only legal form of gambling allowed – save for the casinos in the “homelands”, which were deemed independent territories within South African borders and therefore not forming part of the Republic legally.

The nine provincial statutes are:

• the Eastern Cape Gambling and Betting Act 1997;
• the Free State Gambling and Liquor Act 2010;
• the Gauteng Gambling Act 1995;
• the KwaZulu-Natal Gaming and Betting Act 2010;
• the Limpopo Gambling Act 2013;
• the Mpumalanga Gambling Act 1995;
• the Northern Cape Gambling Act 2008;
• the North West Gambling Act 2001; and
• the Western Cape Gambling and Racing Act 1996.

Whilst some of these statutes have been “overhauled” as recently as 2013, in essence the content of the statutes has remained the same, in terms of core concepts, since the late 1990s.

This leaves much of the adaptation of the respective statutes and their application to the discretion of the respective regulators and their interpretation of 20–30-year-old statutes in the light of present circumstances and technological innovations.

The NGA defines “gambling” broadly as participating in a game, bet or wager for consideration and the possibility of a prize. It covers both gaming (casino-style games of chance, bingo, and so on) and betting (wagering on an outcome of an event or contingency).

Notably, “interactive gambling” is defined as the playing of any gambling game by electronic means (internet, telephone, and so on) for real money. Interactive gambling is explicitly prohibited unless licensed, and since no interactive licences are currently issued, this effectively bans online casino operations. By contrast, online betting on sports or contingencies is not classified as interactive gambling in the NGA – it is treated under the definition of a “bet or wager” on an uncertain event. This distinction has created some confusion but legally means online betting is allowed under provincial bookmaker licences on approved contingencies which might include “casino style” games, whereas online casino games are not allowed at all.

Each provincial law mirrors these definitions in general, sometimes with slight variations. For example, provincial acts define what constitutes a “bet” within that province, often by reference to the national definitions. The Portapa case discussion hinged on the definition of a “sporting event” in Gauteng’s law, highlighting how provincial specifics can further refine the broad national definitions. With some irony the case turned on the fact that “contingencies” as defined in the NGA did not find their way into the Gauteng legislation, as they have in just about every other provincial statute.

Each of the applicable statutes define gambling per type or licence, and reference should be made to the content in 2.2 Land-Based Gambling explaining these gambling types, and where more specific content is required, to the relevant statute itself.

“Land-based gambling” is not a term explicitly defined in legislation, but it refers to all gambling conducted in person at a physical, licensed location. In practical terms, it encompasses casino gambling on a licensed casino floor, betting through a licensed bookmaker at a retail outlet or racecourse, playing bingo in a registered bingo hall, or using LPM slot machines in licensed sites. The defining aspect is the physical venue and face-to-face nature of the transaction (even if machines or terminals are electronic).

Provincial laws often require a premises licence or approval for any location where gambling takes place, reinforcing the concept of “land-based.” For instance, a bookmaker must not only have a bookmaker operator licence but also a separate licence for each shop location. Casinos are tied to specific sites and cannot relocate without new approvals. Thus, the legal framework ties gambling activities to designated land-based premises.

In summary, land-based gambling is essentially all licensed gambling except online or remote gambling. It is characterised by regulatory controls over the premises (hours of operation, floor layout, and security measures) and immediate oversight by on-site officials and regulators (eg, gambling board inspectors making random visits to venues).

The NGA defines an interactive game as a “gambling game played or available to be played through the mechanism of an electronic agent accessed over the internet other than a game that can be accessed for play only in licensed premises, and only if the licensee of any such premises is authorised to make such a game available for play” and then proceeds to deem such to be unlawful. However, as mentioned in 2.1 Online Gambling, online betting with a provincially issued bookmaker licence permits operators to accept bets online in all manner of contingency thus creating a thriving online gaming environment, which very often may even appear and function similarly to what is traditionally recognised as an “online casino”, dubbed “casino-style games”.

Online betting vs online gambling – placing bets online with a licensed bookmaker is not considered unlawful “online gambling” because the underlying activity (betting on sports or contingencies) is regulated by provincial betting laws. As a result, the common understanding is: online sports betting and betting on contingencies is legal and online casino gaming is illegal, even though both occur via the internet. This nuance is critical and often misunderstood in media coverage.

The Remote Gambling Bill 2024 – much like its predecessor in 2015, which was a private members’ bill ‒ seeks to clearly define online gambling in positive terms by creating categories of “remote gambling” that would be lawful under licence. Until such provisions are enacted, however, the operative definition remains the prohibition in the NGA and the allowance via provincial betting licences for online wagering. In enforcement terms, regulators use these definitions to target what they deem “unlawful interactive gambling websites” versus tolerated online betting services.

Unlicensed Gambling Operations

It is a criminal offence to operate any gambling activity without a valid licence or authorisation. This covers running an illegal casino, an online gambling site or an unregistered lottery. Assisting or facilitating unlicensed gambling is also an offence.

Participation in Unlawful Gambling

While enforcement focuses on operators, players who participate in illegal gambling are technically committing an offence under the NGA as well. For example, a person gambling on an unlicensed online casino is breaching the law, though in practice authorities target the operators and may handle players by confiscating winnings rather than prosecution.

Offering Unauthorised Games/Bets

Even licensed operators can commit offences by offering games or bets outside their licence scope. The Portapa case illustrates this: a bookmaker offering a roulette-based game (which is outside what a bookmaker may offer under Gauteng law) was deemed to be acting unlawfully. Similarly, a casino offering more slot machines or tables than approved, or a bingo hall offering unapproved games, would be violating conditions and potentially committing an offence.

Advertising Offences

The NGA prohibits advertising any gambling activity that is illegal or unauthorised. Publishing or broadcasting such advertisements (and by extension, sponsoring events to promote illegal gambling) constitutes an offence. For example, advertising an offshore online casino via South African media is unlawful.

Ancillary Offences

Other key offences include cheating or fraud in gambling (eg, manipulating game outcomes), and interference with regulated devices (eg, tampering with a slot machine).

Penalties Framework

These offences generally carry severe penalties (see 3.6 Penalties for Unlawful Gambling). Enforcement has historically prioritised unlicensed operations and high-impact violations whereas minor infractions by licensees tend to be handled administratively unless egregious through a quasi-judicial disciplinary process resulting in administrative fines.

The NGA sets maximum penalties of up to ZAR10 million in fines or ten years’ imprisonment (or both) for most offences. Similar maxima are echoed in provincial laws.

Forfeiture of Proceeds

Courts have authority to order the forfeiture of proceeds from illegal gambling. If someone profited from an unlicensed casino, those profits can be seized. The NGB has reiterated that winnings from illegal online gambling will be confiscated if detected. This acts as both a penalty and a deterrent to players and operators.

Administrative Fines

Apart from criminal prosecution, gambling boards can impose administrative fines on licensees for regulatory breaches.

Licence Sanctions

An often more impactful “penalty” for a licensee is the risk of licence suspension or revocation for unlawful conduct. Losing a gambling licence effectively shuts down the business and is thus a potent sanction. Boards usually give a licensee a chance to remedy issues, but for serious or persistent unlawful gambling activity, revocation is on the table.

National Authorities

The Department of Trade, Industry and Competition (DTIC) is the government ministry overseeing gambling. Under the DTIC, the NGB serves as the “federal oversight body”. The NGB’s functions include monitoring the performance of provincial regulators, maintaining national registers (of excluded persons, gambling devices, and probity clearance certificates), and ensuring national norms are upheld. It also advises the Minister on gambling policy and can intervene in disputes between provinces or issues of national interest.

Provincial Regulators

Each of the nine provinces has its own gambling regulatory authority responsible for licensing and direct regulation of operators. These are typically called “Gambling Boards”. They issue licences for casinos, bookmakers, bingo, LPMs, and so on within their province. They also enforce compliance through inspections and hearings, and collect provincial gambling taxes/fees. In recent years some of these boards have been combined with their liquor board counterparts by provincial government and become known as “economic regulators”, for example, Mpumalanga and, most recently, KwaZulu-Natal.

National Lotteries Commission (NLC)

The lottery sector is separately regulated by the NLC (formerly the National Lotteries Board). The NLC, under the Lotteries Act, conducts the process of awarding the National Lottery licence and monitors the licensee’s operations and contributions to good causes. It has enforcement powers over lotteries and sports pools, and also registers smaller society lotteries.

Licensing as Cornerstone

South Africa employs a strict licensing regime for all gambling activities. The approach is largely prescriptive in that legislation and regulations spell out what is allowed, and anything not explicitly permitted is prohibited. Regulators scrutinise applicants intensively (fitness and propriety checks) and attach detailed conditions to licences. This approach aims to ensure only suitable operators participate and that gambling is offered in a controlled, transparent manner.

Enforcement and Compliance

The regulatory approach historically relied on scheduled inspections and reactive enforcement (eg, responding to complaints). Recently, it has become more proactive and risk-focused. For example, regulators are increasingly monitoring online activities and advertising, recognising these as higher-risk areas for illegal activity or harm.

Consumer Protection and Responsible Gambling

The approach puts significant emphasis on responsible gambling measures (covered in 7. Responsible Gambling (RG), Also Known as Safer Gambling (SG)). Regulators view protecting the public as a core mandate. As the gambling market grows, authorities have stressed the need for stronger consumer protection policies, even contemplating measures like stricter advertising regulations.

Concurrent Competency – Harmonisation Versus Autonomy

A feature of South Africa’s approach is balancing national uniformity with provincial autonomy. The national law sets broad parameters (eg, what gambling modes exist) while provincial laws tailor implementation. The SCA in Portapa reaffirmed that this mosaic is deliberate and constitutionally designed – provinces can innovate or restrict as per local conditions. The downside is potential inconsistency.

The regulatory approach is cautious and controlled, increasingly adapting to modern challenges. It remains licensing-centric and enforcement-backed, but with growing initiatives to address cross-provincial consistency and to modernise rules (especially for the online context). South African regulators aim to enable a well-regulated gambling market that fosters economic benefits (tax revenue and jobs) while minimising social harms.

Casino Licence

This is required to operate a casino (offering slots and table games) at an approved site. These licences are limited in number per province and typically awarded via a competitive bid. A casino licence usually encompasses all gambling activities on the casino floor (gaming machines, tables, sports betting areas, etc, under the same roof).

Betting Licences

• Bookmaker licence – to accept fixed-odds bets on sporting events and other approved contingencies. It allows land-based and online/mobile betting offerings by the holder (subject to provincial conditions).
• Totalisator (tote) licence – for pool betting, traditionally held by the turf club or an entity such as Phumelela/Tab for horse racing bets. Some provinces also allow tote licences for sports pools.
• Bookmaker premises licence – many provinces require each betting shop to be licensed separately in addition to the bookmaker operator licence.
• Bingo licence – authorises the operation of bingo games in a specific hall. Modern bingo licences often cover electronic bingo terminals (EBTs) as well, which emulate slot-like gameplay under the guise of bingo. These licences are usually limited per province and sometimes linked with specific sites.
• LPM route operator licence – permits a company to install and operate limited payout machines (slots with capped stakes/prizes) across multiple venues in the province. Each province allows a small number of route operator licensees (eg, two or three). The route operator supplies and monitors the machines, sharing revenue with site owners.
• LPM site licence – required for each establishment (pub, club, etc) hosting LPMs. It is typically limited to five machines per site (unless a special permission for up to 40 in a designated gaming venue is granted under certain provincial rules).
• Manufacturer, supplier or maintenance licence – for companies that manufacture gambling devices or software, or supply/maintain such equipment. A manufacturer of slot machines, for instance, needs to be licensed (or certified) to sell machines into South Africa. Similarly, suppliers of betting software or bingo equipment must be registered/licensed.
• Key employee/personal licence – while not an “operator” licence, key individuals (like general managers, financial directors of gambling operations, and gaming machine technicians) often must hold personal licences or certificates. This ensures personnel in critical positions meet probity standards.
• National Lottery licence – granted by the NLC to one operator to conduct the National Lottery and related sports pools. It is exclusive and awarded via a competitive tender for a fixed term (currently held by Ithuba under extension, with Sizekhaya selected as the next operator pending litigation outcomes).
• Charitable lottery – outside mainstream gambling, the Lotteries Act provides for societies to register small lotteries as long as they meet certain criteria. These are registrations rather than licences and are overseen by the NLC.

Casino Licences (Not Readily Available)

All provinces have allocated their casino licences and no new issuances are expected. One would generally have to wait for a new development zone to be authorised or bid for a re-issuance if a licence is revoked. For practical purposes, if an investor wants a casino presence, they often must acquire an existing casino operation (subject to regulatory approval).

Betting (Bookmaker) Licences (Moderately Available)

Provinces such as Western Cape and Eastern Cape continue to consider new applications, though they impose high standards. However, there is no absolute bar; entrepreneurs with strong applications can still enter the market. The author has seen new brands (including international entrants) obtain licences in recent years, indicating availability with proper compliance. Other provinces such as Mpumalanga or Gauteng only offer such licences on RFA with Mpumalanga having only recently closed an RFA process for a round of new bookmaker licences.

Totalisator Licences

Typically one per province for horse racing and sports pools (often held by a single operator nationwide). These are quasi-exclusive and not generally open for new applicants unless the incumbent fails or the province decides to split the market.

Bingo Licences (Limited Availability)

A few provinces issued bingo licences in a batch (for example, North West and KwaZulu-Natal both opened bids for several bingo halls in the mid-2010s). If all allocated bingo licences are taken, new entrants must wait for an expansion of permits or acquisition. In Gauteng, bingo licences are currently capped and fully issued (with many halls operating electronic bingo terminals).

LPM Site Licences

These are more commonly available since provinces are still rolling out toward their maximum allowed LPMs and sites. A qualifying site (that meets criteria like having a liquor licence, appropriate location, and security measures) can apply to host LPMs through a route operator. Availability depends on the remaining machine quota in each province. As the quotas have not been fully utilised in several provinces, many route operators continue to seek new site applicants.

Route Operator Licences (Not Readily Available)

Provinces usually have their route operator licensees fixed. A new route operator licence would likely only be considered if an existing one is cancelled or if the province decides to expand the programme (which would require significant justification).

With the exception of certain sectors such as LPM sites and potentially additional bookmaker outlets, most gambling licence categories are in a mature state with limited new licences on offer. South Africa’s gambling market is well-developed, so regulatory authorities are careful about issuing new licences, balancing market stability with competition. Any applicant for a “readily available” category still faces a thorough licensing process, meaning availability refers only to the theoretical openness of the category, not ease of obtaining approval.

In general, licences are not issued for a finite period and are “in perpetuity” subject to annual renewal with major probity of the licensee occurring every three years or so.

Fit-and-Proper Criteria

Applicants (company and individuals behind it) must demonstrate they are “fit and proper” to hold a gambling licence. This entails comprehensive disclosure of ownership, directorship, and funding sources. Background checks will look for criminal records, insolvency, or any involvement in unethical activities. Integrity is paramount; a history of fraud or offence can disqualify an applicant.

Financial Stability

The applicant must have the financial means to conduct the gambling operations. They need to submit audited financial statements (if an existing business), detailed financial projections, and proof of financing for start-up costs. Often a requirement is to show a certain amount of unencumbered cash or guarantees. For a casino bid, this runs into hundreds of millions of rand; for a bookmaker, sufficient capital to cover operations and player payouts is needed.

Business Plan

A thorough business plan is required, covering the nature of gambling products to be offered, the target market, marketing strategy, and how the operation will comply with regulatory requirements (responsible gambling measures, security, and other things).

Technical Capability

Applicants must show they either have or can procure the necessary technology and expertise. For online betting, robust IT platforms, cybersecurity measures, and tested software (with certifications from testing labs and the National Regulator for Compulsory Specifications) are expected.

BEE and Ownership Structure

South Africa’s laws emphasise BEE in gambling. Most provinces mandate a minimum black ownership stake in any new gambling venture (commonly 26% or more). Applicants must detail their shareholding structure and include BEE certificates or plans to meet the required ownership, management, and procurement targets. Non-compliance with BEE can lead to rejection.

Probity of Key Persons

All directors, significant shareholders (typically above 5% ownership), and managers must complete personal history disclosure forms and submit to probity checks. This can be a substantial part of the process – each person’s employment history, references, fingerprints for criminal checks, tax clearance, and other things are reviewed.

In Summary

The application process is extensive and rigorous, often taking months to compile the required documentation. Engaging with regulators for clarity and sometimes using professional advisers (lawyers and compliance consultants) is common to ensure all requirements are met. The high entry bar is intentional to keep out unsavoury elements and ensure only well-prepared, responsible operators get licensed.

Timing varies from jurisdiction to jurisdiction, as the assessment and committee processes may vary slightly, but generally one may expect to wait anywhere from 4‒12 months for an outcome of an application.

For most licence types, one will be expected to advertise the licence application in both the provincial gazette concerned as well as local newspapers, allowing 21‒30 days (depending on jurisdiction) for potential objections to be lodged.

Applicants should anticipate a long lead time and plan accordingly. It is advisable to engage with the regulator early (many boards offer pre-application meetings to guide applicants). Meeting all requirements meticulously helps evade avoidable delays. However, even a perfect application must run the course of investigations and board deliberations, which inherently take time given the seriousness of granting gambling rights.

Fees vary depending on licence type and jurisdiction, and potential applicants would be best advised to obtain the current fee schedules of the regulators concerned. In planning one’s fees, one should look beyond the fees payable to the regulator to those of the attorneys and consultants that an applicant will generally need to engage in applying for and maintaining a gambling licence.

Much like the application fees across nine provinces and with certain national licence types (eg, national manufacturer), the renewals will vary but generally a licence holder might expect to pay roughly 75% of the original licence fee upon renewal annually.

Key Individual Licences

Provincial laws require that certain individuals in a gambling operation hold personal licences or have their suitability approved. These include casino key employees (eg, general managers, financial managers, and surveillance managers), betting managers, bingo managers, and directors or officers of the company. Often called a “Key Employee Licence” or “Certificate of Suitability”, this ensures the person meets integrity and competence standards.

Any person or entity that will own above a threshold (usually 5%) of a gambling licensee must typically be found suitable. Rather than a licence, they receive a certificate of suitability as a shareholder. The threshold is discretionary and can be effectively lower if it is clear someone can exert influence (eg, multiple family members collectively holding shares).

Application Process

The individual submits a detailed personal declaration form including employment history, criminal record check, credit record, assets and liabilities, and references. They must also provide a police clearance. In some cases they are interviewed by the regulator’s investigators. The process is akin to a mini-version of a full licence probity, focusing on the person’s background and any possible issues (like undisclosed offences, financial instability, or associations with disreputable individuals).

Fees and Tenure

There is usually a fee for processing a personal licence application and renewal fees periodically. Once granted, a key person licence usually requires annual renewal. If the person leaves the industry, the licence can lapse.

Ongoing Obligations

Personal licence holders are expected to uphold high standards. They typically have a duty to report to the regulator if they are charged with a crime, or if any situation arises that could affect their suitability. Regulators can discipline personal licence holders for not maintaining expected standards.

Premises Approval

All physical locations where gambling takes place must be approved by the provincial regulator concerned. For casinos, the site is typically specified in the casino licence (and moving a casino would require regulatory permission). For betting, bookmaker premises licences are issued for each shop or outlet. Bingo halls and LPM sites also require site-specific licences or certificates.

Suitability of Premises

Regulators consider factors such as the location (is it appropriately zoned for business/entertainment, and not too close to schools or churches in a way that might encourage underage or vulnerable populations), the layout (eg, a bookmaker shop must have a clear separation between the counter and any non-betting areas, adequate floor space, and security features such as closed-circuit television (CCTV)), and safety (fire exits and capacity limits). For LPM sites, there may be rules like the gaming area must be separate from general dining areas and machines must be in line of sight of the bar or cash register for supervision.

Changes to Premises

If a licensee wants to alter the gambling area (eg, expand a casino floor, renovate and move tables/machines, or, in a betting shop, change the layout), these changes often must be reported and sometimes pre-approved by the board. Major changes, like an expansion of a casino’s footprint or relocating a betting shop to a new address, require a formal application for premises relocation.

In the online space, as mentioned in 2.1 Online Gambling, the only licence type is effectively the bookmaker licence, which might be obtained provincially from the respective regulator in the province where one has premises, dependent upon the availability of such licence “on demand”. If bookmaker licences are not freely available in the desired province, then potential applicants have the option of either waiting for a tender process or attempting to purchase one from an existing operator.

In the event of a purchase of a licence by an acquirer, the purchaser is still required to apply to the regulator for approval of the acquisition of the licence, which is identical to the application for a new licence.

The primary B2B licence type is the manufacturer licence, which might be obtained provincially from the respective regulator, or nationally under the auspices of the National Gambling Board, albeit via the provincial regulator within the province where one establishes or intends to establish a presence.

The term “manufacturer” and the parameters of the licence type are very broad, with such licence permitting the manufacture, licensing, distribution, supply and maintenance of gambling equipment or devices including software for online betting.

The issue of affiliates is dealt with by application of existing legislation. There is no uniform policy on this but the Western Cape regulator, for example, views these arrangements as “gambling-related contracts” between a bookmaker and a “supplier”. Each affiliate arrangement must be approved by the regulator via its mechanisms and forms relating to this type of contract.

Many licensed operators have affiliate programmes with terms requiring the affiliate to abide by local laws and refrain from certain tactics (like no targeting minors, and no misleading claims). If an affiliate breaches these, the operator is expected to cut ties to avoid regulatory repercussions.

Influencers and social media affiliates – a newer trend is social media influencers partnering with betting brands (a form of affiliate marketing). The ARB and the NGB are looking at restrictions here, such as ensuring content does not glamorise gambling irresponsibly. The author might anticipate guidelines that will effectively make affiliates follow similar standards to direct advertising.

Affiliates represent a grey area where gambling regulation meets advertising oversight. They currently do not need a licence, but their fate is tied to the licensed operators they promote. Operators must keep affiliates in check to protect their own licences. With increased scrutiny on advertising’s role in gambling participation, affiliates might see more rules (via advertising codes) that they must follow or risk being cut out of the industry.

There are no provisions to deal with white labels as such, but this type of arrangement might conceivably be approached via the manufacturer licence provisions, where the content is brought in by or via a licensed manufacturer, bearing in mind the very broad scope that such licence affords.

In addition, and allied to the concept of “gambling-related contracts”, there is specific provision for third-party content or “components” to be integrated into an existing offering by a manufacturer in the form of an application by the third party for a “certificate of suitability”, which is a lighter process than a full-blown manufacturer licence application that permits such provider to “shelter” under the licence of an existing manufacturer.

This process is not considered ideal for several reasons and is furthermore being reviewed by the regulator as the origin of the process is over 20 years old and was originally intended for the integration of components in the land-based industry.

No Mandatory ISP Blocking

Currently, South African law does not require ISPs to block access to unlicensed gambling websites. The idea has been floated, but not implemented. This means South African internet users can reach offshore gambling sites freely. It would likely take new legislation or regulations (and co-operation from ISPs) to institute IP (internet protocol) blocking or DNS (domain name system) blocking of such sites – something seen as technically and legally challenging (raising questions of internet freedom).

Payment Monitoring

Local banks do sometimes flag and block transactions that appear to be gambling payments to overseas entities, in line with exchange control regulations. The NGB in the past worked with the Reserve Bank to identify outgoing online gambling payments (credit card transactions to known gambling merchant codes) and have them stopped. Additionally, under the Financial Intelligence Centre Act (FICA), banks must report suspicious transactions which could include large outflows to gambling sites, or inflows from them. That said, there is no comprehensive payment blocking law in effect; it is more case-by-case and based on banking discretion or existing financial laws.

Enforcement via Winnings Confiscation

The NGA allows (in theory) the forfeiture of unlawful winnings to the state. In practice, one method used has been that if an online gambler hits a big win and the offshore site tries to pay it into a South African bank, those funds can be frozen and seized with a court order. This creates a deterrent without needing to block sites upfront. However, this reactive measure depends on catching the transaction.

Age Restrictions

No persons under 18 may gamble, and operators are obliged to verify age (ID checks at casinos and betting outlets; KYC processes online) and to clearly display “No Under-18s” signage. Allowing a minor to gamble is both an offence and a serious licence violation.

Advertising and Marketing Conduct

All gambling advertising must include responsible gambling messaging and the helpline number. Advertising must not target minors or vulnerable groups, and should not mislead about chances of winning. These requirements tie into RG by tempering the portrayal of gambling (eg, ads cannot claim gambling is a way to solve financial problems). This is becoming a big focus of the ARB and the NGB.

Self-Exclusion Programmes

In terms of the NGA, the NGB has a responsibility to maintain a national, central self-exclusion database but this has not been implemented in over 20 years. Provincial regulators offer this function with varying efficiency, with some emailing out individual PDFs from time to time. The industry has recently formed a self-regulation body in the form of SAROGA (Safe And Responsible Online Gambling Association) which has an app-based national self-exclusion tool and database on its roadmap.

Contributions to RG Fund

As mentioned earlier, operators contribute financially (usually via a levy on revenue) to the South African Responsible Gambling Foundation (SARGF). This fund supports the 24/7 toll-free Problem Gambling Helpline, counselling services (free treatment for problem gamblers and affected families), and educational campaigns. Paying this levy is mandatory, reflecting the industry’s commitment to fund harm mitigation. SAROGA is also currently offering free counselling of problem gamblers and has stated that an “appified” easily accessible form of counselling is on the cards for the future.

Limiting Mechanisms

Though not universally required by law, some RG practices are effectively mandated by policy. For example, ATMs are often banned or limited on casino floors to discourage impulsive withdrawals; casinos and route operators enforce limits on LPM stakes and payouts by law. Also, offering credit to gamblers is prohibited, forcing a “cash only” rule to help prevent players from easily getting overextended. SAROGA has stated that its roadmap includes a voluntary and universal payment limitation API accessible to participating operators.

Emerging Focus

Given the rise in online betting, regulators are now emphasising RG in the digital context ensuring online sites have easy-to-use self-exclusion and limit-setting features.

As mentioned in 7.1 RG Requirements, the area is rather static; however, as with many things, the industry has recognised the need for a strong focus on self-regulation and has formed SAROGA to look at updated and universal digital tools to contribute to managing gambling as a form of entertainment.

AML is the subject of a separate national statute being the Financial Intelligence Centre Act, No 38 of 2001.

The structure and provisions of FICA are in line with the international Financial Action Task Force (FATF) guidelines, and a strict degree of compliance is expected of gambling licensees in line with a schedule specifically applicable to gambling institutions.

The relevant regulator via which an operator holds its licence is expected to act as the “supervisory body” in ensuring compliance with FICA by operators.

Enforcement and fines for non-compliance are strictly and actively applied.

AML requirements are stipulated in FICA but primarily surround the following.

• Customer identification (KYC) – gambling institutions must know their customers. This means verifying a customer’s full name, date of birth, ID/passport number, and address against reliable documents.
• A risk-based approach – under FICA’s current framework, casinos and bookmakers must apply a risk-based approach. They should have risk rating criteria for different customers. For instance, a VIP high-roller from abroad may be seen as higher risk, whereas a small-stakes local punter might be standard risk with simplified checks.
• Record-keeping – all records of transactions and identification must be kept for at least five years.
• Reporting obligations – key reports to the Financial Intelligence Centre (FIC) include cash threshold reports, suspicious transaction reports, and terrorist property reports. They also have to screen customers against UN sanctions lists; the FIC sends updates on sanctioned entities and the gambling sector must ensure no dealings with listed persons.
• Internal controls (RMCP) – every gambling operator must develop a Risk Management and Compliance Programme (RMCP). This internal policy document outlines how the business complies with FICA – covering customer due diligence processes, how staff are trained, how records are kept, and steps for each obligation. It must be tailored to the business’s risk profile.
• Training and compliance officer – a FICA compliance officer is appointed at each institution to oversee AML processes. All relevant staff receive ongoing training to recognise suspicious behaviours and to execute KYC properly.
• Enforcement and audits – the FIC and provincial boards conduct inspections. With increased scrutiny, more audits are happening. Non-compliance can result in administrative sanctions like fines or directives to correct, and in severe cases criminal charges (though usually regulators aim to enforce administratively first).

Advertising Regulatory Board (ARB)

The ARB is a key body overseeing advertising standards across industries, including gambling. It is a self-regulatory organisation funded by industry and media stakeholders. The ARB’s Code of Advertising Practice contains rules that gambling advertisements must adhere to (eg, regarding truthful messaging, and protecting minors). While the ARB cannot impose legal penalties, it can order an ad off the air or out of print, and its rulings are respected by most media outlets, so it has impact and reach.

Provincial Gambling Boards

They can act against their licensees via disciplinary proceedings if advertising breaches occur. Some provincial laws explicitly require that any advertising by licensees be pre-approved by the board or at least follow the law, giving them jurisdiction.

Consumer Protection Bodies

The National Consumer Commission (NCC) could theoretically intervene if gambling advertising is misleading or constitutes an unfair business practice, under the Consumer Protection Act. In practice, complaints typically go through the ARB rather than the NCC.

Current Developments

The ARB, in collaboration with the NGB, has drafted a new consolidated gambling advertising guideline (as an appendix to the ARB Codes). This is slated for release for public comment in January 2026. It is expected to stipulate times, media and modes for advertising in greater detail.

The definition of advertising follows the guidelines stipulated by the ARB without any specific definitions in the gambling statutes themselves.

See 9.1 Regulatory/Supervisory Agency.

No Advertising of Illegal Gambling

It is strictly forbidden to advertise any gambling activity that is unlawful in South Africa. This means foreign online casinos and unlicensed lotteries cannot be advertised in any media accessible in South Africa. Media companies have been reminded not to carry such ads.

Targeting and Content Restrictions

Advertisements must not be aimed at minors or other vulnerable groups. For example, no cartoon characters or youth-oriented imagery in gambling ads, and no placement of gambling ads in children’s TV slots or the vicinity of schools. Ads should also not depict minors gambling.

Misleading Claims

Ads cannot misrepresent the odds of winning or the nature of gambling. They should not create an impression that skill can control a chance game, or that “everyone wins” or that gambling is a guaranteed way out of financial trouble.

Tone and Messaging

Advertising should not portray gambling as overly glamorous or as a solution to problems.

• Time watershed and placement – while not law yet, an emerging norm is to restrict gambling ads on broadcast media to late-night hours.
• Influencer marketing rules – as noted, using influencers (who might have under-18 followers) is being looked at. Expect rules like influencers must be 25+ and must not present gambling as easy or certain.
• Sponsorships – sports sponsorship by betting firms is prevalent. While not “advertising” in the classic sense, it falls under marketing. Regulators have not banned it, but teams and operators must ensure the branding does not appear on youth team kits, etc. A derivative of the issue is the sponsorship of local teams by outright illegal offshore casinos, which is rightfully receiving much criticism from licensed operators.
• Required warnings – every advert must carry a short, mandatory responsible gambling warning. The idea is to ensure the public is reminded that gambling has risks and help is available.
• Enforcement of restrictions – the ARB can order the removal or amendment of ads that violate these restrictions. Provincial boards can sanction licensees who persistently flout advertising rules (eg, by fining an operator who persists in sending misleading SMS promotions).

Distasteful or inappropriate advertising is generally the subject of takedown notices from the ARB but, in more serious cases, including disobedience insofar as advertising compliance is concerned, the general sanctions under the respective gambling statutes can extend to fines of up to ZAR10 million or even incarceration.

Disclosures are generally required in the circumstances described in 10.2 Change of Corporate Control Triggers and are of the same level of detail as required in brand new applications (insofar as the new acquirers are concerned).

Generally, any acquisition of financial interest over 5% triggers a post-transaction reporting and filing of detailed disclosures apropos the acquirer. The timelines for the filing and fees for the same vary from province to province but are fairly modest.

If the passive investment amounts to either a direct or indirect acquisition of more than 5% of the direct or indirect interest in the licensee, the filings referred to in 10.2 Change of Corporate Control Triggers are still required to be made.

All of the gambling statutes stipulate potential criminal conviction and sanctions for breaches of their provisions, where, via the criminal justice system, offenders might receive substantial fines of up to ZAR10 million and face custodial sentences of incarceration of up to ten years.

Where regulators generally lack teeth is that their enforcement is usually dependent on the co-operation of the over-stretched South African Police Service together with the National Prosecuting Authority. Gambling regulators are often frustrated in obtaining this co-operation from the police and prosecuting authorities, both in minor instances and in more complex cross-border infringements that might require international co-operation and liaison such as in cases of illegal online gambling.

Via exchange control and banking legislation, there are provisions aimed at consumers using their banking instruments, such as credit cards, to bet online and offshore illegally; unfortunately, some of the more successful enforcement has occurred via these channels and has been directed at (often unwitting and ignorant) individuals versus the illegal operators themselves.

See 11.1 Powers.

See 11.1 Powers.

The land-based gambling industry is taxed according to licence on a table that may be obtained from the relevant regulator, and it does vary from regulator to regulator. Generally, casinos are the highest taxed with an average of 10–15% on GGR.

The tax rate in the online betting industry is generally a total of 6.5%.