Ontario’s regulated iGaming market, which is in its second year, supplied a contribution of $2.7 billion towards the province’s Gross Domestic Product (GDP) up from $1.6 billion in its maiden year; this growth trajectory places the province’s online gaming sector at about the level of reaching the year-10 GDP projection of $4.7 billion that was initially contained in last year’s report. The report did not provide an updated long-term forecast but emphasized the industry’s rapid advancement towards its economic targets.
There has also been a remarkable increase in government revenues from Ontario iGaming operations. In April 2023 – April 2024, this sector raised more than $1.2 billion in Government revenue against around $700 million during its first twelve months. Provincial revenues were close to $800 million, federal contributions were to the tune of $380 million while municipal governments took home $75 million. The huge surge in State income underscores how monetarily important this industry is to public coffers and local municipalities.
The Executive Director of iGaming Ontario, Martha Otton pointed out that her industry had done well at the Canadian Gaming Summit. For instance, she said that during the second year gambling sites generated C$ 2.4bn ($1.9bn) from bets totaling C$ 63B showing YoY gains of 71% and 78% respectively). However impressive these statistics may be, Otton underscored that it is surprising beyond multiple initial projections what broader economic impact has been made by such a sector.
Within just two years of establishment, Ontario’s iGaming space has met and exceeded several year-five projections; e.g., government revenues have accomplished 94% of five-year projection, sustained direct and total full-time jobs exceeded the anticipation by 120% and 92% in a row respectively. The iGaming sector has also contributed up to 93% of the amount it was projected to do according to GDP figures. Exceeding initial expectations indicates that this is an important industry for driving economic growth and job creation in the province.
Attorney General Doug Downey stated that Ontario’s success in its iGaming space demonstrated its commitment to innovation and responsible gaming practices. Above all, he emphasized the fact that not only does this sector create jobs but also that it shows leadership by building a sustainable and regulated iGaming sector with a focus on player protection as well as consumer safety.
Stakeholders are looking forward to more growth and development within Ontario’s regulated iGaming industry. Martha Otton however warned against rapid expansion at these rates of YoY (year over year) increase: “It may not be sustainable forever.” All the same, she sounded positive about the future of the industry, saying there were ongoing efforts to innovate and improve regulatory frameworks towards the long-term growth of this industry.
Summing up, Ontario’s regulated commercial online gaming industries have emerged as key drivers of economic activities, exceeding economic targets while making notable contributions towards government revenues and employment prospects. As stakeholders work toward development, they remain steadfast in accomplishing their objective of creating a responsible as well as sustainable gambling environment, benefiting both consumers’ welfare as well as the economy at large.
