SABA Presses South Africa to Tackle Illegal Gambling

South Africa’s largest bookmaker trade association has renewed its call for stronger enforcement measures against illegal offshore gambling operators, arguing that existing laws have failed to keep pace with the expansion of the unregulated market.

The South African Bookmakers Association (SABA) says the discussion should move beyond whether authorities can address illegal gambling and instead focus on how quickly effective action can be implemented. The association’s latest comments come amid ongoing debate around proposals to block access to illegal gambling websites and recent efforts by the National Gambling Board (NGB) to strengthen enforcement.

According to figures cited by the NGB, illegal gambling platforms generated R5 trillion in 2025, representing around 3.75% of the R75 trillion generated by South Africa’s regulated gambling sector during the same period. Concerns about the social impact of the illegal market have also intensified, particularly in a country where approximately 39 million people, or 60% of the population, live below the upper-middle-income poverty line.

SABA maintains that the growth of unlicensed operators has created additional risks for consumers because such platforms operate outside South Africa’s regulatory framework and lack established player protection mechanisms.

Trade Body Calls for Enforcement Framework Changes

To address what it describes as a widening enforcement gap, SABA has proposed a six-point national strategy that it wants adopted by authorities and regulators.

The recommendations include establishing a clearer legal definition of unlawful gambling operators, expanding website-blocking powers for regulators, disrupting payment systems used by illegal platforms, taking legal action against facilitators such as payment providers and affiliates, increasing scrutiny of influencers and promoters who advertise illegal gambling services, and creating a centralized enforcement structure supported by multiple government agencies.

SABA Chief Executive Officer Sean Coleman said the association has spent months working with regulators and policymakers to develop practical solutions.

“For many months, SABA has been actively engaging with the NGB, policymakers and other stakeholders to develop a practical, evidence-based strategy to combat the rapid growth of the illegal offshore gambling market,” Coleman said according to News24. “Those engagements have included detailed presentations, legislative gap analyses, international benchmarking and public awareness initiatives aimed at educating consumers about the risks posed by illegal operators.”

He added: “The conclusion reached through that work is straightforward. South Africa does not suffer from a lack of laws prohibiting illegal online gambling. It suffers from a lack of laws that enable effective enforcement. The country’s current framework is best described as ‘prohibition without enforcement.’”

The association welcomed the NGB’s decision to appoint a service provider tasked with blocking illegal gambling websites and said it supports broader enforcement measures that include technological tools, High Court forfeiture actions and legislative initiatives.

Coleman stated: “By declaring war on illegal, unregulated platforms, particularly ahead of or during high-volume sporting periods like the 2026 World Cup. In doing so, the NGB is taking an essential step toward safeguarding vulnerable citizens and protecting the integrity of the domestic economy.”

Concerns Over Market Size and Consumer Protection

SABA has pointed to previous research as evidence of the scale of the issue. The association commissioned a report from Yield Sec, a market research firm focused on online gaming, in November 2023.

According to SABA, the study found that illegal operators accounted for approximately 62% of online gambling activity in South Africa. The report also estimated that more than R50 billion in gross gambling revenue is diverted offshore each year and that around 16 million South Africans had used illegal gambling platforms during the previous 12 months.

The association argues that these operators contribute no tax revenue locally, do not comply with South African licensing requirements and leave consumers with limited options when disputes occur.

SABA also emphasized that website blocking alone cannot solve the problem. Instead, it advocates a broader enforcement model that combines several different measures. These include payment disruption, advertising restrictions, consumer awareness campaigns, intelligence-led investigations and cooperation between regulators in different jurisdictions.

Looking Abroad for Enforcement Examples

The association says it has examined international regulatory approaches while developing its recommendations. According to SABA, Australia has demonstrated the benefits of restricting access to illegal gambling sites, while the United Kingdom has shown how financial controls and regulatory oversight can reduce the commercial viability of unlicensed operators.

SABA believes South Africa can draw lessons from both markets while developing a framework suited to the country’s legal and constitutional environment. The association also warned that delays in enforcement allow illegal operators to continue expanding their customer base, generating untaxed revenue and exposing consumers to financial and social risks without the protections available through licensed gambling providers.

Calls for greater coordination across South Africa’s gambling sector are not new. Coleman previously highlighted the difficulties created by differing regulatory requirements across the country’s nine provincial gambling jurisdictions.

“It is really challenging to ensure that your company’s standard operating procedures meet the nuances of nine different sets of gambling laws, compliance and license conditions imposed.” He added: “Whilst attempts at creating national norms and standards have started, they too sit in the ‘fail’ column with the NGB.”

Licensed operators have also voiced support for a coordinated national response. Last year, Sportingbet South Africa co-founder Tyrone Dobbin issued an open letter to the country’s nine gambling authorities, urging them to work together against black-market gambling operators targeting South African consumers.