The South African National Gambling Board formally responded on Monday to the chain of queries triggered by the "CLOSED" label. The "Verified Gambling Operators" portal, launched earlier this year, was initially positioned as South Africa's first tool to unify licensed operator data across all nine provinces for transparency. However, the "CLOSED" label on some operator entries immediately sparked speculation about whether some licensees were still operating illegally. Acting CEO Dukwana was straightforward in his statement—this platform is a crucial step in protecting South Africans from illegal gambling harms, but "CLOSED" does not equate to illegal. Possible reasons include temporary venue renovations, business suspension, unpaid license fees, or contractual disputes with route managers, and should not be hastily inferred as regulatory failure. The NGB also admitted that the portal aggregates data from six provincial systems, facing real challenges in data integrity, consistency, and timeliness. Some marked entries currently lack explanatory annotations, adding extra complexity to compliance assessments for business stakeholders, and the committee has invited feedback to improve the portal's usability and accuracy.
Online Gambling Legal Vacuum and the Truth About Portal Absences
Another criticism surrounding the portal focuses on the absence of some online gambling operators. The NGB refuted the speculation that this absence is due to the pending "Remote Gambling Bill B11-2024," reaffirming that the current regulatory framework still relies on the 2004 National Gambling Act and provincial regulations, not draft legislation. The portal indeed includes licensed gambling operators authorized to offer online sports betting in various provinces, but a recent ruling by the Gauteng High Court once again confirmed that online gambling remains illegal under current national law—highlighting the inconsistency in provincial enforcement standards and the growing gap between legislation and digital market realities.
Tax Burden Soars to 39% and Concerns Over Licensed Market Competitiveness
As scrutiny of licensing and compliance heats up, the South African gambling industry is facing greater financial pressure from proposed tax increases. The CEO of the South African Gambling Association, Coleman, estimated that the actual tax burden, including additional taxes, would rise to 39%, potentially making South Africa one of the highest-taxed gambling markets globally. Operators are generally concerned that heavier taxes will push consumers towards unlicensed grey platforms, ultimately eroding regulatory effectiveness and weakening the competitiveness of the legal market. The Free Market Foundation has sharply criticized this, pointing out that the VAT increase is "largely unenforceable for online casinos" and will "disproportionately burden licensed gambling operators"—who are already contributing significant tax revenues to provincial regulatory bodies.
PASA Official Website continues to track the latest developments in African gambling market regulatory transparency and tax policy, noting that South Africa is at a tense regulatory crossroads—trying to enhance industry transparency and consumer protection through digital tools, while being caught between fragmented provincial enforcement and rising tax pressures.
————
This article is from "PASA-Global iGaming Leaders," a gambling industry news channel: https://t.me/pasa_news
Original in-depth gambling channel: https://t.me/gamblingdeep
Free data reports: @pasa_research
PASA Matrix: @pasa002_bot
PASA Official Website: https://www.pasa.news
