UCT researchers say Treasury’s proposed online betting tax is needed to address rising gambling harms and protect vulnerable households.
Academics from the University of Cape Town are backing the National Treasury’s proposal to introduce a 20% tax on gross gambling revenue from online betting, warning that the rapid growth of gambling in South Africa is creating significant social and economic harm.
Researchers from the university’s Research Unit on the Economics of Excisable Products said the proposed tax is a necessary intervention as online and retail betting activity continues to accelerate across the country.
According to the researchers, online and retail betting more than tripled between the 2021/22 and 2024/25 financial years, while total gambling expenditure more than doubled over the same period.
The academics, Dr Nicole Vellios, Mxolisi Zondi and Professor Corné van Walbeek, outlined their views in an article published in Econ3x3.
