In recent years, the landscape of sports has witnessed a significant shift with the widespread legalisation of sports betting in various regions including Brazil, Italy and Canada. Of course, this shift has come with problems, but the legalisation of sports betting has been able to fund public initiatives and stimulate economic activity throughout the globe. This article aims to cover the positive outcomes of legalised sports betting, but also outline the negatives and how they have been resolved to better the system. 

Addressing addiction is a paramount concern in the sports betting industry, prompting concerted efforts globally to mitigate its impact. Companies, governments, and councils worldwide have implemented a range of measures to reduce the likelihood of addiction. Robust regulatory frameworks, such as those in the United Kingdom where operators are required to provide responsible gambling tools, contribute to creating a safer environment. Education and awareness campaigns, for example Gambling Harm UK have been pivotal, with various jurisdictions disseminating information on the risks of excessive gambling, not just for the individual but for his or her loved ones and family and the damage it can have. Innovative technologies, including artificial intelligence and machine learning, are employed to detect behavioural patterns indicative of problem gambling, allowing for early intervention. These measures aim to not only reduce the incidence of addiction but also decrease the scale of winnings and losses, fostering a more responsible and sustainable sports betting ecosystem. However, despite these measures, addiction remains a challenge, and ongoing strategies are crucial. According to a study by the National Council on Problem Gambling in the United States, around 2-3% of the population may be affected by gambling addiction.

Legalised sports betting has emerged as a lucrative source of revenue for governments and local jurisdictions around the world. One significant avenue for generating income is through the imposition of general betting duty, a tax applied to bookmakers’ profits from various forms of betting, including sports betting and wagering on horse or dog racing. This taxation model has been adopted by numerous countries, contributing substantially to public coffers. For instance, in the United Kingdom, the Betting and Gaming Act imposes a 15% tax on bookmakers’ gross profits from bets. The United States has witnessed a notable surge in tax revenues following the legalisation of sports betting in various states, leading to an overall take in of $25 billion for the US government in 2023. In Australia, where sports betting is widespread, the government benefits from taxes on bookmakers’ profits, bolstering public funds. This revenue stream not only aids in funding public services but also serves as an economic stimulus, showcasing the multifaceted financial benefits associated with the legalization of sports betting.

Furthermore, it has proven to be a catalyst for job creation and economic growth, fostering employment opportunities across a diverse range of professions. In countries where sports betting is legalised, there is a notable surge in demand for various roles within the industry. Bookmakers, odds analysts, and data scientists are essential for setting competitive odds and ensuring the smooth operation of betting platforms. Moreover, the expansion of online betting platforms has led to increased demand for software developers and IT professionals to create and maintain cutting-edge technology. Customer service representatives play a crucial role in addressing user queries and concerns. Beyond the immediate industry, the multiplier effect takes place very quickly and leads to a stimulus of economic growth all over the economy. The hospitality industry experiences growth as sports books and betting establishments become social hubs for fans, and entertainment venues benefit from increased foot traffic during major sporting events. According to a study by Oxford Economics, the legalisation of sports betting in the United States could create up to 216,000 jobs and contribute billions to the economy over the next decade. Similarly, in the United Kingdom, the gambling industry is estimated to support over 100,000 jobs. These statistics underscore the substantial employment opportunities and economic stimulation associated with the legalised sports betting sector.

The relationship between sports betting and professional leagues has evolved into a mutually beneficial partnership, driving increased revenue streams for franchises. Partnerships between sports teams and betting operators have become commonplace, with the latter often serving as sponsors. For example, the English Premier League, one of the most-watched football leagues globally, has secured lucrative sponsorship deals with various betting companies. According to a report by the American Gaming Association, the National Football League (NFL) in the United States could see an annual revenue increase of $2.3 billion due to sports betting. However, this symbiotic relationship raises ethical concerns, particularly regarding the integrity of the games. Rigorous regulations are necessary to ensure fair play and prevent any attempts to manipulate outcomes for gambling purposes. For example, in 2023, the UK have enforced three new regulations including, creating a gambling ombudsperson, setting stake limits and funding addiction treatments.

Over the years, the scourge of match-fixing has cast a shadow over sports, infiltrating all levels and types of competitions, from inconspicuous pre-season friendlies to high-stakes cup matches. The most notable in England in recent times was the scandal of England international and Brentford player, Ivan Toney who was charged for over 232 betting breaches, leading to an 8 month ban from all professional football. Match-fixing, in its essence, is a deceitful activity designed to ensure a predetermined outcome, be it in team sports or individual events. Under the Crimes Act 1961, match-fixing is legally defined as the manipulation of the overall result of a sports match or racing event, or any specific event within it, with the intent to influence betting outcomes. The pervasive nature of this issue is underscored by disconcerting statistics and high-profile case studies. According to a report by the International Centre for Sport Security (ICSS), approximately 80% of global sports betting is believed to be illegal and susceptible to manipulation. Notorious cases, such as the 2000 Italian football scandal and the more recent incidents in tennis involving match-fixing allegations, highlight the need for robust regulatory measures and international cooperation to safeguard the integrity of sports competitions.

The surge in demand for online betting platforms has fuelled significant technological advancements, reshaping the landscape of sports betting. Mobile betting apps have become ubiquitous, providing users with convenient and on-the-go access to a wide array of betting options. In-play wagering, allowing bets to be placed during live events, has gained immense popularity, enhancing the overall engagement of sports enthusiasts. Virtual sports, enabled by cutting-edge graphics and simulations, offer a unique betting experience even in the absence of live events. According to Statista, the global online gambling market is projected to reach over $138.1 billion by 2028. Technological innovation has not only transformed the betting experience but has also influenced how people interact with sports, fostering a more dynamic and interactive relationship between fans and the games they love.

As sports betting continues to evolve and expand globally, its economic impact cannot be ignored. By exploring the various dimensions of legalised sports betting, we gain insights into its potential as a revenue generator, job creator, and catalyst for technological innovation, while also considering the need for responsible regulation to address associated challenges. The economic game-changer that is legalised sports betting is reshaping the playing field for both the sports and gambling industries alike.