In a groundbreaking development, Ontario’s online gambling sector has remarkably outperformed most of its five-year projections within just its second year, according to a comprehensive report by Deloitte published on June 19. The data reveals that the regulated igaming market in Ontario, excluding the state-backed lottery operator, has made substantial contributions to the province’s economy, amounting to CA$2.7 billion (USD $1.97 billion) in GDP. This economic activity has been vital in sustaining nearly 15,000 full-time equivalent jobs.
Of this impressive GDP contribution, CA$1.3 billion was directed toward labor income, cementing the igaming sector as a significant employer within the province. To put this in perspective, Ontario’s online gambling market had already contributed CA$1.58 billion in its first year following its official launch on April 4, 2022.
Between April 2023 and April 2024, the number of direct jobs sustained by the igaming sector reached 120% of Deloitte’s five-year forecast. Alongside this, other economic metrics have far exceeded expectations: government revenues reached 94% of the five-year prediction, total full-time jobs sustained accounted for 92%, and GDP contributions stood at 93%.
The report by Deloitte also highlighted that for every dollar spent by operators on operational and capital expenses (opex and capex), approximately $1.40 of economic activity was added to Ontario’s economy during the 12-month period. This multiplier effect underscores the significance of investment in the online gambling sector and its broader economic impacts.
Ontario’s Attorney General Doug Downey commented on the report’s findings, stating, “Our made-in-Ontario igaming sector is being recognised internationally for its success as a leader in this space. Working together with our partners and industry, we will continue to drive innovation and deliver robust player protections, all while displacing the unregulated market.” He further praised the sector’s role in job creation and underlined Ontario’s commitment to a sustainable and responsible igaming industry.
This remarkable growth is also reflected in the contribution to various levels of government. Contributions toward federal, provincial, and municipal revenues climbed to CA$1.
.24 billion from CA$761 million in the first year. Specifically, CA$790 million was attributed to the provincial government, CA$75 million supported municipal revenues, and CA$380 million contributed to federal government revenue.
Ontario’s regulated competitive igaming market, excluding offerings from the Ontario Lottery and Gaming Corporation (OLG), added 2,800 new full-time equivalent jobs in its second year. Within the total of 15,000 sustained jobs, approximately 2,675 were direct employment positions.
Data from the province’s regulator, released in April, adds further context to this narrative of growth. A staggering total of CA$63 billion in wagers was placed during the second year of Ontario’s regulated online gambling market. This impressive wagering figure represents a consistent upward trend throughout the year. In the fourth quarter alone, wagering reached CA$17.8 billion. The upward trajectory began with CA$14 billion in the first quarter, followed by a modest increase to CA$14.2 billion in the second quarter, and a significant jump to CA$17.2 billion in the third quarter.
The monumental progress of Ontario’s igaming sector in a mere two years demonstrates the market’s resilience and growth potential. The province’s forward-thinking approach, emphasizing regulation, innovation, and player protection, has evidently paid off. Ontario is now positioning itself as not only a national leader in igaming but also an international benchmark for regulated online gambling markets.
Going forward, the focus will be on maintaining this momentum and addressing the challenges that come with such rapid growth. Stakeholders are keen to ensure that the unregulated market continues to be outpaced, ensuring a safe and fair gambling environment for all participants. As Ontario looks to the future, it aims to balance economic contributions with robust regulatory standards to sustain its burgeoning igaming sector.
