Archive post. Issued by SAMNET on 26 November 2025 and published here as part of SAMNET’s advocacy archive.
Taxes are part of the solution. But they are the last and weakest step in the chain of actions available to us.
Why tax does not fix this
Tax does not touch the social dynamics or the addictive behaviour. It is easy to implement, it adds to government revenue, and it is almost never ring-fenced to address the underlying cause.
Worse, it gives government an incentive to keep the industry alive — and it hands lobbyists a permanent argument about lost tax revenue, which they use to push back on every other measure. The cost simply moves to the consumer, like a tariff, and finds its way into the payout structure.
In an industry with enormous turnover, holding cash is itself a source of revenue. A higher tax rate may be considerably less painful to an operator than it looks — consider how long they can hold the money before paying it over.
What is actually needed
- Tougher restrictions on advertising and on sports sponsorship.
- Access and location controls.
- An end to perverse incentives and promotions — the “risk-free betting” offers that saturated the last Rugby World Cup.
- Restrictions on promotion by social media influencers and retired sports personalities.
- Public education on why and how to avoid gambling in the first place.
- More public figures speaking about the dangers, more community activism, and no-gambling education for young people — as we once did with smoking.
- Reframing the language: legislate that it be called gambling, not “gaming” — and address how gambling mechanics are being built into children’s games through loot boxes and the rest.
This is not an economic issue
It is disheartening that a national gambling crisis is being discussed almost entirely in economic terms — losses to the economy, tax, household debt — and not in social, ethical or moral ones.
Many people, politicians included, have become interested only now that it reaches their pockets and the economy, having been untroubled while it devastated families, individuals and communities for decades.
Gambling, like alcohol, contributes heavily to domestic violence, particularly against women and children. Gambling debt drives financial crime and fraud. Gambling has contributed to our mental health crisis.
This is not “a little fun”. It is an industry that thrives on addiction and desperation, and bleeds families with roughly the concern a dealer has for keeping a customer alive enough to buy again.
Withdraw the support it depends on
There is far more harm than good here, and we should stop supporting it in every way. Socially stigmatise the industry. Do not accept its sponsorship. Do not rent it space for operations or advertising. Do not sell its products, vouchers included. Do not do business with those who enable it. Do not work in it.
Until we address the root causes and cut out the tentacles, tax is close to useless. Civil society, communities, religious organisations and legislators need to act on this collectively, not independently.
Government punts new 20% tax on online betting — News24, 25 November 2025.
If gambling is affecting you or someone close to you, SADAG can be reached on 0800 567 567 and the National Responsible Gambling Programme counselling line on 0800 006 008.
Related
How Civil Society in Durban Is Tackling Online Gambling · South Africa’s Gambling Problem Can Be Beaten · Shifting Focus From Consequences to Prevention
Shared by the South African Muslim Network (SAMNET) in the interest of tackling the social impact of our gambling and related crises.
