Report: Ontario iGaming Sites Boost Economy & High-Paying Jobs
In modern times, data makes the world go round. Scientific data tells us whether to bring a jacket or an umbrella when we go outside. Marketing data tells companies how and what to promote to increase customer engagement. Fiscal data helps produce a forecast for the economy. For iGaming Ontario (iGO), the lead agency in charge of regulating online gambling activities in the province, such data is proving their efforts worthy.
According to a report compiled by Deloitte, the new iGaming market in Ontario is making a tremendously positive impact. It has opened thousands of sustainable, high-paying jobs all across the province. Ontario’s Gross Domestic Product (GPD) is up nearly $1.6 billion, including more than $900 million in labour income. The facts and figures are impressive, indeed.
Attorney General Doug Downey is especially proud of what iGaming Ontario is accomplishing:
“Over the past year, Ontario’s igaming market has been internationally recognized for creating a safe, legal and competitive landscape while supporting the province’s economy and displacing the existing unregulated market. By driving innovation, creating exciting new opportunities for workers and providing protection and choice for players, this made-in-Ontario market will remain a global leader in this sector.”
Ontario iGaming Sites Boost Economy – Room to Grow
The report, titled ‘Economic Contributions of Ontario’s Regulated iGaming Market‘, focuses largely on the market’s overall economic impact. In the report, researchers combine current data from past years to compare the efficacy of regulation. The results are astounding. The report estimates that Ontario’s new competitive iGaming market generated a staggering $1.58 billion in revenue in its first year (April 2022-April 2023).
That revenue is coming in from multiple sources. Part of it comes from the wagers Ontarians make at iGO-licensed gambling sites, but the majority comes from operators and vendors who participate in the market. Operating costs, licensing fees, taxes – these figures add up to lots of revenue for municipal, provincial, and federal governments. That money gets redistributed into the community by way of infrastructure, schools, senior programs, and more.
Most importantly, that is a source of money that Ontario watched funnel offshore in past years. Prior to local regulation of online casinos, sportsbooks, and poker rooms, most iGamers did their online wagering with international websites. Millions of dollars went to international operators. This new local market isn’t just more beneficial to the economy, it’s able to offer a safer, more secure environment for Ontarians.
Data shows that players are taking so well to the local market, analysts are projecting significant revenue growth in years to come. The first year of activity generated nearly $1.6 billion in GDP. Deloitte predicts that will grow to $2.91 billion in the first 5 years. Researchers further assume the potential to swell as high as $4.73bn by year 10.
iGaming Hosts 12,000 Full-Time, High-Paying Jobs
Ontario’s digital gambling market isn’t just benefiting the government and the lucky winners who participate. Market data indicates that regulation of the industry is producing more than 12,000 employment opportunities. These are all sustainable, full-time jobs, many of which offer above-average pay rates. The report states:
“The regulated iGaming market has also supported approximately 1,800 high-paying jobs in the province, with the average job compensation estimated at $103,000, which is 41% higher than the average job compensation in Ontario.”
This is another area where the province anticipates future growth. Deloitte estimates iGaming employment opportunities to increase to 16,000+ by year 5, and 22,000+ by year 10. Among these, direct employment opportunities – the highest paying variety – should increase from about 1,803 in year 1, to 2,236 in year 5, and 2,836 in year 10.
The data provides further evidence that the majority of strong employment opportunities are coming in the fields of Science, Technology, Engineering, and Mathematics (STEM). With that in mind, let’s take a look at this data from another perspective. Referring back to the revenue figures in the section above, we learned that iGaming contributed $1.58 billion to Ontario’s GDP in the first fiscal year of operation. Of that, Deloitte estimates that $906 million is contributing to labour income.
That’s nearly one million dollars being siphoned directly into Ontarian households, rather than being funneled overseas to international gambling websites that lack local compensation, regulation, or oversight. So when you hear that Ontario iGaming sites are better than the offshore variety, it’s not the government saying, ‘We’re better than them’. It’s a matter of local pride, economic growth, and greater opportunities for all Ontarians.
