Gambling Law: How It Works in Canada, UK, USA and Australia

Gambling laws vary worldwide, balancing regulation and player safety differently in each region.

In Canada, gambling is regulated by provinces under the Criminal Code, in the UK, by the national Gambling Commission, in the USA, by individual states, and in Australia, most online casino games are banned. Here we compare licensing, taxation, and player protections across all four regions.

Canadian Gambling Laws

Canada’s gambling industry, for example, operates under a framework that prioritises both innovation and responsibility, with regulations addressing the complexities of land-based and online gambling. Provincial bodies ensure operators comply with strict standards to protect players while encouraging growth and diversity.

As digital platforms expand, Canada remains committed to fostering safe gambling practices. To better understand how to navigate secure platforms, browse this insider’s handbook to safer gambling choices, which offers practical insights on online casino Canada options. With its extensive reviews and curated lists of verified platforms, this page supports players in navigating secure and responsible gambling online.

Current State of Gambling in Canada

70% +

Recent national surveys show that more than 70% of adults gambled in the past year, with participation driven increasingly by digital access and sports betting. Canada ranks 8th globally in online gambling revenue, trailing behind leaders like the United States, China, and the United Kingdom.

$15.59B 2025 $17.92B 2030

Market Growth Projection

Canada is now among the world’s top online gambling markets, with Statista projecting US$15.59 billion in total gambling revenue for 2025 and a market volume of US$17.92 billion by 2030 (CAGR 2.82%).

$9.25B

Oct 2025

Ontario’s iGaming Market

Ontario’s iGaming market – the country’s only fully competitive online model – reported $9.25 billion in wagers in October 2025 alone, continuing a three-month streak of record activity.

$110M+

Annual investment

9-10%

Problem Gambling Rate

  • Canadian provinces spend about $110 million annually on gambling addiction research, prevention, and treatment, with addiction rates at 0.7–1.4% of gamblers.

Provinces collectively invest over $110 million per year in prevention and treatment, yet new MHRC–Greo research shows that 9–10% of gamblers now meet PGSI problem-gambling criteria, driven largely by online play.

Gambling Legislation in Canada

Gambling in Canada is framed by the Criminal Code, which delegates authority to the provinces. That structure has created a patchwork of regional systems, from government-run lottery platforms to Ontario’s competitive online market, each with its own licensing rules and consumer protections.

While the Code prohibits gambling unless conducted or managed by a province, every region has built its own model for lotteries, casinos, sports betting, and online play. This flexibility allows provinces to integrate public-health policies, economic goals, and consumer-protection measures directly into their regulatory systems.

What Gambling Regulators Operate

Each province operates through dedicated gaming or lottery authorities responsible for licensing, compliance, consumer protection, and oversight of responsible-gambling programs. Their shared purpose is simple: protect players, keep gambling fair, and ensure operators follow the law.

Examples of provincial regulators:

  • British Columbia Lottery Corporation (BCLC)
  • Western Canada Lottery Corporation (WCLC)
  • Manitoba Liquor & Lotteries
  • Gaming Policy and Enforcement Branch (BC)
  • Alcohol and Gaming Commission of Ontario (AGCO)

Overall, these bodies share the same core goals:

  • Protecting the public from the most harmful effects of gambling
  • Ensuring games are fair and systems are secure
  • Controlling where gambling happens and how large venues can be
  • Approving the types and number of games offered
  • Monitoring financial flows and preventing money laundering
  • Maintaining robust investigation, security, and surveillance across both land-based and online environments.

These agencies supervise operators, enforce standards, and maintain responsible-gambling programs built for local needs.

Which Taxes on Gambling Winnings Exist in Canada

Recreational gamblers do not pay tax on winnings. The Canada Revenue Agency only taxes gambling income when winnings stem from business-like gambling activity, such as professional play or activities that resemble employment.

Types of Gambling Popular in Canada

The most widely used products in Canada remain lotteries and instant games, with more than half of adults buying a lottery or raffle ticket at least once a year. Sports betting has expanded quickly since single-event wagering became legal, especially in provinces that promote online sportsbooks.

Casino gambling, both land-based and online, continues to attract a broad audience, with slots, table games, live dealer titles and bingo among the main draws. Video lottery terminals (VLTs) and charitable gaming (for example, bingo nights and raffles) play an important role in some regions.

Among younger adults, recent work from Greo, CCSA and MHRC shows a meaningful shift towards online casino games and sports betting. About one in three young adults (32%) reported gambling online, and that group is more likely to report financial, emotional and relationship harms than those who stick to traditional lottery play.

Casino Revenues and Shift to Online Gambling

Over the last decade, many Canadian land-based casinos have seen flat or declining revenues, a trend amplified during the COVID-19 pandemic when venues were closed or operating under restrictions. Several operators responded by emphasising digital products through provincial platforms like PlayNow and PlayAlberta or by supporting the launch of regulated iGaming in Ontario.

Statista’s 2025 data show that online channels now account for a growing share of gambling revenue in Canada (excluding lotteries), with average revenue per online user climbing over time. In parallel, offline revenue has recovered but not at the same pace as the digital side.

For players, this shift reflects convenience as much as anything else. People can now play from home, on mobile, and compare odds and offers in a way that was impossible when only physical venues and paper slips were available.

Is Online Gambling Popular in Canada?

Online gambling participation continues to rise across every age group. According to MHRC’s 2025 national survey, more than one in five Canadians gambled online in the past year, with young adults (18–29) showing the steepest growth.

Online play is riskier than all other gambling forms. National research shows online gamblers are:Online play is riskier than all other gambling forms. National research shows online gamblers are:

  • ~10× more likely to exceed safer-gambling limits
  • ~45× more likely to meet PGSI criteria for problem gambling
  • ~20× more likely to experience serious financial or emotional harm

Even provinces without open markets, like BC and Quebec, report similar online gambling participation due to widespread access to offshore sites.

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Gender Participation

The gender distribution of gamblers remains relatively balanced in Canada, with 54% male and 46% female participation. However, certain activities, such as sports betting, are more popular among men, while women show higher participation in bingo and instant lottery games.

Responsible Gambling in Canada

Canada often describes itself as a leader in responsible gambling, and there’s some truth to that. Provinces collectively invest more than $110 million a year in prevention, treatment, and research. But recent conversations in Ontario, especially from frontline clinicians, show a more complicated picture. Demand for support is rising, and it remains surprisingly difficult to understand how much money is truly flowing toward problem-gambling services.

In Windsor, the outpatient program at Hotel-Dieu Grace Healthcare has faced one of the sharpest increases. Its caseload has nearly doubled in five years – from 84 people in 2018–19 to 173 in 2023–24, with 169 clients already recorded by July 2025 alone. For CEO Bill Marra, the trend is impossible to ignore. He has described the situation as “a public health crisis for those most affected,” noting that clinicians are seeing:

  • Relationships fractured by secrecy and debt
  • Families under intense strain
  • Growing financial hardship, including bankruptcies linked to gambling losses.

To support safer play, provinces, nonprofits, and treatment providers offer a wide range of tools:

  • GameSense (BC, Alberta, Manitoba) – Advisors and kiosks help players understand odds, budgets, and risk patterns.
  • PlaySmart Centres (Ontario) – On-site guidance in casinos and bingo halls using demos, videos, and staff support.
  • Digital tools and CBT-based apps, including deposit, loss, and time-limit features built directly into operator platforms.
  • Online peer communities like GamTalk, where people share stories, coping strategies, and encouragement.
  • RecoverMe, a CBT-based mobile app that is free for Canadians using the RECOVERME100 code.

Youth prevention work is also expanding. The Responsible Gambling Council and Greo Evidence Insights are developing a multi-year education framework for young people, beginning with Grade 11–12 students and later moving into earlier grades. Early survey work with more than 1,000 youth aged 12–25 shows high exposure to gambling marketing and increasing normalisation of betting in social settings. This initiative is supported by the Ontario Ministry of Health.

Helplines and Resources

Here are the national and provincial supports people use most often:

National Online Resources

  • Find a Gambling Counsellor – Free and confidential services across Canada
  • GamblingTherapy.org – Global online support and advice
  • GamTalk – Anonymous peer discussions
  • RecoverMe App – CBT and mindfulness tools for urge management

Provincial and Territorial Helplines

  • Alberta – 1-866-461-1259
  • British Columbia – 1-888-795-6111
  • Quebec – 1-800-461-0140
  • Manitoba – 1-800-463-1554
  • Newfoundland & Labrador – 1-888-899-4357
  • New Brunswick – 1-800-461-1234
  • Northwest Territories – 1-800-661-0844
  • Nova Scotia – 1-888-429-8167
  • Nunavut – 1-800-265-3333
  • Ontario – ConnexOntario 1-866-531-2600 (24/7, multilingual, can book first appointments)
  • Prince Edward Island – 1-855-255-4255
  • Saskatchewan – 1-800-306-6789
  • Yukon – 1-866-456-3838

For broader mental-health resources:

CAMH (Centre for Addiction and Mental Health) – camh.ca | 1-800-463-2338.

Local addictions services, which ConnexOntario and other helplines can connect you to directly.

Regional Specifics of Gambling Laws in Canada

All legal casinos and online platforms must hold a valid licence or operating agreement from the relevant provincial or territorial authority. Most provinces now allow both land-based and online gambling, although models differ:

Province
Land-Based Gambling
Online Gambling
Key Regulations
Ontario
The province with the highest gambling revenue, offering a mix of private and public casinos.
Online gambling is regulated through iGaming Ontario, allowing private operators to enter the market alongside government platforms.
Ontario leads the way in modernized gambling laws, with strict licensing and high consumer protections.
Quebec
Home to 9 land-based casinos; legal gambling age is 18+.
Residents can gamble at the government-run Espacejeux or offshore platforms.
Single-event sports betting is permitted. Parlay-only rules no longer apply.
British Columbia
Offers 15 land-based casinos, regulated by the BC Lottery Corporation.
PlayNow BC is the only provincial online platform, but international gambling sites are widely used.
Single-event sports betting is allowed. Parlay-only requirements are outdated.
Alberta
25 land-based casinos are accessible to players aged 18+.
Online gambling is permitted through Play Alberta, but offshore sites remain popular.
Single-event sports betting is legal. No daily cap exists
Manitoba
Offers both land-based and online options through PlayNow Manitoba.
Residents are free to use international platforms.
Single-event sports betting is allowed. The $250 daily cap is outdated.
Saskatchewan
Land-based casinos are legal. Online casinos are available through PlayNow Saskatchewan since 2022
Residents often access casinos in neighboring provinces or international platforms.
Single-event sports betting is legal. Parlay-only rules are no longer accurate.
canada

Ontario Legislation

Ontario now accounts for roughly one-third of all Canadian gambling revenue, and its regulatory model is influencing other provinces.

As of the full 2024–25 fiscal year, the province’s competitive iGaming market recorded:

  • $82.7 billion in wagers (excluding bonuses), up about 31% from the previous year
  • $3.2 billion in gaming revenue, up about 32%
  • 49 registered operators offering 84 gaming websites
  • Casino games accounting for the majority of wagers and revenue, followed by sports betting and peer-to-peer poker

Ontario’s legal framework includes:

  • The Gaming Control Act (1992)
  • The Ontario Lottery and Gaming Corporation Act (1999)
  • The Alcohol and Gaming Regulation and Public Protection Act (1996)
  • The Racing Licence Act (2015)
  • The iGaming Ontario Act (2021), which created the conduct-and-manage model that lets private operators offer online gambling under provincial oversight

The main public bodies are:

  1. Alcohol and Gaming Commission of Ontario (AGCO) – the regulator that licenses operators and suppliers and sets technical and responsible gambling standards.
  2. iGaming Ontario – the agency that conducts and manages the online market through operating agreements with private companies.
  3. Ontario Lottery and Gaming Corporation (OLG) – the Crown corporation that operates land-based casinos, charitable gaming and OLG.ca.

According to recent Ipsos research commissioned by iGaming Ontario and AGCO, 83.7% of Ontarians who gamble online say they mostly use regulated sites, although 20.2% of them also continue to play on unregulated platforms. Channelisation is high by international standards, but not yet complete.

iGaming Ontario’s Competitive Edge

iGaming Ontario’s approach has turned the province into a model for regulated markets in North America, balancing consumer choice with strong player protections.

For the 2024–25 fiscal year:

  • Casino games (slots, live and RNG table games, peer-to-peer bingo) generated about $69.6 billion in wagers and $2.4 billion in revenue
  • Betting (sports, esports, proposition and novelty bets, exchange betting) accounted for $11.4 billion in wagers and $724 million in revenue
  • Peer-to-peer poker produced $1.7 billion in wagers and $66 million in revenue

The market continues to set monthly records, and Ontario now publishes detailed monthly Excel data sets so researchers, journalists and the public can follow trends by product category.

This regulated environment aims to ensure:

  • Fair games independently tested by registered labs
  • Secure deposits and withdrawals with robust AML and KYC processes
  • Clear tools for self-exclusion, deposit and loss limits and time-out options
  • Advertising and inducement rules designed to reduce pressure on vulnerable groups

Alberta’s upcoming market is widely expected to follow a similar structure, with AGLC as regulator and a new Alberta iGaming Corporation as conduct-and-manage body. The exact tax rate, advertising standards and launch date are still being finalised, and many operators now expect a Q2 or Q3 2026 opening rather than early 2026.

Legal Consequences of Violating Gambling Laws in Canada

Although gambling is legal in Canada, running unlicensed casinos or betting operations, or participating in illegal gambling activities, can lead to criminal charges under the Criminal Code. Cases begin with an arraignment, where the accused hears the charges and enters a plea. From there, the Crown attorney (prosecutor) pursues the case based on evidence gathered by police and regulators.

How Gambling Offences Are Handled by the Courts

Canadian courts have several tools depending on the seriousness of the offence:

  • Fines, probation, or conditional sentences (house arrest) for less serious or first-time violations
  • Intermittent sentences for short jail terms served on weekends, combined with probation during the week
  • Custodial sentences for repeated or large-scale illegal gambling operations

Courts may also issue peace bonds (section 810), requiring individuals to “keep the peace” under set conditions. Breaching a peace bond can result in new charges.

First-time or minor offenders may qualify for diversion programs, completing counselling or community service in exchange for having charges withdrawn. A charge that is stayed is paused for up to one year and can be reactivated if the person reoffends.

Bail, Sureties, and Ongoing Supervision

In some cases, an accused person may be released on bail with a surety – someone who supervises them and ensures compliance with bail conditions. If the accused breaches those conditions, the surety risks losing the pledged money. Canada’s sentencing approach emphasises proportionality, rehabilitation, and public safety, reserving the harshest penalties for organised or repeat illegal gambling activities.

How to Get a Gambling License in Canada

Canada does not have a single national gambling license. In most provinces (e.g., British Columbia, Quebec, Manitoba, Atlantic Canada), gambling is offered directly through Crown corporations, and private companies may participate only as registered suppliers or service providers. These suppliers must register with local regulators and meet technical, financial, and integrity requirements.

Ontario, however, introduced a competitive licensing model in 2022. Private online gambling companies must:

  • Register with the Alcohol and Gaming Commission of Ontario (AGCO)
  • Sign an operating agreement with iGaming Ontario (iGO)
  • Meet strict responsible-gambling, AML, cybersecurity, and testing requirements

This effectively functions as a formal licensing system.

The Kahnawake Gaming Commission also operates a long-standing licensing regime for online gaming, issuing permits since 1999 to international operators hosted within its jurisdiction.

Private businesses across Canada cooperate with provincial regulators as suppliers of equipment, software, and operational services. All such companies must undergo background checks and ongoing compliance monitoring.

Each province applies its own rules for authorisation, registration, and contracts. For example:

  • British Columbia does not license private casinos, but charitable and community gaming events require specific classes of permits.
  • Saskatchewan launched PlayNow Saskatchewan in 2022, operated by SIGA under a conduct-and-manage agreement, marking the province’s first regulated online casino.
  • Alberta permits third-party partnerships through Play Alberta and is planning a competitive iGaming framework similar to Ontario’s for 2026.

Most permits at the provincial level are valid for one year and require renewal with ongoing compliance obligations.

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Laws on Gambling in the USA

The United States has one of the most diverse gambling industries globally, with lotteries, casinos, sports betting, and other forms of activities contributing significantly to the economy. Regulations vary greatly across states, as each state governs its gambling activities independently. Federal oversight mainly focuses on interstate or illegal gambling operations. 

What Authorities Regulate Gambling in the USA

Gambling in the US is regulated by both federal and state authorities:

  • Federal Oversight: Federal laws, including the Indian Gaming Regulatory Act (1988), the Federal Wire Act (1961), and the Unlawful Internet Gambling Enforcement Act (UIGEA, 2006), set overarching rules, with enforcement primarily targeting illegal interstate and unlicensed operations. The 2018 Supreme Court decision to overturn PASPA empowered states to legalise sports betting individually.
  • State Authority: Each state decides what forms of gambling are allowed, including casinos, sports betting, and lotteries. State gaming commissions oversee licensing and compliance.
  • Native American Casinos: The Indian Gaming Regulatory Act permits tribal casinos on Native American lands under agreements with states.

Types of Gambling Taxes in the USA

Winnings from gambling are completely taxed in the US, and the Internal Revenue Service (IRS) has mechanisms in place to ensure that it receives its fair share. It’s not only about gambling at casinos. Lotteries, horse races, off-track betting, sweepstakes, and game shows winnings are all taxed.

  • Federal Taxes: All gambling winnings are considered taxable income. The IRS may withhold 24% on certain large wins, such as lottery prizes over $5,000 or slot machine jackpots over $1,200, depending on the type of game and amount. Players are required to report all winnings regardless of the amount.
  • State Taxes: Tax rates vary significantly. States like Nevada, Florida, and Texas impose no personal income tax on gambling winnings, while states like New York and New Jersey may tax winnings up to 8–10%, potentially resulting in a combined tax burden near 40% in high-tax states.
  • Maximum Combined Tax: Federal and state taxes on winnings can reach up to 40%, depending on the state.

States with lenient tax policies include Nevada, Texas, and Florida. California does tax gambling winnings under state income tax rules, except for its state lottery prizes.

Peculiarities of the US Gambling Laws

Land-based casinos, charity events, sports betting, lottery, keno, bingo, and skill games all have different laws depending on the state.

State-specific gambling laws govern all forms of gaming activities, including land-based casinos, charity games, sports betting, lotteries, and more. As of 2025, all U.S. states except Utah and Hawaii have legalized at least one form of gambling.

State
Legal Gambling Activities
Year Legalized
Notes
New Jersey
Online sports betting, online casinos, online poker
2013
Largest gambling market in the U.S.; over 10 legal online casino and poker sites available.
West Virginia
Online sports betting, online casinos, online poker
2018 (sports), 2020 (casinos, poker)
Online casinos and poker legalized in 2020.
Pennsylvania
Online sports betting, online casinos, online poker
2019
Operators include DraftKings, FanDuel, and Unibet.
Iowa
Sports betting
2019
Online casinos and poker rooms remain banned.
Indiana
Sports betting
2019
Both online and offline betting allowed; operators include DraftKings and FanDuel.
New Hampshire
Online sports betting
2019
DraftKings operates exclusively; online casinos and poker rooms are banned.
Nevada
Sports betting, online poker
2010 (online poker)
Sports betting monopoly for over 20 years; online poker legalized in 2010.
Delaware
Online sports betting, online casinos, online poker
2013
Online casinos and poker legalized in 2013.
Rhode Island
Online sports betting, online casinos, online poker
2019 (sports), 2023 (casinos/poker)
Online casinos and poker legalized in 2023.
Oregon
Online sports betting
2019
Online casinos and poker rooms are banned.
Michigan
Online sports betting, online casinos, online poker
2021
All forms of online gambling legalized.
Colorado
Online sports betting
2019
Online casinos and poker rooms under consideration.
Montana
Online sports betting
2019
Operated by Intralot; online casinos and poker rooms banned.
Tennessee
Online sports betting
2020
First online sportsbooks launched in 2020.
Illinois
Online sports betting
2019
Online betting launched in 2020.
Connecticut
Online sports betting, online casinos, online poker
2021
Full online gambling legalized with tribal partnerships.
Massachusetts
Sports betting (online and retail)
2023
Online and retail sportsbooks launched in 2023.
Kentucky
Online sports betting
2023
Became legal in 2023, now operational.
Utah
None
Gambling is completely banned due to religious beliefs.
Hawaii
None
Gambling banned to preserve the community atmosphere.

Gambling Licensing in the USA

In states where gambling is permitted, licensing is tightly regulated to ensure fairness and prevent illegal activities. State gaming commissions oversee the application process, which often involves extensive background checks, financial disclosures, and compliance with specific rules for casinos, lotteries, and other activities.

Authorities like the Nevada Gaming Control BoardNew Jersey Division of Gaming Enforcement, and Pennsylvania Gaming Control Board are examples of agencies responsible for issuing licenses and ensuring compliance. Failure to comply with licensing regulations can result in heavy fines, suspension of operations, or criminal charges.

Non-Compliance and Legal Consequences

Operating without a license or violating gambling laws can lead to severe penalties. These include:

  • Heavy fines and asset forfeiture.
  • Prison sentences for repeated or severe offenses.
  • Loss of personal or professional licenses.
  • Public blacklisting and revocation of operator licenses by state gaming boards.

Individual players are rarely prosecuted, with enforcement focusing on illegal operators. Regulators prioritize monitoring operator conduct, including AML compliance, responsible gambling tools, and suspicious betting activity.

The UK Legal Framework for Gambling Regulation

The UK has legalized gambling and developed comprehensive laws to regulate the industry. The Gambling Act 2005 made gambling and online casinos legal, and the Gambling Commission was established in 2007 to oversee the industry.

The Gambling Act 2005 remains the foundation of gambling law in the UK, but a major government White Paper published in 2023 introduced significant reforms aimed at strengthening consumer protections in the digital era. Many of these reforms began rolling out between 2024 and 2025.

Gambling is closely monitored in the UK, with strong consumer protections. Operators are required to obtain licenses and adhere to strict regulations. The advantages of online casinos in the UK include:

  1. Promotions and bonuses that guarantee transparency and payouts for players.
  2. Mandatory licensing, ensuring safety and fairness.
  3. Large prize funds for various games.

Is Gambling Legal in the UK?

Yes, gambling is legal in the UK for both residents and visitors. The United Kingdom Gambling Commission (UKGC) regulates all types of gambling, including online and land-based activities. Established by the Gambling Act 2005, the UKGC oversees the licensing and regulation of operators, ensuring player protection and industry fairness.

Operators offering services such as sports betting, casinos, bingo, arcades, lotteries, or gaming machines must obtain a UKGC license. Depending on the type of operation, businesses may require one or more of the following licenses:

  • Operating License: For running gambling activities.
  • Personal Management License: For key individuals in management roles.
  • Personal Functional License: For front-line staff.

Additionally, premises used for gambling must have a license from the local licensing authority. For low-level gaming, such as small lotteries or gambling in bars, local agencies also issue specific permissions.

Gambling Winnings Subject to Taxation in the UK

Gambling winnings are not taxed in the UK, allowing players to keep all their earnings. Unlike other countries where players must pay taxes on their winnings, the UK government taxes gambling operators instead. Key points include:

  • Operators pay a 21% remote gaming duty on profits.
  • Betting shops, casinos, and online operators contribute significant revenue through taxes and licensing fees.
  • These taxes are indirectly accounted for in the odds offered to players.
  • A new statutory levy on gambling operators is expected to come into effect following the 2023 White Paper, requiring contributions to fund research, education, and treatment of gambling harms.

Permitted Types of Gaming and Gambling Operators in the UK

Type
Description
Licensing Requirements
Casinos
– Includes online and physical casinos.
– Restrictions on locations and games for physical ones.
– Must have a license from the Gambling Commission.
Betting
– Covers fixed-odds, pool betting, and intermediaries.
– Popular for sports like horse racing and football.
– Requires a Gambling Commission license to operate legally.
Arcades
– Three types:
1. Adult Gaming Centres (AGCs): Adults only.
2. Licensed Family Entertainment Centres (FECs): Open to families.
3. Unlicensed FECs (UFECs): Family-friendly but no Gambling Commission license.
– AGCs and FECs need Gambling Commission licenses.
– UFECs need local permissions.
Gaming Machines
– Includes slot machines, fruit machines, and betting terminals.
– Found in pubs, arcades, and casinos.
– Requires a license.
– Operators must show odds and return-to-player (RTP) rates.
Lotteries
– Includes the National Lottery, Health Lottery, and Postcode Lottery.
– Also covers international games like EuroMillions.
– National Lottery needs a specific license.
– Others need local or Gambling Commission approval.

Gambling Law Restrictions in the UK

The UK has implemented strict gambling laws to protect vulnerable individuals and ensure fair practices across the industry. These regulations cover advertising, age verification, self-exclusion systems, and financial safeguards.

  • The Gambling Commission enforces rules to prevent underage gambling, requiring ads to avoid bright colours, cartoon characters, and terms like “free spins” that appeal to minors.
  • All gambling platforms must verify users’ ages through official IDs before granting access.
  • Operators are required to record user transactions, use Random Number Generators (RNGs) for fair gameplay, and undergo annual independent audits.
  • Credit card use for gambling has been banned since April 2020, except for in-person lottery ticket purchases, as studies show credit card users face higher addiction risks.
  • GAMSTOP enables players to block access to all licensed gambling sites with a single application, supporting efforts to reduce gambling harm.
  • Fixed-Odds Betting Terminals (FOBTs) have a £2 maximum stake, and remote gaming tax increased to 21% in 2019 to protect players and generate public revenue.
  • Operators must follow strict anti-money laundering (AML) regulations, identifying and reporting suspicious activities to ensure safer practices.
  • Following the 2023 White Paper, new affordability checks have been introduced, including soft credit checks for players with high levels of losses (e.g. £1,000 in 24 hours).
  • Stake limits for online slots are expected to be introduced in 2025, potentially between £2 and £15 per spin, with lower limits for players aged 18–24.
  • A new independent Gambling Ombudsman is being established to handle player complaints and ensure operator accountability.

Gambling Law in Australia

Gambling is legal in Australia but tightly regulated. Australians can legally participate in land-based gambling and online sports betting and lotteries offered by licensed local operators. Online casino games, such as slots and poker, are banned when offered to Australian players. Players are not penalized for accessing illegal offshore sites, but the government discourages this due to a lack of consumer protections.

Gambling Regulators in Australia

Gambling regulation is managed at both Commonwealth and State/Territory levels:

  • Queensland: Office of Liquor and Gaming Regulation
  • Australian Capital Territory: ACT Gambling and Racing Commission
  • New South Wales: Liquor and Gaming NSW
  • Northern Territory: Licensing Commission
  • Victoria: Victorian Gambling and Casino Control Commission (VGCCC)
  • South Australia: Consumer and Business Services (Liquor and Gambling Commissioner)
  • Tasmania: Tasmanian Gaming Commission
  • Western Australia: Department of Local Government, Sport and Cultural Industries & Gaming and Wagering Commission

The Interactive Gambling Act 2001 regulates online gambling. Amendments in 2017 introduced additional licensing requirements and protections for players. Further amendments and enforcement powers have been introduced through 2023–2024 reforms. The Act prohibits:

  • Unlicensed iGaming products offered to Australians
  • Offering interactive gambling products (e.g. online casino games) to Australians unless licensed, and prohibits certain advertising of such services

As of 2025, online casino games such as poker and roulette remain banned for Australian players. Online sports betting, horse racing, and lotteries are permitted through locally licensed providers.

Foreign operators must obtain a local license to legally offer services to Australians. ACMA (Australian Communications and Media Authority) actively blocks unlicensed gambling websites and has restricted access to over 1,300 illegal sites since 2019.

Taxes on Gambling Winnings in Australia

Winnings are not taxed, as gambling is viewed as entertainment rather than a professional activity. Applicable taxes include:

  1. Sales tax on lotteries and bookmaking.
  2. Net income tax on activities like online poker.
  3. Player’s loss tax for sports betting and casinos.
  4. Licensing fees for operators.

Players do not pay tax on gambling winnings in Australia. Gambling operators are subject to various taxes and duties, including state-level Point of Consumption Taxes (PoCT), wagering turnover taxes, and licensing fees. The government earns revenue from operator taxation, not player winnings.

Australian Gambling Legislation Specifics

Gambling is widespread in Australia, with around 78% of adults participating in some form of gambling annually (2022 data). In 2022–23, Australians lost over A$31.5 billion on gambling – an all-time high.

The Interactive Gambling Act 2001 restricts Australian companies from offering online services locally but allows registered operators to serve international markets.

The IGA prohibits Australian companies from offering online casino-style services domestically and applies to all operators targeting Australian consumers. Registered operators can serve other countries only where permitted under those countries’ laws.

Gambling License Regulations in Australia

Licensing requirements vary by state. Applicants must:

  • Cooperate with law enforcement.
  • Ensure secure transactions and AML/CTF compliance.
  • Hire qualified, accredited staff.
  • Protect users’ personal data and ensure fair play.
  • Implement responsible gambling measures, including deposit limits and mandatory exclusion options.

Obtaining a gambling license in Australia requires compliance with strict state-specific regulations and thorough preparation.

In August 2023, Australia launched BetStop – the National Self-Exclusion Register. It allows players to exclude themselves from all licensed online and phone wagering services nationwide. This is a major step in strengthening consumer protection across the country.

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Gambling Laws: Canada vs. International Approaches

Different countries regulate gambling in distinct ways, reflecting their economic priorities and public-health goals.

United States

The U.S. system is highly fragmented. Each state sets its own rules, leading to a patchwork of legal online casinos, sports betting markets, and complete bans. Federal laws like the Wire Act and UIGEA add oversight but do not create national standards. Gambling winnings are fully taxable: 24% federal tax, plus additional state taxes where applicable.

United Kingdom

The UK operates one of the world’s most structured gambling regimes. The UK Gambling Commission licenses all operators, enforces strict consumer-protection rules, and bans credit-card gambling. Players pay no tax on winnings, while operators pay a 21% Remote Gaming Duty. Reforms from the 2023 White Paper continue to tighten affordability checks and advertising rules.

Australia

Australia permits land-based casinos, sports betting, and lotteries, but online casino games remain prohibited under the Interactive Gambling Act. Australians are not taxed on gambling winnings unless they qualify as professional gamblers. The regulator actively blocks offshore illegal sites, and the national BetStop self-exclusion register was introduced in 2023.

Canada

Canada’s system combines provincial autonomy with federal oversight under the Criminal Code. Most provinces offer legal land-based and online gambling, while Ontario operates the only open competitive online market. Winnings are not taxed for recreational players. Provinces collectively invest more than $110 million annually in harm-reduction programs. Ontario remains the largest market, with more than $82 billion in wagers during FY 2024–25.