Minister of Trade,Industry and Competition,Parks Tau (pictured) told MPs that a study by the National Gambling Board revealed widespread noncompliance in gambling ads.
Gallo Images/ Sharon Seretlo
SA’s government intends to appoint a gambling policy council to improve ad compliance.This follows a National Gambling Board study that showed several companies had used noncompliant ads.This includes those which did not have adequate responsible gambling disclaimers and were aired during family shows like MasterChef.For more financial news,go to the News24 Business front page.Minister of Trade,Industry,and Competition Parks Tau has said that his department will appoint a National Gambling Policy Council after a seven-year absence to investigate marketing in industry.
This comes after a study conducted by the National Gambling Board,which found that several players had shown noncompliant advertisements online or on public platforms,which did not have adequate responsible gambling messages and to which minors were exposed.
Tau was replying to questions from MPs in Parliament on Wednesday.
“The National Gambling Act prohibits the placing of advertisements in media primarily directed at persons under the age of 18. However,the board has noted that advertisements have frequently been aired during family viewing times,including during popular shows like MasterChef and Junior MasterChef,” Tau told MPS.
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The minister also said that ads had been observed on radio streaming platforms,like YouTube,without responsible gambling disclaimers,and that shows for children were regularly sponsored by gambling companies.
“There is an issue of sponsorship of family-friendly programmes,where major bookkeepers sponsor them. This results in the increase of visibility and frequency of gambling content during shows mostly viewed by minors.”
The Gambling Board itself had not convened in a decade after being placed under administration in 2014,with the department beginning the process to appoint new board members and a CEO last year.
The Gambling Policy Council has also not met since 2018,with Tau saying that the appointment will be made “without delay.” Once it is convened,the council aims to improve the enforcement of gambling laws in provinces,he said.
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According to the National Gambling Board’s 2023/24 annual report,R1.1 trillion was wagered or placed on bets during that financial year. Gambling revenue increased by 25% that year to R59.3 billion,with betting generating 60% of that revenue at R35.9 billion and casinos generating 29% of revenue at R17.3 billion.
READ | City Press: South Africans gamble away more than R1 trillion in a year
According to the report,most gambling revenue (nearly a third) was collected in the Western Cape,followed by Gauteng and Mpumalanga.
By comparison,taxes and levies collected from gambling by the administrator were R4.8 billion.
Tau also said that the department would be targeting online gambling ads.
“There is an intention to ensure that we can regulate online gambling. It is an environment where different provinces have different approaches,with some being more relaxed. We also want to ensure that there is rehabilitation of addicts,” he told MPs.
In his foreword to the Gambling Board’s 2023/24 annual report,the minister previously said online betting was mainly unregulated.
“This surge in illegal online gambling activities and the widespread advertising of gambling,often targeting vulnerable populations,has presented new challenges for regulators. The convergence of technology,consumer behaviour,and regulatory frameworks has necessitated a robust response to these challenges,” he said in the annual report.
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