Report: Ontario’s iGaming’s growth drives job creation, boosts economy0 3 w - images.unsplash.com
The iGaming sector in Ontario is expected to witness significant job growth and contribute to the overall Canadian economy, according to a recent report by Deloitte.
The government-funded study commissioned by iGaming Ontario (iGO) titled Deloitte: Economic Contribution of Ontario's Regulated iGaming Market predicts that the number of jobs in the iGaming industry will nearly double within ten years, offering well-paying positions that provide various benefits to the province.
Apart from the direct economic contributions made by the iGaming market expenditures, the Ontario iGaming industry has the potential to support the development of what is known as "structuring benefits" for the broader provincial economy, the study says.
"The iGaming industry also has the potential to benefit from Ontario's well-established technology clusters, which have been identified as a priority sector for investment attraction in the province," Deloitte said.
Deloitte's research revealed that jobs in the iGaming sector are projected to nearly double by the time Ontario's regulated market for online poker, casino gaming and sports betting reaches its tenth year. Tax revenue from the sector and its overall economic contribution are also expected to nearly triple within the same time frame.
Ontario Attorney General Doug Downey expressed his satisfaction with the province's iGaming market, highlighting its recognition on an international level for providing a safe, legal and competitive landscape while supporting the province's economy.
"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," said Downey in a statement.
"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."
A lucrative and beneficial industry
Deloitte's report also sheds light on the wide-ranging benefits of iGaming. The establishment of iGaming operators in Ontario contributes substantially to the economy by making investments and establishing operational bases.
During the market's initial year, the average salary for an employee in the iGaming industry was $103,000 CAD (~$77,300 USD), indicating the potential for high-value and productive sectors to emerge within an "iGaming economic ecosystem."
This ecosystem could encompass professions like real estate and scientific and technical services, attracting skilled individuals and fostering economic growth.
Ontario's distinction as the first Canadian province to introduce a licensed and regulated iGaming market positions it favorably as a destination for international operators looking to enter the North American market.
Encouraging foreign companies to establish a presence in Ontario and utilize the province as a base for investment and exports will enhance the province's balance of trade, according to Deloitte.
"Acknowledging the regulated Ontario iGaming market is still in its nascency, through research and consultation with iGaming industry stakeholders, a profile has emerged of potential structuring benefits," the consulting firm noted.
Deloitte's calculations reveal that Ontario's regulated iGaming market created over 12,000 jobs and contributed nearly $1.6 billion CAD ($1.2 billion USD) in its first year. The estimated tax revenue generated during this period amounts to $761 million CAD ($571 million USD), with $469 million CAD ($352 million USD) allocated to the provincial government.
Deloitte also anticipates substantial growth in the iGaming sector over the next decade. By the market's fifth year, the report projects the creation of 16,242 jobs, including 2,236 direct positions and 10,768 indirect jobs, contributing to the economy.
By its tenth year, Ontario's iGaming sector is expected to support 22,132 jobs, with 2,836 direct jobs, 14,824 indirect jobs, and an additional 4,472 induced jobs. This growth is predicted to generate significant tax revenue for both the provincial and federal governments.