In a discussion with iGB, Sean Coleman, CEO of the Association of South African Bookmakers (SABA), clarified his organization's stance on the fight against illegal gambling in South Africa. Coleman emphasized that this effort remains in the advocacy and stakeholder engagement phase. "At this stage, it remains largely within the advocacy and stakeholder engagement phase," he stated. He noted that the purpose of their recent statement was to engage constructively in what he views as a critical national policy discussion, rather than to imply that legislative changes were imminent.
Coleman highlighted that South Africa is struggling not due to a lack of laws against illegal online gambling, but rather due to insufficient regulations that enable effective enforcement. SABA's July statement included proposals for six legislative changes, involving amendments to the National Gambling Act, the Electronic Communications Act, and the Financial Intelligence Centre Act, along with a call for coordinated action from the Reserve Bank and other regulators.
The extent of the issue is alarming. A report by Yield Sec, commissioned by SABA, estimated that illegal gambling operators made up about 62% of online gambling activity in South Africa. This results in over R50 billion in gross gambling revenue being funneled offshore annually, with around 16 million South Africans engaging with illegal gambling platforms in the previous year.
Coleman pointed out that the comprehensive nature of these proposed reforms necessitates a coordinated response. "Our proposals touch on gambling regulation, electronic communications, payment systems and financial intelligence legislation, which means that a coordinated approach will ultimately be required," he remarked.
SABA welcomed the National Gambling Board's (NGB) recent request for expressions of interest from service providers to monitor and block illegal gambling websites, published on June 30, with submissions due by August 7, 2026. However, Coleman noted that SABA has not received any further information beyond what was disclosed in the public tender. "Our understanding is that the National Gambling Board has commenced a procurement process for specialized services aimed at strengthening its capabilities in identifying and responding to illegal online gambling activities," he said, adding that there had been no updates on operational timelines or implementation details.
Coleman also acknowledged the potential role of technology in addressing illegal gambling. "This reflects an acknowledgment that technology must form part of any meaningful enforcement strategy," he said. However, he cautioned against viewing technology as a singular solution. SABA advocates for a multifaceted approach combining technology, legislation, and coordinated enforcement strategies. "Website blocking, while important, should not be viewed as a silver bullet," he asserted. Coleman argued that effective technological interventions could be a vital part of a comprehensive enforcement strategy rather than a standalone fix.
Since SABA's statement, there has been no direct dialogue with the Internet Service Providers’ Association (ISPA). Coleman noted that ISPA's position paper, released on July 2, stressed that any internet service disruption should follow a clear legislative framework. "Not that I am aware of," he replied when asked if ISPA had engaged directly since the statement.
Coleman reiterated that ISPs should not be solely responsible for tackling illegal online gambling. "Our position has never been that ISPs should bear sole responsibility for combating illegal gambling," he explained. He envisions a framework where legally mandated interventions are supported by legislative provisions and other enforcement mechanisms. Coleman maintained that the discussion should focus not just on the feasibility of blocking but also on developing a sound enforcement model in South Africa involving collaboration among government, regulators, and industry stakeholders.
Regarding the differences between South Africa's situation and that of countries like Australia, Coleman referred to the complexity of the regulatory structures in South Africa. "Firstly, gambling regulation is a concurrent competence in South Africa," he noted, stating that gambling can operate under multiple provincial licensing frameworks, unlike countries that benefit from a single national licensing authority for online gambling.
He also pointed to the sophisticated strategies employed by illegal operators to localize their services, such as offering local language support and payment options, which complicate enforcement. Additionally, socio-economic factors in South Africa can make consumers more susceptible to the allure of gambling as a source of financial relief. "Consumer education therefore becomes critically important," he emphasized.
Coleman highlighted that the presence of cross-border payment systems and cryptocurrencies introduces further challenges in enforcement, making it easier for illegal operators to shift their services when action is taken against them. He contended that better-informed consumers, combined with limited access to illegal operators, would make such platforms far less attractive.
If required to prioritize a single intervention, Coleman suggested focusing on creating a robust mechanism to prevent consumer access to illegal gambling websites through coordinated technological efforts. He suggested this should be complemented by a regularly updated public register of licensed operators and an expanded consumer awareness campaign. He acknowledged that immediate action was critical to protect consumers while broader legislative reforms are pursued.
Coleman rejected the notion that SABA's efforts are aimed at protecting its members from competition. "This is not a debate about protecting licensed operators from competition," he asserted, insisting that the goal is to ensure consumers receive the protections intended by the regulatory framework. "If consumers are gambling, they should do so within a regulated environment that provides responsible gambling safeguards and operates under South African law."
