New research commissioned by Responsible Wagering Australia indicates that the offshore gambling sector has expanded to an estimated AU$3.9B (US$2.54B), more than doubling its size since 2019. The rapid increase is attributed to the availability of online casino games, live in-play betting and digital wagering products that cannot legally be offered by licensed Australian operators. As a result, offshore platforms continue to attract consumers seeking faster wagering formats, broader game selections and more aggressive promotional incentives.
The study warns that governments at both state and federal levels could collectively lose nearly AU$2 billion in revenue over the next five years if the current trend continues. This includes substantial funding that traditionally supports the racing industry and community sporting initiatives. Analysts project that annual losses may reach AU$585 million by 2029, highlighting the growing financial impact of unregulated operators.
A further concern is the weakening of consumer-protection mechanisms. Research shows that nearly half of Australians who have gambled offshore were registered on BetStop, the national self-exclusion program designed to restrict access to licensed wagering services. This suggests that offshore providers are undermining core safeguards intended to minimise gambling-related harm. Industry figures also warn that some offshore operators may be linked to organised crime groups or operate from jurisdictions with minimal regulatory oversight.
The Australian Communications and Media Authority has issued several warnings to companies found to be offering prohibited gambling services to local users. One notable case involved Hollycorn N.V., which was found to be providing casino-style games to Australians in breach of the Interactive Gambling Act. With offshore gambling expected to reach AU$5 billion by 2029, the findings are expected to influence upcoming policy discussions.
