The legalization of single-sports betting in Canada won a critical House of Commons vote April 22 and will now advance to the Senate.
Bill C-218 would amend the Criminal Code to allow Canada’s provinces and territories to regulate online and in-person wagering on individual sporting events. Currently only parlay wagering and single event horse racing wagers are legal.
The bill’s rapid and enthusiastic advancement, with only one significant amendment, has inspired shares to rise in value in companies likely to take advantage of legalizations, such as Score Media and Gaming (theScore) and FansUnite Entertainment. They hope Canada’s sports gaming market will reflect the growth of the U.S. market after the federal ban was lifted three years ago.
The Canadian Gaming Association estimates the country is losing revenues from $14 billion in both illegal and offshore wagering sites that Canadians use but which don’t pay Canadian taxes. Under legalization that market could be grown to $28 billion within five years, according to a report by Deloitte Canada. This could translate into $5.4 billion in annual gross gaming revenue, according to theScore.
Canada’s land-based casinos, which have been hard hit by the pandemic, are also hoping to reap some advantages. They have lost revenues to casinos in the U.S. that now operate sportsbook operations and draw Canadians to drive across the border to wager.
