South Africa is moving to strengthen its response to illegal online gambling, with the National Gambling Board (NGB) exploring a permanent system to monitor, block and track offshore gambling websites targeting local consumers.

The regulator has launched an expression of interest to identify technology providers capable of supporting a continuous enforcement model, rather than relying on one-off website takedowns. The initiative comes as illegal operators are estimated to account for a significant share of South Africa’s online gambling market.

Illegal market remains significant

Research commissioned by the South African Bookmakers’ Association (SABA) estimates that around 62% of online gambling activity in the country takes place with illegal operators.

The same research suggests that more than R50 billion ($3.1 billion) in gross gambling revenue flows offshore every year, underlining the scale of the challenge facing regulators and licensed operators.

The NGB’s proposed system would aim to reduce that activity by making illegal platforms harder to access and easier to identify.

How the blocking system would work

Under the proposal, the selected service provider would be responsible for monitoring and profiling illegal gambling websites targeting South African players.

This would include identifying:

• Country of origin
• Licensing status
• Ownership structures
• Replacement or mirror websites

The provider would also be expected to block identified websites, report them to the NGB and continue monitoring them in case they reappear under new domains.

The NGB wants the system to function as a standing enforcement capability rather than a single blocking exercise.

Regulatory uncertainty remains

The initiative comes despite continued uncertainty around South Africa’s broader online gambling framework.

Interactive gambling remains illegal under current national law. Although the National Gambling Amendment Act of 2008 was intended to create a licensing framework, it never came into force.

NGB Acting CEO Lungile Dukwana has acknowledged that the country still lacks a final national policy position on interactive gambling.

Speaking about the current procurement process, Dukwana described it as a way to assess available solutions.

“We want to understand what is in the market,” he said.

Internet providers question legal basis

The proposed blocking system has already drawn criticism from the Internet Service Providers’ Association (ISPA).

The organisation argues that South African law does not currently provide a sufficiently clear framework requiring internet providers to block illegal gambling websites.

ISPA Chair Sasha Booth-Beharilal said any disruption of internet services should be supported by clear legislation and appropriate safeguards.

“Any disruption of internet services to South Africans should be done only as part of a clear legislative framework that balances the right to communicate against the potential harm of problematic content,” she said.

ISPA also argues that website blocking can be technically ineffective, as users can bypass domain restrictions and illegal operators can quickly create replacement sites.

Technical concerns around blocking

The association has also highlighted potential risks associated with different blocking methods.

Domain-name blocking can be easily circumvented by more technically experienced users, while IP-address blocking can unintentionally affect unrelated websites that share the same infrastructure.

More advanced methods such as deep packet inspection have also raised privacy and civil liberties concerns.

These issues mean the NGB will need to balance enforcement effectiveness with legal and technical safeguards.

Current enforcement capacity remains limited

The regulator’s existing resources for tackling illegal online gambling remain relatively modest.

In the 2025/26 financial year, the NGB allocated two staff members and R596,000 to identifying illegal gambling websites.

Its database currently contains 90 illegal gambling sites, all operated by companies licensed outside South Africa.

The NGB has previously referred some operators to major digital platforms for removal, but results have been limited.

Of 10 websites referred to Google Africa for removal from search results, none had been taken down at the time of a government response.

Illegal operators continue to reappear

The NGB has also faced challenges keeping blocked operators offline.

According to its annual report, 23 of the 90 identified operators blocked access to their own sites following intervention, but players could still access some of them using circumvention technologies.

Dukwana has acknowledged that illegal websites often return quickly after being removed.

“They would appear the following day and be with something else,” he said.

This is one of the main reasons why the NGB wants continuous tracking built into the new system.

Industry supports stronger enforcement

SABA CEO Sean Coleman has welcomed the initiative but warned against relying too heavily on website blocking.

“Website blocking, while important, should not be viewed as a silver bullet,” he said.

Illegal operators can quickly launch mirror domains or replacement websites, meaning blocking measures are likely to be most effective when combined with broader enforcement actions.

These could include targeting payment providers, digital advertising channels and other infrastructure used by unlicensed operators.

NGB still assessing options

The expression of interest does not guarantee that the NGB will award a contract.

Instead, the regulator is using the process to understand available technologies, required approvals and potential partnerships before launching a possible formal tender.

Prospective providers have also been asked to explain how they would address the regulator’s current challenges and identify potential revenue models that could help sustain the service.

For now, the NGB has declined to provide further details while the procurement process remains active.

The initiative nevertheless represents a significant step in South Africa’s efforts to improve enforcement against illegal online gambling, even as questions remain over the legal framework and effectiveness of website blocking.

Sources: Igamingbusines