In a new article from the state of Illinois, the latest gaming report shows that while gambling gains are strong in the state, there are perhaps some vulnerable parties to its success. Noted in the report, Illinois surpassed $2 billion in tax revenue last year from all types of gambling and the state lottery – a record bolstered by continued growth in video gambling, sports betting, and the opening of several new casinos. However, that growth comes at the expense of Illinois’ traditional riverboat casinos and the horse racing industry, which has been on a downward trajectory for decades. An annual report published last week by the General Assembly’s fiscal forecasting arm laid out the state’s record of nearly $2.1 billion in revenues, nearly half of which was earmarked for infrastructure projects, while the remainder went to education.
In this article, SBS will be going over what to look for from the latest gaming news coming from Illinois along with additional notes and thoughts regarding Illinois wagering updates.
Noted in the same article, while the Illinois Lottery continues to make up a significant portion of the state’s wagering revenues, it might soon be eclipsed by Illinois’ ever-growing video gambling industry. In the last fiscal year, the lottery netted $886 million in state tax revenue while video gambling’s state taxes climbed to $848 million. Statewide, bars, restaurants, and truck stops have installed 48,176 video gambling machines since 2012 – a figure that’s grown steadily each year despite the COVID-19 pandemic shutting down all gambling activity for months. Also not stopping the industry’s growth: a series of tax increases, including one approved in the spring as part of state budget negotiations.
Also in the same article, video gambling is also the largest driver of increased per-capita spending on all types of wagering in Illinois over the last five years, though the popularity of sports betting has also been a factor. Illinoisians spent more than $7 billion on gambling, lottery tickets, and other types of betting-based entertainment last year – approximately $560 per capita. Though video gambling may be eating away at Illinois’ casino industry – a fear that has been vocalized since negotiations on legalizing the terminals 15 years ago. The Commission on Government Forecasting and Accountability’s report also blames “added competition from new casinos across Illinois.”
COGFA’s reporter indicates overall casino revenue growth is mainly due to the success of Rivers Casino in Des Plaines and the opening of five new casinos statewide in the past few years. A sixth, in Chicago’s south suburbs, is slated to open later this fall. Illinois’ nine riverboat legacy casinos, most of which have been running for about three decades, have seen their revenue decline “for nine consecutive years,” according to the report. Visits to casinos in East St. Louis, East Peoria, and Joliet’s Harrah’s Casino have seen a significant drop-off.
“The opening of additional casinos provides an abundance of new gaming opportunities for gamblers in Illinois,” the report said. “However, there are concerns of oversaturation. By the end of FY 2024, the number of video gaming terminals in operation across Illinois has grown to over 48,000, the equivalent of over 40 ‘full-size’ Illinois casinos.”
Horse racing, on the other hand, has continued to dwindle in Illinois. After Arlington Racetrack closed in 2021 and sold the land to the Chicago Bears, Hawthorne Race Course in Stickney and Fairmount Park in Collinsville are the only two racetracks remaining in operation. The report notes horse racing brought in “a mere $6 million” in state revenues last year, and that “racinos” – provided for in a massive 2019 law that legalized sports betting and created six new casino licenses – have not yet materialized as a lifeline for racetracks.
Fairmount has been buoyed by partnering with sports betting giant FanDuel for the past several years, making it the home base for Illinois’ most successful online sports betting company. FanDuel’s adjusted gross receipts last year totaled more than $449 million, while its closest competitor, DraftKings, totaled $387 million. The two juggernauts complained loudly about a new, higher-rate tax structure imposed on sports betting in May. Although COGFA’s report noted that not all of Illinois’ sports betting licenses have yet been claimed and that sports betting revenues “have grown rapidly” since the market launched in 2020.
“Given this trend and the recently added sportsbooks, it is believed that sports wagering will continue to grow overall despite a higher tax structure,” the report also noted which of course is compelling and concerning for certain parties in the state.
After you are all squared away regarding the latest gaming notes coming from Illinois, make sure to check out the awesome array of information over at SBS. Of course, for even more information on the topic covered here, make sure to check out the sports betting in Illinois guide which goes over all of the latest and greatest gaming news from the area. On another note, an excellent resource to peruse is the VIP sports betting sites rundown which goes over the perks of VIP wagering and if it might make sense for you. Also, for those interested in diversifying their deposit and withdrawal options, make sure to check out the payment methods breakdown which goes over an awesome array of information and finds the best fit for you from crypto to traditional banking routes.
About the Author
As a devout aficionado of sports, Chris Boline has carved a career within the athletic realm. A skilled scribe, he boasts a decade-long portfolio that encompasses coverage of the NBA G League, the Los Angeles Chargers, football and basketball across the country. Beyond his professional pursuits, Chris is deeply invested in his community and dedicates his leisure hours to serving on boards, collaborating with community organizations, and cherishing the company of loved ones. CURRENTLY Business Development and freelance sports writing RESIDES IN Reno, NV EDUCATION University of Nevada BS and MBA EXPERTISE -Sports writing proficiency in: NFL, NBA, UFC, boxing, golf, and some motor sports -Topical news -Promotional and marketing ideas/updates -Business development Summary Chris Boline serves in a business development sales capacity as his day job. He has previously held sales/marketing positions with The Applied Companies (TAC), KTVN 2 News and the NBA G League’s Reno Bighorns, affiliate of the Sacramento Kings. He is a Reno native and is a member of various community boards including the Nevada Sagebrush Alumni Chapter, NCET and the College of Business Alumni Association (COBAA). Chris graduated from the University of Nevada in 2015 with a bachelors in management and economics and also earned his MBA from Nevada in 2023. More about Chris: Past president of the College of Business Alumni Association (COBAA) 2022-23 Two-time honoree for University of Nevada Alumni Chapter of the Year (Nevada Sagebrush Alumni Chapter, 2017 & COBAA, 2021) 2021 NCET award for Professional Services Organization of the Year with TAC Northern Nevada Human Resources Association 2020 Best Places to Work-Northern Nevada, Second Place with TAC 2016-17 Reno Bighorns MVP from the Sacramento Kings The Nevada Sagebrush editor-in-chief 2013-15 Associated Collegiate Press 2015 Four-year Non-daily Newspaper Pacemaker honoree University of Nevada, Reno College of Business Dean's List honoree (5x) from 2011-2015 Nevada Press Association award for Best Sports Column – Community in 2015 Education
Read Chris's ProfileAsk Chris about this guide:
