Exploring the legalisation of sports betting in Ireland

Often a topic for fierce debate, sports betting has entered an entirely new realm over the last 20 years. It’s fair to say that the internet has facilitated a route for sports betting operators in Ireland to punch through the ceiling of possibilities and explore a brand-new range of markets. In truth, this has been the case worldwide, as the whole foundation of online gambling has meant that companies are able to face off against each other in this new digital battleground.

Top sports betting companies have effortlessly moved with the times, switching from land-based operators to online sites, and most recently, mobile apps – and with this move, legislation has been aiming to keep up, too. Today, we’re going to explore how the legalisation of online sports betting first emerged, and the sort of amendments that have taken place throughout the timeline to turn it into the multibillion-pound market that it is today.

Sports betting landscape in Ireland

While legislation aims to ultimately keep bettors safe and ensure that betting platforms adhere to safe gambling guidelines and pay the appropriate level of tax, as the sporting landscape changes, other types of challenges emerge. It wouldn’t be too left field to say that the most popular sport in any country inevitably results in it becoming the top sports betting market. Legislators understand this and often factor it into some of the more minor legislative changes.

Irish sports like Gaelic football, hurling and rugby are often the main markets – especially during big game weekends or specific tournaments such as the Rugby World Cup. However, more recently, the emergence of some top football players like Robbie Keane, Roy Keane and Shay Given has helped the sport grow in Ireland. George Best is considered the greatest Irish football player of all time by many experts¹ and is credited with helping Irish footballers flourish in the English domestic game.

Traditional Gaelic games and horse racing, which have extensive roots in Ireland, still rule the Irish gambling market. Irish stables have dominated big race meets like Cheltenham for as long as they’ve been around².While these markets might be specific, they are mirrored in betting markets, too, with some of the biggest names in sports betting turning into truly global names in the global realm.

Exploring sports betting legislation – a timeline

2031 will mark 100 years of legalised sports betting in Ireland. While it would be foolish to suggest that nobody placed sports bets before the legislation changed, it was a necessary step to ensure that it could be legislated and taxed appropriately.

Amendments to the 1931 act were ushered in during 1962, and this was in an attempt to put a lid on the emergence of the illegal sports betting market – primarily focused on horse racing track meets – but later amendments, particularly in the 1980s, meant that sports betting companies in Ireland were able to flourish. Land-based sports betting shops were able to offer markets across many traditional and growing sports betting platforms.

While online casinos and lotteries underwent several different legislative changes, sports betting largely remained the same over this 60-year period. However, the advent of the internet clearly highlighted that the legislation needed a revamp.

The emergence of Ireland as a tax haven³ around the same time meant that the country saw a significant increase in capital investment, and betting companies popped up looking to get their hands on the profits that were bubbling out of the industry, mostly thanks to the UK Gambling Act 2005.

Last 20 years of Irish sports betting

The presence of the internet in sports betting increased competition, and legislators didn’t only have to consider the impact on the domestic Irish market but also how it would impact them on a global economic stage.

Part of Ireland’s move to become a more favourable destination for corporations to set up their tax headquarters was driven by a desire to attract more capital to an economy struggling to compete in a transforming digital world.

Therefore, adopting a more lenient approach to sports betting may have been part of the legislative approach. The adaptations to this legislation occurred in 2013, and by 2015, the country’s economy was starting to rise out of the dip that occurred after the Celtic Tiger period of economic growth.⁴

The last significant amendment to sports betting legislation was in 2015, which enabled offshore companies to set up shop in Ireland. This amendment brought clarity, given that many Irish bettors were using this grey market, and the companies supplying these digital platforms were not paying tax in Ireland – and the 2015 legislation meant they required a betting intermediary license.

Final thoughts

Although recent changes to betting legislation have emphasised an essential and ever-present focus on ensuring responsible gambling is an integral part of the sports betting structure in Ireland, they haven’t changed much about sports betting. The UK has been grappling with the growing contactless nature of gambling, and many of the laws that are implemented in Ireland follow the blueprint set in the UK⁵.

Many countries legalising sports betting follow a similar path, as the UK was the first to provide a basis for the legislation. While legislators in Ireland might have a different route to the current legislative landscape, especially before the emergence of online sports betting, the legislation in the UK, Ireland, the US and Canada is not too dissimilar.

Irish legislators often wait for long periods before enacting changes. Some technological advances, however, aren’t simply on the horizon – they’re already here and changing the industry. As with most disruptive innovations, legislators need time to catch up. AI is the current example, and companies within this sector are already transforming the gambling industry with their cutting-edge work⁶.

Nevertheless, given how legislators have already been able to adapt and how the global international community often contributes to the foundation of these changes, it’s unlikely that Irish gambling legislation will deviate from the rest of the industry.