Social & economic benefits of casino businesses

Vegas Casino

Casino businesses turned the old, dusty town of Las Vegas into the world’s entertainment capital. In Macau, casinos attract over 20 million tourists each year.

Despite that, most people tend to downplay the benefits gambling businesses add to the economy. Fortunately, the casino industry’s marvellous social and economic benefits are documented for all to view. Here are some of them.

Creating Employment

Whether you visit Monte Carlo or Atlantic City, London or Las Vegas, tens of small businesses make millions in profits yearly thanks to casinos. In Macau, gambling companies are the city’s biggest employers. That means a significant proportion of the 622,500 people who live in the Chinese jurisdiction wouldn’t make ends meet without casinos.

In London, the economic benefit of casino businesses transcends job creation. Bookmakers, for example, also partner with local sports teams. They have also helped spur the city’s entertainment industry, including media stations.

Las Vegas, on the other hand, is one of the largest cities in the US despite beginning as a small railway station. Of course, the city’s historical link to gambling businesses is clear. But it’s how big the city has become that bears witness to the vast impact casino has on the city.

Entertainment

Sure, you won’t always win when you play slot machines, poker and blackjack. But they are fun and can keep you entertained for hours. The average casino provides at least 100 slot machines and tens of table games.

Most casino games are also dynamic so that you have games themed after all sorts of things. You could play a slot inspired by Thor or stake your money at a sports-themed machine. It all depends on what you love.

These days, you will find casino games at the comfort of your couch. All you need is a smartphone or a good laptop, and you can play hundreds of games without spending too much money. Of course, you can always spend money based on your budget. But with UK online casinos giving out bonuses regularly, you can save your cash and play with bonus money at times.

The UK Gambling Commission also oversees online casino operations to ensure they provide professional services adequately. As a result, you will usually get reliable customer support, quick payments and a wide range of games on the best UK online casinos.

Sponsoring local Sports

Sports gambling businesses rely on sports sponsorships to advertise their services. And over the years, sponsorships have been so successful that gambling brands now compete to sponsor the best clubs and athletes.

But beyond the money, the act of sponsoring local athletes and sports has helped nurture plenty of talents around the world. From the premier league to boxing, rugby to snooker, gambling businesses sponsor any sport with a significant fan base.

In the Premier League, Everton, Burnley and Westham earn in the upwards of £20 altogether from betting sponsorships. When combined with sponsorships from other brands, these clubs have been able to sign and pay their players without raising ticket fees.

Tax Revenues

One of the major reasons why governments are increasingly licensing casino businesses is the tax revenues they generate. In the US, for instance, gambling businesses contribute over $40 billion to the federal government as revenue. Surprisingly, Las Vegas contributes $6 billion of the money.

When former New Jersey governor Chris Christie challenged the PASPA Act in the Supreme Court a few years ago, he knew there was money in it. In fact, Christie had projected his state would make more than $200 million every year from casinos.

Throughout Britain, gambling businesses contribute about £3 billion in tax revenues to the HMRC. In Macau, the local government collected over $13 billion from gambling businesses. And considering Macau is one of the fastest-growing gambling cities in the world, its tax revenue will continue to increase.

Enhancing Tourism

The only reason Las Vegas, London and Malta-based casinos can pay billions in tax revenues every year is that they make a lot more money than that. And they couldn’t make money without people travelling to the establishment.

Luckily for businesses located near casinos, tourists don’t splurge their money inside casinos alone. They spend cash on food, beverages, accommodation and other services. In established casino cities like Vegas, modern tourists spend more than outside casino establishments than inside.

Regardless, casinos play the most prominent role in attracting tourists in cities like Monte Carlo and Macau. People throng the cities in the millions for entertainment. Some of them know they could lose money while gambling, but they go anyway.

Boosting Property Values

Before the 2007/08 financial crisis, everyone wanted to own a piece of Las Vegas. Property values were rising dramatically, and people could pay up to double their worth. The crisis undoubtedly brought the benefits down, but they have been rising again.

In Gibraltar and Malta, where most casino businesses run their services online, property prices have been on the rise since the two cities became gambling regulators. One of the reasons is that new casinos bring expats who have to purchase property locally.

Recreational Activities

As we mentioned above, people no longer visit Las Vegas or Monte Carlo with gambling as their only goal. Some tourists visit these cities to attend boxing events. Others go there to have fun at night clubs or to attend festivals.

But all these recreational activities only attract people’s attention because of casinos. Without gambling establishments, there would be fewer tourists visiting Vegas. Fortunately, the city doesn’t neglect its casinos.

In fact, many casinos have integrated their businesses with hotels and other recreational facilities. That way, tourists don’t leave the casino building to find a club, a restaurant or massage parlour.

To Conclude

Although regularly condemned, the casino industry impacts local businesses tremendously. It creates jobs directly and indirectly. It pays taxes to local governments as well as enhances tourism. In the significant casino cities like Las Vegas, casinos attract millions of tourists who add billions of dollars to the local economy. On the other hand, the casino industry provides entertainment, its most significant social impact.