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The Pros and Cons of Legalizing Gambling in Utah

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By Sponsored - | Aug 9, 2023

There are only two states in the U.S. that don’t have any form of legal gambling: Hawaii and Utah. Utah briefly passed laws that legalized parimutuel horse racing in 1925, but the laws were repealed just two years later in 1927 and the state has not had any form of gambling since.

Regulations were tightened by Utah in 2012 to cover online betting. Those found guilty of flouting laws could face misdemeanour charges with jail time or fines.

With so many other states allowing certain forms of gambling and many more enjoying large revenues since the ban on sports betting in the U.S. was overturned in 2018, should Utah consider legalizing gambling?

The biggest reason that Utah would have for legalizing gambling would be financial gain. 2022 saw America gamble more than ever before, with a total of $54.93 billion spent across casinos and online gambling sites in the first 11 months alone.

Out of the 33 gaming jurisdictions in America, 30 reported revenue growth since 2021. The rise of online betting was also strengthened by the pandemic which saw a lot of in-person betting facilities closed.

State governments are able to make considerable sums through gambling with license fees and taxes on gambling operators, while some states also tax players on their winnings.

While this may seem like a strong case for allowing betting, a statistic that goes in favor of keeping the ban is that Utah has the lowest amount of problem gamblers in any state. However, it could also be argued that gambling businesses are doing more now than ever before to protect customers and there are protections in place to minimize the risk of addiction. Of course, it’s also unlikely that Utahans with gambling problems seek help, due to the activity being outlawed at the moment.

However, another cause for legalization is the ability to regulate and protect gamblers in the state. This might seem counterproductive for a state with the lowest amount of problem gamblers, but illegal gambling won’t be as sought after if there are legal means to place a wager.

The fact that Utah is a predominantly Mormon state also means that moral and ethical concerns make the legalization of gambling even more challenging. Other concerns that have been raised include the diversion of spending on other businesses. The effect of this could potentially harm local economies and small businesses.

Estimates of between $7 million and $16 million in taxes will sound tempting, but the state budget of $21 billion means it wouldn’t make a huge, immediate impact.

However, offshore betting sites can currently be used by people in Utah to gamble; and it might be preferable for the state to have this money, along with the taxes, staying within local communities instead of being sent offshore. While the majority of these are completely legitimate, there is still the risk that consumers are at risk due to a lack of regulations. These platforms are also widely used in other states without local online or in-person sports betting and casinos.

For example, other states like Texas and California offer some betting options but prohibit online sports betting. Offshore options can provide a wide range of markets; following a guide for California and Texas will ensure bettors adhere to all gambling regulations. Until all forms of betting and gambling become legal across the country, if that ever happens, bettors must always take care to check the latest rules and regulations to ensure that they are playing safely.

A counterargument to the potential damage that gambling could cause to local economies and small businesses is the tourism it would help to attract. Casinos and regulated betting offices encourage people to come to communities and can be the centerpiece of exciting entertainment scenes.

The final argument in favor of legalizing gambling in Utah is one of freedom. For a country built on freedom, the ability to choose whether or not to gamble is one many people believe they should have.

Of course, freedom of choice does not come without responsibility and even legalization would not completely deregulate the betting industry.

At present, Utah is highly unlikely to change its position on gambling. As more states loosen their laws and benefit from the high revenues generated from different betting markets, Utah might be able to look at things i