Bet365 Sportsbook Adds New Per-Wager Fee for Illinois Bettors

Customers of bet365 Sportsbook in Illinois will pay more to bet on sports going forward.

The UK-based sportsbook announced it will be adding a new $0.25 surcharge for all wagers under $10 placed in the Land of Lincoln. The move is in response to Illinois’ recently launched per-bet tax, which charges sportsbooks between $0.25 and $0.50 for each wager they accept. 

Bet365 had been the last operator in the thriving Midwest market to take action against the controversial tax. However, they took a different course of action than their industry rivals. 

Caesars, DraftKings, Fanatics, and FanDuel have all added per-bet surcharges, but without a minimum threshold. 

BetMGM, BetRivers, Circa Sports, ESPN, and Hard Rock decided to raise their minimum wagering requirements, citing the high costs to process smaller wagers.

After watching the state’s other nine sportsbooks respond to the new per-bet tax, bet365 decided to combine the two strategies. This way, the operator can offer a cheaper betting experience for larger bettors while not losing money on those wagering less than $10.

The new surcharge is now live for all bettors located in Illinois.

Does Strong Strategy Bring Risk?

While bet365’s new surcharge may seem like a fantastic business decision, it does come with some risks. Some bettors will now be tempted to wager more money to avoid the new fee. That temptation will only grow once they enter the higher wager amount and see the larger payout potential.

Once a bettor increases their standard wager amount, things can get out of control quickly. Even a small change can have a dramatic impact on a betting budget, leading to devastating losses before they even realize they are in trouble.

The goal of these new minimum bet requirements and per-bet surcharges goes beyond offsetting Illinois’ heavy taxes. The industry is hoping that bettors who are angry at the rising costs will push the issue with state lawmakers. This public pressure could lead the state to reverse some of its taxes and make future hikes far less likely. 

However, this strategy could backfire if there is a measurable increase in problem gambling since the new fees took effect. That would draw the ire of the public, who may push lawmakers to increase regulations that will further cut into the revenue of sportsbooks.