New Jersey set a new annual gambling revenue record in 2025
Gambling in New Jersey surged in 2025, with operators reaching new record milestones as the state set a new annual mark for betting and gambling revenue.
New Jersey’s online betting and gambling industry revenues increased over 20% in October 2025 compared to the same month in 2024. This year-over-year increase in revenues was largely attributed to a spike in betting activities in the iGaming sector as online betting continues to gather momentum across the country.
That momentum continued during the final quarter of 2025 as the US state of New Jersey collected nearly $7 billion in annual gambling revenue.
iGaming drives New Jersey’s annual gambling revenue to new high
New Jersey’s gambling sector generated $6.30 billion in 2024, and that already impressive amount rose by 10.8% in 2025 to a massive $6.98 billion. The increase was largely attributable to the success of online betting sites as digital gambling options continue to proliferate and expand.
The increase in betting activity also led to the state of New Jersey generating more gambling tax revenue. The state doesn’t have a fixed tax number for all such activity, as instead the percentage fluctuates based on the platform, but New Jersey collected roughly $884 million compared to the previous year’s $799 million in taxes.
Online betting and casino play is growing dramatically in New Jersey.
All major gambling sectors grew year-on-year, with online casinos leading the market. iGaming revenue rose 21.8% from the previous year, while sports betting grew 8.3% from 2024. By contrast, land-based casinos increased by only 2.5%. This displays the changing gambling trends of the state and beyond, with many players shifting to mobile and online betting. Physical casinos remained stable, while sports betting also experienced noticeable revenue increases.
Online gambling in New Jersey produced $2.91 billion in annual revenue, while land-based casinos contributed $2.89 billion and sports betting produced $1.18 billion.
New Jersey’s digital casinos displayed consistent growth throughout 2025, generating $253 million in November, which was $44 million more than the previous month. The upward trend continued in December, with New Jersey setting another new record as online casinos brought in $273 million.
iGaming revenue overtook land-based casinos for the first time in New Jersey
New Jersey’s revenues from online and land-based casinos may seem similar at first glance, but iGaming’s rise is a major milestone. New Jersey has relied on physical casinos for decades, which is why even many industry analysts were surprised at online betting surpassing the revenues of land-based casinos. This growth in the online betting sector isn’t exclusive to New Jersey, and it isn’t even the only state that has experienced a record growth in iGaming.
US states such as Michigan and Pennsylvania have also seen massive revenues from online casinos. This trend seems likely to continue, likely because of the convenience that mobile and online betting provides to players. If the state’s iGaming sector can continue expanding, online casinos may make up an even greater majority of New Jersey’s gambling revenue within the next few years and further boost the state’s taxes.
New Jersey online casino operators will face a higher tax from the 2026 fiscal year. The state has raised the online casino tax from 15% to 19.75% and internet sports betting from 13% to 19.75%. The related bill was passed in July 2025, applies to all licensed operators, and may affect the growth of iGaming in the state.
If operators try to offset the cost by passing it on to players, it could potentially lead to fewer bets being made, an effect that has been seen elsewhere.
Feature image credit: Canva
Khizar Mundia has been playing video games for as long as he can recall. Things have come a long way since the many days he spent playing the original NES, though. He now covers a variety of competitive games and esports, as well as the world of streaming, ranging from Twitch to Kick. If it’s of interest to gamers, it’s of interest to Khizar.
View full profileRead Also
Esports Betting
News
News
Esports Betting
Slots
Dota 2
News