Figures for 2004 from the American Gaming Association (AGA) and the National Indian Gaming Association (NIGA) confirm that gaming revenues are up at both tribal and commercial casinos. The AGA reports that the 445 commercial casinos in 11 states generated almost $29 billion in gross gaming revenue, a 7% increase on 2003. According to NIGA figures the percentage rise was even greater for the 367 tribal casinos in 28 states, a 15% increase. Revenue here was $19.4 billion in 2004.

That the American public is becoming more likely to spend time at a casino is evidenced by climbing visitor numbers. It is estimated that over one quarter of the US population visited a casino in 2004, about 54 million people, and consumer spending was up by 7.1%. Although money spent at casinos has more than doubled during the past 10 years, it is still a tiny proportion of the amount Americans spend on remodelling their homes or buying fast food, but with the expansion of gaming throughout the country the figure is likely to continue to increase. Nevada still tops the state tax revenue stakes but Illinois and Indiana are not far behind and Iowa dramatically jumped 20.5% last year.

With recent reports of record wins in Nevada it might be thought that the successful future of gaming was assured throughout the country. However, changes in tax regimes or laws in some states and renegotiated compacts for tribal casinos are already having an effect. A tax hike in Illinois has led to job losses and minimal revenue growth. The gaming industry may still be a gamble but the odds are in its favour with its gradual acceptance as a provider of integrated entertainment, and as casino operators diversify into complementary revenue producing activities. (E-07.14.05)

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