Political representatives in New Jersey are looking outside the box to offset the rising costs of hosting the World Cup this summer. BonusFinder, a sportsbook promos site, tells you all you need to know about the impact it will have on you as a soccer fan and as a bettor.
Unfortunately for gamblers, lawmakers have proposed the introduction of a temporary 10% surcharge on online sportsbook betting revenue to help the State purse.
New Bill,A4838 has been designed to directly contribute to the cost of hosting the games, accounting for infrastructure, security and transport.
At this stage, it is unclear if the late measures will be approved, despite the advantageous financing within reach to help contribute toward the $300M+ estimated costs to stage the fixtures.
New identity for the MetLife Stadium for the World Cup
The MetLife Stadium in East Rutherford, NJ, is one of the 16 venues overall for the major international tournament to be held across the US, Canada and Mexico this year.
It is one of 11 stadiums in America to host the World Cup action, but the current home of the New York Giants and the New York Jets in the NFL will have a new guise for the summer.
Due to FIFA's official regulations around corporate sponsorship of venues and its own commercial interests, the MetLife Stadium will be known as the New York New Jersey Stadium to host the final on July 19.
What is in the detail of A4838 and how will it impact bettors and fans?
On Monday, lawmakers introduced a range of measures to contribute toward World Cup costs in New Jersey.
Democratic Assemblyman Michael Venezia is the proponent of the legislation that, if passed, will introduce a 10% temporary surcharge on the gross revenue (GGR) earned by New Jersey sportsbooks from any World Cup game - not just those taking place at the stadium in East Rutherford.
Given that the surcharge will be applied to gross revenues of the operators, technically, bettors should not be impacted.
However, in the real world, we know that the burden can be passed on to punters in different ways.
For example, odds can be adjusted and promotions can be withdrawn to impact the bottom line.
The other suggested measures to raise State funds for the massive summer ahead include a 2.5% temporary increase on hotel stays across the State and a 3% uplift in taxes on retail, alcohol, and food in the Meadowlands district of NJ - thus having a financial impact on fans too.
World Cup wagers predicted to match Super Bowl figures
It is clear that pressures are already being felt given how close we are to the start of the World Cup, but time is running out with the action commencing on June 11.
"The revenue collected from the temporary surcharges is intended to support the costs of preparations for the hosting of the matches of this special event that will take place in New Jersey," said the Bill's statement.
Earlier this year, analysts at Citizens Capital Markets & Investments estimated that wagering levels at the World Cup would be on par with the Super Bowl, which is believed to be around $1.78B - although the 2026 World Cup could rake in a lot more than this prediction.
New Jersey fans may not be impacted as out-of-State fans
As one of the top five largest sports betting States, by volume, New Jersey would account for a large proportion of the figure.
Supporters of the plans say that the targeted funding from tourism and betting is appropriate for the extra provisions required, while also avoiding permanent tax increases.
There have also been calls for exemptions for NJ residents for the likes of hotel stays during the event.
Conversely, critics have warned about the impact on the betting markets, potentially driving users to the unregulated black market with no return for the State purse.
What World Cup games are taking place at the New York New Jersey Stadium?
New Jersey will host eight World Cup games this summer, including the final:
- Saturday, June 13 - Brazil vs Morocco (6PM)
- Tuesday, June 16 - France vs Senegal (3PM)
- Monday, June 22 - Norway vs Senegal (8PM)
- Thursday, June 25 - Ecuador vs Germany (4PM)
- Saturday, June 27 - Panama vs England (5PM)
- Tuesday, June 30 - Undetermined. Round of 32 (5PM)
- Sunday, July 5 - Undetermined. Round of 16 (4PM)
- Sunday, July 19 - Final (3PM)
All times EDT
