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Taiwan lawmakers propose sports lottery reform to boost competitiveness

Draft amendment aims to raise payout ratio and increase funding for sports development.

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Key Points
Annual sports funding could rise to about NT$9.1bn (US$284.5m)
Proposal seeks to raise prize payout ratio to align with global standards
Additional 30% of annual surplus to be allocated to sports authorities

A group of 19 Taiwanese legislators has jointly proposed amendments to the Sports Lottery Issuance Act designed to strengthen the competitiveness of Taiwan’s sports lottery system, according to The Liberty Times. 

The draft calls for an adjustment to the current prize payout ratio, which industry representatives say remains lower than the 80% to 90% range commonly seen in international markets.

The Chinese Taipei Sports Lottery Association stated that the comparatively lower return has reduced the system’s appeal and led some bettors to shift funds to underground gambling operations, limiting the growth of the legal market and constraining sports funding.

In addition to raising payout levels, the amendment proposes increasing the share of surplus profits allocated to sports authorities. Specifically, it would mandate that an extra 30% of annual surplus from the issuing institution be directed to the national sports development fund.

Based on current annual surplus levels of around NT$7bn, the proposed change could generate an additional NT$2.1bn per year for sports development, lifting total annual contributions to roughly NT$9.1bn.

Ho Yu-chi, Chairman of the Sports Lottery Association, said the industry has long viewed the existing payout structure and rigid cost framework as constraints on market competitiveness.

He described the proposed reform as creating a “three-win outcome,” where consumers receive more reasonable returns, the government secures stable funding for sports, and distributors achieve sustainable operations.

Industry figures added that beyond commercial considerations, the amendment represents a structural effort to counter underground betting markets by expanding the scale and attractiveness of the regulated system.

Good to know

Based on current annual surplus levels of around NT$7bn, the additional allocation could contribute more each year for sports development

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