Rhode Island’s effort to open its sports betting market to new operators has failed, after lawmakers did not advance Senate Bill 748 before the close of the 2025 legislative session. As a result, the current exclusive arrangement with the state lottery’s vendor will remain in effect until its contract expires in 2026.
The proposed legislation, which passed overwhelmingly in the Senate, aimed to allow at least three to five new sportsbook licenses. However, the House of Representatives did not take up the bill, effectively stalling momentum for any immediate regulatory change.
A recent independent study commissioned by the Rhode Island Lottery had recommended market liberalization, arguing that expanding to multiple operators could increase competition, drive innovation, and improve user experience. Despite these findings, the state’s existing 51% tax rate on sports betting revenue — one of the highest in the country — was cited as a potential deterrent for new entrants.
Advocates of the current model, which centralizes operations under a single provider, claim that the system offers fiscal stability and reduced regulatory burden. State officials have signaled that a formal Request for Information (RFI) may be issued in 2026 to explore competitive bids before the contract renewal.
While Rhode Island remains one of the smallest U.S. states by population, it continues to post significant numbers in mobile sports betting, surpassing $480 million in handle over the past fiscal year. For now, players and potential operators will have to wait, as Rhode Island maintains its position as one of the few U.S. states with a single-operator sports betting model.
