TransUnion: Is Recent US Betting Growth Sustainable?

Betting among millennials and Gen Z has grown “considerably” over the past year, but economic strains suggest that may be unsustainable, according to a TransUnion report.

TransUnion released its US Q3 2025 Gaming Report on Wednesday, highlighting that younger generations are driving overall gambling growth, particularly in sports betting. At the same time, the report raised caution about increased reliance on a demographic more adversely impacted by rising debt and shrinking discretionary income.

The report found 42% of millennials said they participated in betting during the second quarter, up from 31% a year ago. That was followed by 34% of Gen Z, compared to 26% in 2024.

Gen Z favors sports betting?

Millennials betting $50 or more a month showed growth across six different segments tracked in the report, including online and land-based casino, sports wagering and lottery.

Notably, those millennials showed 11% growth in both online lottery and land-based sports wagers.

Gen Z bettors in the same spending range only grew in online sports betting, which rose 7%, while their largest decline was a 6% drop in land-based casino spending.

Online casino growth was 7% for millennials in that $50 a month betting range, while Gen Z was flat.

Debts growing for both segments

Both Gen Z and millennials are seeing their discretionary incomes shrink as debt levels climb.

Since early 2023, millennial monthly debt payments are up 20%, while Gen Z’s are up 27%.

TransUnion noted that while rising balances are expected as consumers age into bigger purchases like homes and cars, the recent increases have far outpaced inflation, up 6%, and wage growth, up 8%. This “tightening of household finances” could eventually slow betting activity as younger consumers cut back on discretionary spending, the report warns.

Baby boomers hold steady on betting

Baby boomers, the generation beloved by land-based casinos for their slot-playing tendencies, showed zero growth over last year.

Out of all baby boomers surveyed, 17% said they gambled in the second quarter, the same as last year.

Gen X participation, meanwhile, rose 3 percentage points year-over-year to 28%.