It's been the steepest year-over-year decline in 2026, as Illinois sportsbooks fell off, compared to last year in the same month, according to the latest state revenue report. Bettors placed noticeably fewer wagers in May than they did a year earlier, even as sportsbooks managed to hold onto strong profit margins. The numbers point to a trend that has been building for months, not a one-time dip.
May Handle Falls 10% Year Over Year
The Illinois Gaming Board reported that online and retail sportsbooks generated $1.14 billion in wagers during May, a 10.2% drop from May 2025. That marks the largest year-over-year decline the state has seen so far this year. The number of individual bets placed fell even more sharply, down 21% from the same month last year, a step back from April's 25% decline but still a significant pullback in betting activity.
Despite the drop in volume, the state has now recorded nine consecutive months with a handle north of $1 billion, a streak that shows the market is still large even as growth slows. Adjusted revenue for the month came in at $118.9 million, only a modest 1.7% decrease from May 2025, thanks to a solid 10.4% hold rate across the market.
Illinois Sportsbooks Are Winning More From Fewer Bets
The pattern emerging in recent months is that Illinois sports betting apps are collecting a larger share of every dollar wagered, even as fewer dollars come through the door. FanDuel led the pack in May with a 14.5% hold, continuing a run of strong win rates that has become a theme in 2026. In April, FanDuel posted a 13% hold on $333.6 million in handle, while DraftKings led in total volume with $418.5 million in handle but a lower 10.6% win rate.
Much of the decline in betting activity traces back to new fees passed on to customers. Illinois implemented a per-wager tax on online sportsbooks in mid 2025, and operators, including FanDuel and Fanatics, responded by adding their own surcharges on every bet placed in the state. Since sportsbooks began passing those costs on to bettors last fall, the number of wagers placed each month has consistently trailed the prior year's totals.
What to Watch Next
The bigger question for Illinois sportsbooks is whether this decline in betting volume is a temporary lull or a lasting shift in bettor behavior. With per-wager fees now built into the cost of betting and Chicago's added tax on top of the state's own rates, bettors may simply be placing fewer, more selective wagers rather than leaving the market altogether. If June's numbers show hold rates remaining strong while volume continues to fall, it will reinforce the idea that sports wagering in Illinois is maturing into a smaller but more profitable market rather than shrinking outright.
