Pagcor warns of aid cuts amid higher sports funding mandate

The Philippine Amusement and Gaming Corp. (Pagcor) has warned that disaster assistance, school and hospital aid, and other community development programs may be scaled back due to a 2024 Supreme Court decision mandating higher payments to the government's sports agency.

Pagecor Chair and Chief Executive Alejandro Tengco indicated that the increased monthly contributions to the sports body would strain the gaming regulator's budget, potentially forcing difficult choices about discretionary spending. The company has historically allocated funds toward nation-building initiatives beyond its core regulatory functions.

The Supreme Court ruling effectively redirected a larger portion of Pagcor's revenues toward sports development, leaving fewer resources available for social programs. Gaming regulators said the impact on their ability to respond to calamities and support education and health sectors remained under review as they adjusted to the new financial requirements.

Pagecor, which generates government revenue through gaming operations, has traditionally balanced regulatory duties with corporate social responsibility initiatives. Officials are now examining which programs can be maintained and which may require reduction or postponement.