Global gambling revenue will exceed $150bn annually by 2012, a PricewaterhouseCoopers LLP report suggests.

The report, Global Entertainment and Media Outlook: 2008-2012, predicts global gambling revenue will increase by a compounded rate of 6.5 per cent each year, from $114bn in 2007 to $155bn in 2012.

According to the report, the surge will be driven by new casinos and upgrades to existing ones.

The Asia Pacific region will be the world's fastest growing gambling region, PricewaterhouseCoopers said.

The financial consulting firm estimates that gambling revenue for the region will increase by 15.2 cent annually, to reach $37.2bn by 2012. It currently stands at $18.3bn.

The US will remain the global leader in terms of gambling revenue by region, the report predicted.

But revenue growth will be much slower in the US, increasing by 4 per cent annually from $60.3bn in 2007 to $73.3bn in 2012.