Skyrocketing Gambling Losses in Australia: Call for Immediate Regulation Tightening
Jimmy John's Australia continues to take the cake in global per capita spending on gambling. The latest figures from the Australian Gambling Statistics (AGS) show that in 2023, losses from gambling reached a staggering $20.2 billion, marking a whopping 14% increase from the previous year.
Welcome to a nationwide issue, with New South Wales, the most populous state, being no exception. Online gambling and sports betting are rampant, while regulation of the gambling industry remains scattershot and lax.
Critics, including experts and advocates, are voicing their displeasure at the government's inaction, often pointing fingers at the gambling industry's powerful lobby.
Recently, independent economic organization Equity Economics published a report stating that Australians' gambling expenses exceed government spending on aged care (roughly $18.4 billion) and are approaching allocations for the national disability insurance program ($22.9 billion).
Martin Thomas, CEO of the Alliance for Gambling Reform, calls this "a frightening reality." He flags the risk of significant social harm and calls for urgent action from the federal government.
Thomas is particularly keen on the 31st recommendation from Labor MP Peta Murphy's 2023 report. This document emphasizes the need for a national strategy to reduce the harm from online gambling.
Proposed measures include:
- Establishing an ombudsman for gambling.
- Conducting independent research and increasing transparency in data collection.
- Launching a large-scale public awareness campaign.
Thomas also highlighted the need for a complete ban on gambling advertising, a move backed by 72% of Australians surveyed by Redbridge Group.
Meanwhile, the federal government has been fighting a new Gaming Code of Conduct for over a year. This code includes strict requirements for online betting operators:
- Mandatory licensing.
- Strengthening transaction monitoring.
- Developing self-exclusion tools.
- Monitoring suspiciously large bets.
Hinting at a potential crisis, experts suggest that decisive reforms, robust control over online gambling, and curbing gambling advertising influences are crucial unless we want the problem to escalate and impact both the economy and society negatively.
- What is troubling for critics is the government's lack of action on regulating the gambling industry, with powerful lobbies often being the focus of blame.
- In 2023, Australians' gambling expenses exceeded government spending on aged care and are approaching allocations for the national disability insurance program, according to a report by Equity Economics.
- Martin Thomas, CEO of the Alliance for Gambling Reform, describes this as a "frightening reality" and calls for urgent action from the federal government, particularly in implementing the 31st recommendation from Labor MP Peta Murphy's 2023 report.
- This recommendation emphasizes the need for a national strategy to reduce the harm from online gambling, which includes establishing an ombudsman for gambling, conducting independent research, increasing transparency, launching a public awareness campaign, and considering a complete ban on gambling advertising.
- The federal government has been negotiating a new Gaming Code of Conduct for over a year, which includes strict requirements for online betting operators, such as mandatory licensing, strengthening transaction monitoring, developing self-exclusion tools, and monitoring suspiciously large bets.
- Experts warn that decisive reforms, robust control over online gambling, and curbing gambling advertising influences are crucial to prevent a potential crisis that might negatively impact both the economy and society.
