Date: 06.09.2024

by Adam Dworak

Australia Urged to Tackle Gambling Harm Following New Grattan Institute Study

A recent study by the Grattan Institute, an Australian think tank, has called on the government to take decisive action to reduce gambling-related problems.

Australia

Pokies and Online Betting Are the Biggest Contributors

The study, titled A Better Bet: How Australia Should Prevent Gambling Harm, reveals that Australians lose approximately AUD1,635 ($1,101) annually on gambling—significantly higher than in countries like the United States ($544) and New Zealand ($393). The report identifies pokies (slot machines) and online betting as the key drivers of these losses.

Pokies are particularly prevalent in Australian communities, with more machines than public amenities such as toilets, ATMs, and post boxes.

The hardest-hit areas are poorer suburbs, with the report highlighting Fairfield, one of Sydney’s most economically disadvantaged communities, where residents lose around AUD3,967 ($2,672) each year on pokies—three times the state average.

Call for Government Action to Curb Gambling Harm

Aruna Sathanapally, CEO of the Grattan Institute, underscored the urgency of the situation: “Australia has let the gambling industry run wild, and gamblers, their families, and the broader community are paying the price. Gambling products are designed to be addictive, and the consequences can be catastrophic: job loss, bankruptcy, relationship breakdown, family violence, even suicide.”

Sathanapally emphasized the need for political action, urging lawmakers to resist the influence of the gambling lobby and implement reforms aimed at protecting vulnerable Australians.

Proposed Measures to Reduce Gambling Harm

The Grattan Institute report recommends several key reforms to reduce gambling-related harm. A central proposal is the ban on gambling advertisements, which have proliferated online and during sports broadcasts.

These ads, often targeted at young men, are seen as a driving factor behind the rise of online betting in the country.

Additionally, the report suggests the introduction of mandatory pre-commitment systems for both online betting and pokies.

These systems would require gamblers to set daily, monthly, and yearly loss limits before they start gambling, functioning like a “seatbelt” to prevent excessive losses.

Suggested limits include a daily loss cap of AUD100 ($67), with monthly and yearly limits of AUD500 ($337) and AUD5,000 ($3,368), respectively.

The think tank also advocates for a gradual reduction in the number of pokies across Australia, particularly in areas where gambling harm is most severe.

Industry Pushback and Response

Despite the urgency of these recommendations, the gambling industry has voiced opposition, warning that such reforms could threaten jobs, community clubs, and local sports organizations.

However, Sathanapally dismissed these concerns as overblown, calling for federal and state governments to collaborate on implementing the necessary changes to make gambling safer for Australians.

The Grattan Institute’s proposals echo earlier calls from the Self Help Addiction Resource Centre (SHARC), the Alliance for Gambling Reform (AGR), and the Greens, all of which have pushed for a ban on gambling advertising.