Leslie Massey
Gambling is a significant public health issue in Australia, with around 0.5-1.0% of adults experiencing significant problems and 1.4-2.1% at moderate risk. Despite this, gambling is a socially accepted behaviour in Australia, with over $287 million spent on advertising per year, and it generates over $7 billion in revenue for the government. Australians lose more than $25 billion a year to legal forms of gambling, representing the largest per capita losses globally. The activity is celebrated, ritualised, and mythologised, and is encouraged among friends and in social settings.
| Characteristics | Values |
|---|---|
| Gambling revenue for the government | $7 billion per year |
| Gambling revenue for sporting bodies | Significant, but exact figures are hard to obtain |
| Advertising spending on gambling | Over $287 million per year |
| Total taxes from gambling | $7 billion per year |
| Australians' losses from legal gambling | $25 billion per year |
| Australians' expenditure on online gambling | $800 million by 2010 |
| Total gambling expenditure/losses in New South Wales | $9.6 billion or $1,508 per capita |
| Total gambling expenditure/losses in Victoria | $4.6 billion or $882 per capita |
| Total gambling expenditure/losses in Queensland | $3.9 billion or $977 per capita |
| Number of poker machines in New South Wales | 95,800 |
| Number of poker machines in the Northern Territory | 91,675 |
| Percentage of individuals aged 12-17 who engage in gambling | 30% |
| Percentage of individuals aged 18-19 who engage in gambling | 46% |
| Percentage of Australians at risk of experiencing gambling-related harm | 8% (1.38 million) |
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What You'll Learn
Gambling is socially accepted and encouraged
Gambling is a significant public health issue in Australia, with around 80,000 to 160,000 adults experiencing significant problems due to gambling. It is also a major public policy issue, affecting the health and well-being of individuals and families in a range of ways. However, despite the social and economic harm caused by gambling, it is a socially accepted behaviour in Australia and is actively encouraged through advertising and other means.
Gambling is deeply ingrained in Australian culture and is often associated with social activities and the notion of "mateship". It is common for people to gamble with friends, while consuming alcohol, in social venues, and on mobile devices. The practice of “tipping”, or sharing gambling insights and predictions, is also widespread and adds a social dimension to gambling. For many, the social aspect of gambling and the excitement leading up to an event can be more enjoyable than the outcome itself.
The Australian government and media also play a role in normalising gambling. Gambling is a significant source of revenue for the government, generating around $7 billion in taxes annually. While the government has proposed restrictions on gambling advertising, these have not yet been implemented, and free-to-air television continues to be filled with ads for online gambling, particularly during sports programming. The media's heavy reliance on advertising revenue from gambling companies contributes to the normalisation of gambling in the public eye.
In addition to advertising, the government's treatment of gambling winnings as "good luck" rather than income further reinforces the social acceptance of gambling. This perspective allows individuals to view gambling as a hobby or recreational activity rather than a profession. The government's focus on taxing gambling operators instead of individuals contributes to this perception.
While gambling is socially accepted and encouraged in Australia, there is a growing recognition of its potential harms. Research suggests that nearly 8% of Australians are at risk of experiencing gambling-related harms, and there is increasing support for stricter regulations and a ban on gambling advertisements. However, the powerful influence of the gambling industry and its financial contributions to the government and sporting bodies have made it challenging to implement comprehensive reforms.
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Australians lose $25 billion a year
Gambling is a significant public health issue in Australia, with around 80,000-160,000 adults experiencing significant problems due to gambling. Official government research reveals that Australians lose more than $25 billion annually to legal forms of gambling, representing the largest per capita losses globally. This figure equates to approximately $1,527 lost per person per year.
In the 2019-20 financial year, total gambling expenditure in Australia was $21.2 billion, a decrease from $25.9 billion in 2018-19. This decline was largely due to COVID-19 restrictions, which led to temporary venue closures for casinos and poker machines in pubs and clubs. The biggest chunk of these losses, $15.8 billion in 2018-19, was on poker machines, or ""pokies,"" as they are commonly known in Australia. Pokies are extremely prevalent in Australia, with approximately 95,800 machines in New South Wales alone.
The Australian government treats gambling as a hobby or recreational activity, and gains from gambling are considered the result of good luck rather than taxable income. Instead, the government taxes gambling operators, generating around $7 billion in taxes annually. Gambling is also a significant source of revenue for sporting bodies and commercial media companies, with gambling advertising spending exceeding $287 million per year.
The social acceptance of gambling in Australia is deeply rooted in the culture, with gambling behaviours celebrated, ritualized, and even mythologized. ""Tipping,"" or sharing gambling tips with others, is a widespread phenomenon in the country. The allure of gambling extends beyond monetary gains, as many individuals enjoy the social bonds, excitement, and ego investment associated with the activity. However, the dark side of gambling cannot be ignored, as nearly 8% of Australians are at risk of experiencing gambling-related harms, and a small proportion engage in criminal activities related to their gambling habits.
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It's a major public health issue
Gambling is a significant public health issue in Australia, affecting the health and well-being of individuals and families in a range of ways. It is a socially accepted behaviour, actively encouraged through advertising spending of over $287 million per year. The Australian government also benefits from the activity, with gambling contributing over $7 billion in taxes annually.
The social costs of gambling in Australia are estimated at around $7 billion in Victoria alone, including adverse financial impacts, emotional and psychological costs, relationship and family impacts, and productivity loss and work impacts. The activity is so prevalent that around three-quarters of Australian adults gambled at least once in the past 12 months, with men gambling more often and spending more money.
The Australian Gambling Research Centre (AGRC) reports that around 80,000 to 160,000 (0.5-1.0%) of Australian adults experience significant problems due to gambling, with a further 250,000 to 350,000 (1.4-2.1%) at moderate risk. The activity is also gaining popularity among teenagers, with around one in three individuals aged 12-17 engaging in gambling, rising to nearly half among 18-19-year-olds.
The high prevalence of gambling in Australia has led to calls for tighter regulation and restrictions on advertising. While the government has proposed some measures, such as a ban on online gambling advertising, critics argue that these do not go far enough. The reluctance to implement stricter policies may be due to the significant revenue generated by the industry, with Australia having the highest per capita losses from gambling in the world, amounting to over $25 billion annually.
The normalisation of gambling in Australia has resulted in a range of negative consequences, including financial, relationship, psychological, legal, and health issues. The activity is also linked to increased corruption, with two of the country's biggest casino operators, Crown and Star, implicated in money laundering and partnerships with foreign organised crime figures. Despite this, gambling continues to be a culturally accepted practice, with Australians spending more on gambling per capita than any other country.
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Advertising spending normalises gambling
Gambling is a significant public health issue in Australia, with around 0.5–1.0% of Australian adults experiencing significant problems due to gambling. Australians lose more than $25 billion a year in legal forms of gambling, representing the largest per capita losses globally.
Gambling is a socially accepted behaviour in Australia, with a strong culture of "mateship" and social gambling. This is actively encouraged through advertising spending, which exceeded $287 million per year in 2021, according to Nielsen Research. The gambling industry spent $238.63 million on advertising on free-to-air TV, metro radio, and online between May 2022 and April 2023. This excludes in-stadium advertising and sponsorships, which are also significant sources of revenue for sporting bodies.
The high level of advertising spending has contributed to the normalisation of gambling in Australia. A 2016 study found that 75% of 8- to 16-year-olds thought gambling was a normal or common part of sport. The same study also revealed that children could name at least one gambling brand, with one-quarter able to name four or more. The proliferation of gambling advertising has led to concerns about its impact on children and young people, with calls for restrictions or a total ban on gambling advertisements.
The Australian government has recognised the harm caused by gambling and proposed measures to reduce gambling participation among young Australians. However, implementing a ban on gambling advertising has been challenging due to the significant revenue generated for media companies and sporting bodies. The government is also reluctant to lose the taxation revenue generated from gambling, which amounted to $7 billion a year.
The normalisation of gambling through advertising spending has contributed to the high prevalence of gambling in Australia. It has become intrinsically linked to everyday activities and social bonding, with many Australians viewing it as a recreational activity rather than a profession. While most gamblers lose money overall, the industry thrives due to the financial rewards for regulating bodies, bookies, and a small percentage of professional gamblers.
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It's a significant source of government revenue
Gambling is a significant source of revenue for the Australian government. In 2015-16, gambling revenue accounted for 7.7% of state and territory taxation revenue, equivalent to $7 billion in total taxes from gambling per year. The rate varies across states, from 2.5% in Western Australia to 12.0% in the Northern Territory.
Gambling operators are taxed on turnover, player loss, and net profit, with taxes differing between states and gambling services. For example, in New South Wales, clubs and hotels made a net profit of almost $3.1 billion from poker machines alone between December 2017 and May 2018. Fairfield in New South Wales generated $298 million in clubs and $93 million in pubs from poker machines in 2013, showcasing the significant revenue generated from gambling.
The Australian government also benefits from gambling through licensing fees, as operators need a licence to offer their services. Gambling revenue is a substantial source of funding for sporting bodies, contributing to the overall revenue generated for the government.
Despite the significant revenue, it is important to acknowledge the social costs associated with gambling. These costs, including financial, emotional, psychological, and relationship impacts, have been estimated at around $7 billion in Victoria alone. The Australian government has recognised the negative impacts of gambling, with plans to implement restrictions on gambling advertising. However, these restrictions fall short of the complete ban favoured by a majority of Australians, indicating a continued reliance on gambling revenue.
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Frequently asked questions
Gambling is a significant part of Australian culture and is socially accepted and encouraged. It is viewed as a recreational activity and a hobby, with the government treating gains from gambling as a result of luck rather than income. Australians spend a lot on gambling, with nearly $25 billion lost on legal gambling forms annually, and the government earns over $7 billion in taxes from it.
The Australian government has been criticised for its slow response to the negative impacts of gambling. While it has been acknowledged as a public health issue, the government has been reluctant to implement policies to address it due to the revenue it generates. However, there are plans to restrict gambling advertising, and the government does not allow online gambling operators to offer 'real-money' interactive gambling services to residents.
Gambling has adverse financial, emotional, psychological, and social impacts on individuals, families, and communities. It is estimated that nearly 8% of Australians are at risk of experiencing gambling-related harm, and some engage in criminal activities as a result. Gambling is also normalised in Australia, with many teenagers gambling and being more likely to gamble than to participate in sports.
Australians engage in various forms of gambling, including electronic gaming/poker machines, sports betting, casino table games, racing wagers, and lotteries. 'Tipping', or sharing knowledge and predictions about events, is also a significant part of Australian culture.
Gambling is often encouraged through advertising and is linked to social activities and the notion of 'mateship'. It is viewed as a fun activity to do with friends and is often associated with social venues and the consumption of alcohol. Many Australians also enjoy the thrill of predicting results and the potential financial gains.
