Australians lose more to gambling than anywhere in the world, according to the Grattan Institute.

Data shows the average Australian lost over $1,600 to gambling in 2022. This was more than double the average loss in the U.S.

The report has reiterated calls for a ban on gambling advertising.

It also proposed ‘loss limits’ to restrict how much gamblers can spend on online betting and poker machines (‘pokies’).

Context

The Grattan Institute said Australia was one of the first nations to deregulate the gambling industry.

Pokies, or Electronic Gaming Machines (EGMs) became legal in NSW in 1956. The state has the highest rate of EGMs, with one for every 75 people.

Most other jurisdictions legalised EGMs in the 1990s, with pokies becoming common in local pubs and clubs.

WA is the only state where EGM access is restricted to casinos. Severe gambling harm is less common in WA compared to other states.

Poker machines are more common in Australian suburbs than:

• Public toilets
• ATMs
• Post boxes

Losses

Average annual gambling losses ($AU) per adult by country:

• Australia: $1,635
• U.S: $809
• NZ: $584

In the 2020/21 financial year, Australians lost a total of $24 billion to gambling. Around half was lost on EGMs.

A further $6 billion was lost on betting, followed by lotteries and casinos.

Australians who live within 250 metres of a poker machine are more likely to experience financial hardship from gambling.

By the numbers

In 2019, there was one poker machine for every 131 people in Australia.

This was the third-highest rate in the world, behind Japan and Macao.

93% of poker machines in Australia are located outside of casinos.
Australia is one of “only a small number of countries” that allows pokies outside of dedicated gambling venues, according to the Grattan Institute.

Recommendations

The report made several recommendations, including:

• Banning all gambling advertising
• Gradually cutting the number of pokies in each state
• Launching mandatory systems for online gambling and EGMs with daily, monthly, and annual limits on losses.

Grattan said loss limits would act as a ‘seatbelt’ to help gamblers avoid “catastrophic losses”. People would have to choose “how much they are willing to lose” before they start gambling.

Grattan Institute CEO and report co-author Aruna Sathanapally said: “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”.

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