Healthway s position on Gambling

Healthway s position on Gambling Gambling in Australia Gambling is a common recreational pursuit in Australia. The spectrum of gambling is wide, ranging from the popular Lotto (state or national lotteries), scratchies and bingo, to those considered to pose greater harms such as electronic gaming machines (EGMs, also known as the pokies ), table games (e.g. roulette and blackjack), racing and sports wagering, and the burgeoning online gambling industry. Patterns of gambling have changed rapidly in recent years with the advent of on-line and other forms of gambling, and the most recent data available almost certainly fail to capture these trends. In 2010, the Productivity Commission estimated that around 60-70% of Australian adults gamble each year 1 and per capita, gambling expenditure in Australia is among the highest in the world. 2 In addition, classifying problem gambling and obtaining prevalence estimates is complex and it is likely that the available figures represent an underreporting of the problem. The Productivity Commission estimated that between 80,000-160,000 (0.5-1.0%) of Australian adults are problem gamblers while a further 230,000-350,000 (1.4-2.1%) are at risk of developing problems with gambling. 1 While the figures may suggest that problem gambling is low in the adult population, it is pronounced among those who gamble regularly. Nationally, there is evidence that electronic gaming machines pose the greatest problems. Approximately 4% of Australian adults play these machines weekly or more often, and around 15% of this group would be classified as problem gamblers, with around an additional 15% experiencing moderate risks. 1 Gambling in WA Western Australia only permits destination gaming and has an international casino but does not allow gaming machines in hotels and clubs. In 2010 the Productivity Commission reported a lower prevalence of problem gambling in WA than other states and territories 1, however there is a lack of reliable data on the prevalence of other forms of gambling in WA, and on the extent of problem gambling associated with different gambling formats. Young people Adolescents are engaging in gambling and exhibiting gambling-related problems at significantly higher levels than those found in the adult population. Research from Australia and internationally shows that over 60% of teenagers gamble each year with 10-15% at-risk of developing or returning to a serious gambling problem. 3-6 Casino-style games and gambling applications on social media and other on-line services have become increasingly popular and are highly accessed by children and young people. 7 Many of these games escape regulation as they involve virtual money or credits, even where these may be purchased with nominal amounts of real money, as long as the credits cannot be converted back to cash or items of value 7. Problem gambling behaviour is typically developed during adolescence and has strong associations with other maladaptive behaviours including substance use, unprotected sex and mental health issues such as mood and personality disorders, suicidal ideation and poor social relationships. 4,8 Gambling Trends Online gambling appears to be one of the fastest growing forms of gambling both in Australia and internationally 1 The main forms of online gambling are online wagering and online gaming. Online wagering includes betting on racing, sports betting and betting on the 1

outcome of events. Online gaming is comprised of casino games, poker and virtual gaming machines, and tends to involve small but high frequency wagers, similar to venue-based EGMs. For example, venue-based wagering on sporting events traditionally involve betting on the outcome (which team will win and what the margin will be) however, the internet allows for frequent micro-bets to be placed during the course of an event such as in a cricket match, e.g. whether the next delivery will be a no ball. 1 The increase in the use of the internet for gambling can expose new groups (particularly vulnerable groups such as children and young people) to the risks of problem gambling. In 2010 the Productivity Commission 1 estimated that between 1% and 4% of Australians gamble through interactive media, although a poll conducted by Roy Morgan Research slightly earlier indicated that 30% of Australians over the age of 16 years gamble online. 9 These figures are likely to be under-estimates given the difficulty in obtaining precise data on the prevalence of online gambling and that the majority of online gambling sites are run by offshore companies and licensed providers operating in unregulated markets. 10 In addition, the figures are likely to out-dated given the surge in online gambling since these reports were published. The harms Despite the apparently low prevalence of gambling (particularly compared with other health behaviours and issues such as smoking, alcohol misuse and obesity), the social cost of problem gambling in Australia is estimated to be at least $4.7 billion a year and for this reason policy measures with only modest efficacy in reducing harm are likely be worthwhile. 1 Measures of the harms of problem gambling are wide ranging. Problem gamblers experience high levels of comorbid mental health disorders and substance abuse, and they or their families may experience stress-related physical and psychological ill health as a consequence of their gambling activities. 11-13 Other adverse effects include family breakdown, domestic violence, criminal activity, disruption to or loss of employment, and social isolation. Additionally, problem gambling may compromise the capacity to afford basic living necessities such as food, shelter, transport and health and medical services. 1, 11 The potential impact on children and young people may therefore extend well beyond the direct harms resulting from their active participation in gambling. There appears to be increasing community support for gambling reforms with around three quarters of Australian adults of the opinion that gambling does more harm than good for the community. A recent WA study examined public perceptions of sponsorship activities undertaken by companies promoting unhealthy products and behaviours, including gambling. The study found that gambling companies were considered to be the least appropriate sponsors of children s sport (followed by alcohol companies and unhealthy food/drink companies) and community events. 14 Gambling and sport The proliferation of gambling sponsorship and advertising in Australian sport serves to further normalise the association between sport and gambling, and is of particular concern given Healthway s efforts to promote good health through sponsoring sport. Among the major sports in Australia, the Australian Football League (AFL) has a sponsorship agreement with TAB while some eastern states clubs also have individual sponsorship agreements with gambling brands. Cricket Australia is sponsored by Bet365, along with 13 official betting partners, although in WA, the WACA does not have a gambling sponsor. Football Federation Australia (FFA) has a sponsorship agreement with TAB, however none of the Australian A-League clubs has a betting sponsor. National Rugby League is the only major code without an official gambling sponsor although most individual NRL clubs have their own betting sponsors. It is common for betting odds for the major Australian sports to be routinely displayed on giant screens before and during matches. One study of AFL 2

matches indicated that per match, an average of 58.5 episodes of sports betting marketing occurred at stadiums and 50.5 episodes appeared during televised broadcasts. 15 By comparison, New Zealand has demonstrated strong leadership in the area of gambling policy and reforms. Earlier in 2013, to comply with New Zealand s ban on the promotion of offshore gambling outlets, the St Kilda Football Club was forced to black out Centrebet s name from its uniform for its match against the Sydney Swans in Wellington. 16 The recent increase and saturation of gambling advertising within sport has the potential to normalise gambling behaviours in society, particularly among children and young people. While the impact of this increase on the availability and promotion of sports betting has not yet been widely researched, there is compelling evidence in relation to alcohol on the impact of heavy marketing on consumption, particularly among young people, which could be considered comparable. Alcohol marketing has been found to influence the age at which drinking commences, the volume and frequency of drinking, and alcohol-related beliefs and attitudes. Further, these effects have been found to be cumulative, becoming more pronounced as the volume of advertising and promotion increases. 17 Addressing and minimising the risks In 2013, the Department of Broadband, Communications and the Digital Economy released its final report into the review of the Interactive Gambling Act 2001. 7 The review concluded that the legislation had made only a very minor contribution to reducing harm to problem gamblers and made a number of recommendations designed to strengthen its effectiveness, including extending the powers of the Australian Communications and Media Authority (ACMA) in monitoring and enforcing measures to restrict internet gambling. 7 In May 2013 the Australian government announced that it would ban TV and radio networks from promoting live odds and restrict gambling advertisements during sporting matches. Within hours of this announcement, the television and gambling industries had agreed to a voluntary ban on promoting betting odds during sporting matches although critics pointed to a number of loopholes still remaining. 18 In addition, there is clear evidence from other areas that self-regulation of marketing activities by the industry itself has been overwhelmingly ineffective. 17 Restricting live odds announcements during matches is a modest regulatory step in responding to the promotion of online gambling in light of the fact that its impact is weakened by the range of other marketing strategies that continue to propagate during sporting matches. It has been suggested that these strategies are being employed to embed sports betting within the game, align sports betting with fans' overall experience of the game, and encourage individuals to bet live during the game. 15 A recent WA study of sport/product associations among children aged 5-12 years assessed the extent to which children associate gambling brands with sport. The study found that for most sports, gambling brands had achieved a level of association comparable to that demonstrated for alcohol brands, a concerning finding given the relative recency of the strong promotion of these gambling brands. 19 Addressing the harms associated with gambling requires a combination of prevention, harm minimisation and individual treatment. 20 A commitment to tackling problem gambling may also require governments to reduce their reliance on gambling revenue. A comprehensive approach incorporates policy measures that regulate and restrict the marketing and availability of gambling in all its different forms. It should include measures to limit design features that encourage high intensity gambling and to control the distribution of gambling products. In addition to these upstream strategies, interventions are also required to minimise or restrict the potential harms associated with individual gambling occasions. 20 3

Healthway s Position Healthway acknowledges the harms associated with problem gambling, particularly its association with Healthway s high priority area of mental health. Healthway also recognises the growing association between sport and gambling in Australia and the potential for this to normalise gambling behaviours among children and young people, and endorses efforts to curb aggressive gambling promotions and live betting during sporting events. In the past, Healthway has been a long-term sponsor of several racing codes with an entrenched association with gambling including greyhound, horse and harness racing. However, from 2013 Healthway is transitioning out of any remaining sponsorship arrangements with these forms of racing due to their limited reach and health promotion returns. Healthway supports the underlying principles of the AMA s position on problem gambling 20, which highlights the need for independent regulation in this area and in particular, stronger measures to protect young people and groups known to be at greater risk. A number of health organisations nationally are also in the process of developing formal positions on this area. Healthway will continue to monitor the literature and developments in gambling reform. Healthway s co-sponsorship policy 21 aims to minimise the risk of an unhealthy product or brand undermining Healthway s objectives or diminishing the effectiveness of health promotion messages in sponsorship. In implementing the policy, Healthway requires all organisations applying for Healthway sponsorship to declare any sponsorship or support (monetary or otherwise) that may result in the promotion of alcohol, food or drink products in association with the organisation s activities. Gambling promotions and brands also have the potential to undermine health promotion objectives and from 2014, Healthway will additionally require organisations applying for sponsorship to declare any associations with gambling brands and services, so that Healthway can assess the potential risk that these could undermine Healthway s objectives. References 1. Productivity Commission. Gambling. Canberra 2010. 2. The Economist Online. Gambling: the biggest losers 2011. Available from: http://www.economist.com/blogs/dailychart/2011/05/gambling. 3. Delfabbro P, Thrupp L. The social determinants of youth gambling in South Australia. Journal of Adolescence. 2003;26:313-30. 4. Derevensky J, Gupta R. Preface. In: Derevensky J, Gupta R, editors. Gambling probelms in youth: theoretical and applied perspectives. New York: Kluwer Academic/Plenum Publishers; 2004. 5. Johansson A, Gotestam K. Gambling and problematic gambling aong Norwegian youth (12-18 years). Nordic Journal of Psychiatry. 2003;57:317-21. 6. National Research Council. Pathological gambling: a critical review. Washington D.C: National Academy Press, 1999. 7. Department of Broadband, Communications and the Digital Economy. Review of the Interactive Gambling Act 2001. Australian Government, Canberra, 2012. 8. Gupta R, Derevensky J. Adolescent gambling behavior: a prevalence study and examination of the correlates associated with excessive gambling. Journal of Gambling Studies. 1998;14:319-45. 9. Neilsen Online. The Australian Internet and Technology Report 2008-2009. 2010. 10. Gainsbury S, Blaszczynski A. The Prevalence of Interactive and Online Gambling in Australia. Submission to the Senate Community Affairs Committee on the Inquiry on Interactive and Online Gambling in Australia 2010. 11. Delfabbro P. A review of Australian gambling research. Melbourne: Gambling Research Australia, 2008. 4

12. Lorains F, Cowlishaw S, Thomas S. Prevalence of comorbid disorders in problem and pathological gambling: systematic review and meta-analysis of population surveys. Addiction. 2011;106:406-98. 13. Rickwood D, Blazscynski A, Delfabbro P, Dowling N, Heading K. The psychology of gambling. Melbourne: Australian Psychological Society, 2010. 14. Pettigrew S, Ferguson R, Rosenberg M. Advocacy Monitor 2012-2013. University of Western Australia: Health Promotion Evaluation Unit, 2013. 15. Thomas S, Lewis S, Duong J, McLwod C. Sports betting marketing during sporting events: a stadium and broadcast census of Australian Football League matches. Australian and New Zealand Journal of Public Health. 2012;36(2):145-52. 16. Australian Football League. Sponsor banned from St Kilda uniform [cited 25 July 2013]. Available from: http://www.afl.com.au/news/2013-04-24/bets-are-off-for-saints/. 17. Dobson C. Alcohol marketing and young people: time for a new policy agenda. Canberra: Australian Medical Association, 2012. 18. Swan J, Maley J. Gillard moves to ban live betting odds Melbourne: The Age; [cited 24 July 2013]. Available from: http://www.theage.com.au/federal-politics/political-news/gillard-moves-toban-live-betting-odds-20130526-2n5e6.html#ixzz2zwoxdun3. 19. Pettigrew S, Ferguson R, Rosenberg M. Children's assimilation of sports sponsorship messages. University of Western Australia: Health Promotion Evaluation Unit, 2013. 20. Australian Medical Association. The Health Effects of Problem Gambling: AMA Position Statement 2012 [cited 24 July 2013]. Available from: https://ama.com.au/positionstatement/health-effects-problem-gambling. 21. Healthway Co-sponsorship policy. 2010. http://www.healthway.wa.gov.au/programs/cosponsorship-policy-and-guidelines. 29 October 2013 5