A recent report from the Alliance for Gambling Reform estimates that gambling-related harm has cost residents of Victoria, Australia, over $9 billion USD (AUD $14 billion) in the 2022–23 financial year.
Reports Show How Much Gambling Costs the State of Victoria
The report, drawing on population surveys from 2022–23, estimates that gambling harm cost Victorians approximately USD $9.3 billion during the 2022–23 financial year. It shows a significant rise compared to the previous report from 2014–15. This estimate includes financial impacts such as bankruptcy, relationship breakdowns like divorce, emotional and psychological harm, including depression and suicide, as well as productivity losses affecting work or study.
The report also highlighted an “intensification” of gambling since 2014, with problem gamblers experiencing greater financial losses. Of the estimated total costs, AUD $5.2 billion (USD $3.5 billion) was linked to negative financial impacts. Emotional and psychological harm, including suicides, was estimated to cost the state AUD $3.3 billion (USD $2.2 billion). The burden on state and local governments was estimated at AUD $1.3 billion (USD $860 million).
Only one in ten Victorians gamble with any regularity, and electronic gaming machines accounted for a staggering AUD $6.7 billion (USD $4.5 billion) in costs, exceeding the combined impact of all other regulated gambling products. Even more concerning, 67% of users are experiencing the most severe forms of harm, while 95% are affected by some level of harm, according to the study.
Is Anything Being Done About This?
In July 2023, then-Premier Daniel Andrews announced a set of “landmark reforms” aimed at addressing gambling harm. However, according to Martin Thomas, chief executive officer of the Alliance for Gambling Reform, the current government has been slow to act, with many of the proposed reforms delayed by up to a year, and some now under reconsideration.
One of the most promising measures, mandatory carded play, which tracks gambling behaviour and helps limit losses, has already been successfully implemented at Crown Melbourne. Despite its success, trials of this system in pubs and clubs have been postponed, and there are now discussions about introducing facial recognition technology instead, which is a move critics argue prioritises industry profits over public wellbeing.
Even government backbenchers have voiced frustration over the lack of progress, particularly as the cost-of-living crisis deepens and more families come under financial strain. The Alliance for Gambling Reform and other advocates are calling on the government to resist industry influence and prioritize the health and safety of the community.