Ugly new data has exposed an open secret in Australia - and it should make everyone think

The startling truth about one of Australia’s pastimes has been laid bare in an unsettling report that might have you rethinking your next night out.

Australia is projected to generate a staggering $15.16 billion in online gambling revenue in 2024. Picture: iStock

ANALYSIS

It’s no secret we Aussies love a punt.

Whether it’s a Hail Mary flutter at the pub after a few too many beers with your mates, or a highly-researched and calculated bet to “beat the odds”, the truth is still the same: the bookies always win.

While some may say casual gambling, for the most part, is a harmless hobby that generates great banter and camaraderie between friends, others say it is a sleeping scourge on society that is systematically designed to drain our bank accounts.

A brief interaction I had with an American Down Under in 2016 summed up Australia’s somewhat unique place in the world when it comes to online gambling.

The traveller, who was doing a stint studying in Sydney, was absolutely shocked to discover we could open an account the moment we turn 18 and drop money on just about any sport under the sun.

At that time, that was only legal for him in Las Vegas.

Needless to say, he jumped right on the app and forked out his cash to join everyone in an age-old Australian rite of passage; losing a multi on the footy by one leg.

While we’d all like to believe we’re growing as a society and learning the truth about the harms of gambling, new data indicates that Australia is projected to generate a staggering $15.16 billion in online gambling revenue in 2024.

This positions Australia as the third-highest earner globally in a ranking of 61 countries, even among countries with significantly larger populations - meaning proportionally, we are by far the biggest gambling spenders.

The research, conducted by Japanese Online Casino Guide and sourced from Statista, paints a vivid picture of the global online gambling landscape.

The United States, with a population of 330 million, leads the pack with a projected revenue of $34 billion in 2024, representing a 20.3 per cent year-over-year increase.

Meanwhile, the United Kingdom, population 66 million, holds the second spot with $20.79 billion, despite experiencing a relatively modest growth rate of 7.4 per cent.

Australia’s projected $15.16 billion in revenue marks a massive 10.5 per cent increase from the previous year, with growth projected to continue at an annual rate of 5.12 per cent until 2028.

Even more startling is the fact 21 per cent of Australia’s 21.3 million adults say they participate in online gambling despite the fact we are smack in the middle of one of the tightest economic periods in recent memory.

New conducted by Japanese Online Casino Guide paints a vivid picture of the global online gambling landscape.

21 per cent of Australia’s 21.3 million adults say they participate in online gambling despite the fact we are smack in the middle of one of the tightest economic periods in recent memory.

The surge in online gambling revenue across multiple nations can be attributed to several factors.

Analysts say the Covid-19 pandemic, coupled with major technological leaps, contributed to the surge.

With traditional betting avenues closed overnight throughout the lockdown periods, many turned to online platforms where they could flutter away cash with a quick tap on their phones.

That shift that appears to have become “permanent”, according to Editor-in-Chief of the Japanese Online Casino Guide Emiko Matsuda. The global online gambling industry is now being tipped to triple by 2032, according to research from Statista.

Japan ranks fourth on the list, with an anticipated $6.19 billion in online gambling revenue for 2024, reflecting a 12.7 per cent year-over-year growth.

Germany, Canada, and France follow, with revenues of $5.65 billion, $4.19 billion, and $4.12 billion respectively.

Canada boasts the highest percentage of online gamblers, with 48.6 per cent of its population expected to engage in online gambling in 2024.

As Australia and other nations continue to see significant revenue from this sector, it will be crucial to monitor how governments and regulators respond to this growth.

In 2023, the federal government introduced a bill to ban the use of credits cards in online gambling, with massive fines for betting companies that fail to implement the new restrictions.

Companies will face a $234,750 fine if they do not enforce the ban.

Communications Minister Michelle Rowland said the legislation would protect vulnerable Australians and their families.

“It’s as simple as this: People should not be betting with money they do not have,” she said in 2023.

“The Australian government remains committed to protecting Australians from gambling harms.”

While some may say casual gambling, for the most part, is a harmless hobby that generates great banter and camaraderie between friends, others say it is a sleeping scourge on society that is systematically designed to drain our bank accounts.

Implementation of gambling in video games has also been put under the spotlight, with the Albanese government moving to introduce new age restrictions for games that encourage you to wager real-world money.

The states agreed to updated guidelines, which will come into effect in September this year.

Under the changes, computer games which simulate gambling, such as virtual casinos, will receive an adults-only R18+ classification.

Games which offer in-game purchases which involve elements of chance, such as paid loot boxes, will be classified as M and not recommended for children under 15.

The government said it was responding to potential harm caused by children being exposed to gambling-like content in video games.

It pointed to research by the Australian Institute of Family Studies, which found young people who were exposed to simulated gambling in video games were 40 per cent more likely to gamble later in life.

“The Albanese Government is determined to protect vulnerable Australians from gambling harms — including children who may be exposed to gambling through video games,” Communications Minister Michelle Rowland said.

“Research shows that children exposed to gambling-like content may be more vulnerable to gambling harm later in life – and we are determined to intervene early to keep children safe.”