Huge coronavirus lift in online gambling, Netflix: NAB

A lack of sport has not stopped locked-down punters fuelling a massive jump in online gambling, even as overall consumer spending tumbles, new data shows.

Jockey Lewis German rides Sagarra to victory in the Ladbrokes at Sandown in Melbourne this week. Picture: AAP

Social distancing has fuelled an online gambling and Netflix binge amid a massive plunge in household spending across almost every category, according to a National Australia Bank analysis that reveals

Spending on internet gambling though surged almost 20 per cent the four weeks to 19 April when households across the nation were compelled to stay at home to curb the spread of the coronavirus, according to an analysis of NAB’s retail and business customers that paints a grim economic picture.

“Don’t ask me what the gambling is exactly but for it to show up it’s being spent in Australia, in AUD,” chief economist Alan Oster said.

The data, the most comprehensive analysis of business and consumer spending and receipts yet published, also found supermarkets were now struggling after an initial stampede in March.

“Supermarkets were holding everything else up until about 23 March, but food retailing has started to come back down, Mr Oster said.

“The data shows dramatic falls in consumption-based spending and business payment inflows post COVID-19 containment measures, with the pace of decline continuing to accelerate quite rapidly across many industries,” the bank’s economists said in a statement.

Overall consumption spending fell 19.5 per cent since the start of the year, including a 23 per cent fall in Victoria, more than any other state. Consumption had fallen least in Tasmania, down 15 per cent.

“Relative to the previous week, the rate of spending decline has accelerated in all states and territories, and now ranges from 9.4 per cent in WA to 7.2 per cent in the NT, the statement said

“By examining around 2.7 million daily transactions [including credit, debit card purchases and BPay payments], NAB can see how much Australian consumers are spending and where this spending is taking place by industry,” they added.

NAB has been sharing the analysis with federal and state governments for weeks to help authorities work out how bad the downturn will be.

Internet publishing and broadcasting, which includes online television and movies, enjoyed a 30 per cent increase over the 4 week period, more than any other subsector,

The data also showed merchants in all sectors were experiencing large falls in income, including mining (down 44 per cent).