Will the Government's Online Gambling Advertising Legislation Ever Eventuate?

Will the federal government's online gambling marketing legislation ever eventuate? Don't bet on it

1. David Rowe Emeritus Professor of Cultural Research, Institute for Culture and Society, Western Sydney University

2. Hunter Fujak Senior Lecturer in Sport Management, Deakin University

David Rowe has received funding from the Australian Research Council to support research associating with this post: Struggling for Possession: The Control and Use of Online Media Sport (with Brett Hutchins, DP0877777); 'A Nation of "Good Sports"? Cultural Citizenship and Sport in Contemporary Australia' (DP130104502), and 'Australian Cultural Fields: National and Transnational Dynamics' (with Tony Bennett et al, DP140101970).

Hunter Fujak does not work for, consult, own shares in or get funding from any business or company that would gain from this article, and has disclosed no appropriate affiliations beyond their academic consultation.

Deakin University and Western Sydney University supply financing as members of The Conversation AU.

https://doi.org/10.64628/AA.69ptrywag

As the next federal election came into view before the summer break, concern increased that Labor wouldn't be honouring its commitment to present new constraints on online (particularly sport) gambling advertising during the present parliamentary sitting.

Those worries were well-founded, regardless of pressure from many sides and broad bipartisan political support.

The Greens made a last-ditch effort to work together with the government to pass some reforms in the February 2025 sitting, however were rebuffed.

Instead, Communications Minister Michelle Rowland blamed the delay on the intricacy of advertising reform and the need to continue assessment.

This is in spite of a Legislature inquiry into the harmful effects of online betting, led by the late Labor MP Peta Murphy, concluding in June 2023.

In the meantime, much less well-researched however wider-ranging legislation banning kids under 16 from using social media was presented and passed in just eight days in November 2024.

There are both deep historical and immediate political reasons this legislation has been slowed down.

A nation of sporting gamblers

Professional sport in Australia has an inglorious history of promoting unhealthy items and services, including cigarettes, sugary drinks, quick food, alcohol and betting.

Television and, later on, online advertisements have been particularly efficient cars for linking sport gambling with possible customers.

This has actually triggered prevalent objections to the health and social consequences and intrusiveness of gambling advertising.

There is convincing proof that Australia's world-leading per capita expenditure on gaming and the important function of sport gambling advertisements cause damage to a significant variety of people, families and communities.

Such harm includes negative impacts on relationships, health, psychological wellness, financial resources, work and research study.

The gamblification of sport

Although sport comes third among the main locations of gambling in Australia, it is without a doubt the most prominent, especially in homes.

Find out more: Pokies? Lotto? Sports wagering? Which kinds of issue gambling impact Australians the most?

The so-called gamblification of sport, accelerated by digitisation, normalises the principle of betting chances among kids and young individuals.

Sport and media's enthusiasm for betting cash has actually provoked strong pushback over its negative social effects, with installing public pressure for greater controls on gambling marketing.

A recent poll discovered about 72% of those surveyed wished to ban online gaming advertisements, while another of AFL fans reported 76% supported tv and radio ad prohibits.

The action of and to the Murphy Report

Your House of Representatives Standing Committee on Social Policy and Legal Affairs was charged with investigating online betting and its effects.

It made 31 suggestions, with unusual cross-party assistance, in its "you win some, you lose more" report (which was not only about sport).

Contrary to a lot of public debate and media reporting, it did not formally advise a blanket ban on all gambling marketing. Its terms of referral just betting.

But Murphy's foreword - calling for a "phased, thorough ban on all betting marketing on all media; broadcast and online, that leaves no space for circumvention" - caught the most attention.

The main suggestion was for a three-year, four-phase restriction on all types of online gaming advertising. Dedicated racing channels and programming were exempted and small neighborhood radio broadcasters given additional time to comply.

After more assessment lasting practically 18 months, it's clear this calibrated proposition is not favoured by the federal government.

Journalists were backgrounded about a watered down law topping advertisements for betting at 2 per hour per TV channel before 10pm, and prohibiting them for an hour either side of a live sport event. A blanket restriction would apply just to betting advertisements on social media and other digital platforms.

Yet even these more modest reforms did not proceed as anticipated.

The reason, it has been widely reported, was heavy lobbying by the sport, media and betting markets.

High-stakes horse trading

The privileged access to federal government gotten by these sectional interests has had an effective effect on betting legislation.

The Coalition of Major Professional and Participation Sports has continually withstood tightening regulations on sport sponsorship and betting ads.

It declares their decrease or loss would damage the monetary viability of its members and their support for grassroots sport.

However, Australia's significant sports leagues derive significant gaming profits from direct sources (sponsorship, item fees) and indirectly from the worth of media rights.

The AFL and NRL generated cumulative earnings of $1.06 billion and $701 million respectively in 2023.

So while sport leagues would have less capability to monetise their media rights if gambling ads were decreased, it would neither threaten professional sport in basic nor seriously jeopardise financing of junior involvement.

Follow the cash

An Australian Communications and Media Authority report found capital city free-to-air tv featured 1,381 gambling spots each day between May 2022 and April 2023.

Gambling companies invested $162 million on free-to-air television advertising throughout this duration, not consisting of additional investment on membership platforms.

As free-to-air commercial TV is already losing advertising earnings to digital media platforms, limitations on this lucrative marketer classification would not be as easily absorbed today as the tobacco marketing bans in the 1970s.

This is why sports and their media and betting partners are battling so hard against the legislation.

And all this capital streaming to and through sport, gaming, and media has actually created the possible to inflict political damage on gambling reforming federal governments.

Negotiations behind closed doors can easily break out into public campaigns, similar to the infamous "axe the (carbon) tax" agitation, if effective organisations are not pleased.

Gambling and the young citizen

Sport betting advertisements in Australia have actually especially targeted young men in a jocular larrikin design. But young ladies are now likewise being induced to bet in greater numbers.