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

Will the government's online betting 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 financing from the Australian Research Council to support research connecting to 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 benefit from this post, and has divulged no pertinent associations beyond their academic consultation.


Deakin University and Western Sydney University provide funding as members of The Conversation AU.


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


As the next federal election appeared before the summer break, issue increased that Labor would not be honouring its commitment to present new limitations on online (specifically sport) gambling advertising throughout the existing parliamentary sitting.


Those worries were well-founded, in spite of pressure from lots of sides and broad bipartisan political support.


The Greens made a last-ditch attempt to cooperate with the federal government to pass some reforms in the February 2025 sitting, but were rebuffed.


Instead, Communications Minister Michelle Rowland blamed the hold-up on the intricacy of marketing reform and the requirement to continue assessment.


This is despite a Legislature inquiry into the hazardous impacts 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 prohibiting kids under 16 from using social networks was presented and passed in just 8 days in November 2024.


There are both deep historic and instant political reasons that this legislation has been bogged down.


A country of sporting bettors


Professional sport in Australia has an inglorious history of promoting unhealthy goods and services, including cigarettes, sweet beverages, junk food, alcohol and gaming.


Television and, later, online advertisements have been particularly effective vehicles for linking sport gambling with prospective consumers.


This has actually triggered widespread objections to the health and social effects and intrusiveness of betting marketing.


There is persuading evidence that Australia's world-leading per capita expenditure on gambling and the integral role of sport gaming advertisements trigger damage to a significant number of individuals, families and neighborhoods.


Such harm includes negative results on relationships, health, psychological wellbeing, financial resources, work and study.


The gamblification of sport


Although sport comes 3rd amongst the main locations of gambling in Australia, it is without a doubt the most prominent, specifically in homes.


Read more: Pokies? Lotto? ? Which types of problem betting affect Australians the most?


The so-called gamblification of sport, accelerated by digitisation, normalises the idea of betting chances amongst children and young individuals.


Sport and media's enthusiasm for betting cash has provoked strong pushback over its unfavorable social repercussions, with mounting public pressure for higher controls on gambling advertising.


A recent survey found about 72% of those surveyed wished to ban online gaming advertisements, while another of AFL fans reported 76% supported television and radio advertisement prohibits.


The reaction of and to the Murphy Report


Your Home of Representatives Standing Committee on Social Policy and Legal Affairs was charged with investigating online gambling and its impacts.


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 most public dispute and media reporting, it did not formally recommend a blanket ban on all gambling advertising. Its terms of referral just covered online gaming.


But Murphy's foreword - requiring a "phased, thorough ban on all betting advertising on all media; broadcast and online, that leaves no room for circumvention" - captured the most attention.


The main suggestion was for a three-year, four-phase ban on all kinds of online gambling advertising. Dedicated racing channels and programming were exempted and little community radio broadcasters offered extra time to comply.


After more assessment lasting nearly 18 months, it's clear this adjusted proposal is not favoured by the government.


Journalists were backgrounded about a thinned down law capping advertisements for gambling at 2 per hour per TV channel before 10pm, and banning them for an hour either side of a live sport event. A blanket ban would apply only to betting ads on social media and other digital platforms.


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


The factor, it has actually been commonly reported, was heavy lobbying by the sport, media and betting markets.


High-stakes horse trading


The privileged access to government acquired by these sectional interests has actually had an effective impact on betting legislation.


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


It claims their reduction or loss would harm the monetary viability of its members and their assistance for grassroots sport.


However, Australia's significant sports leagues derive considerable betting earnings from direct sources (sponsorship, product fees) and indirectly from the value of media rights.


The AFL and NRL produced cumulative incomes of $1.06 billion and $701 million respectively in 2023.


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


Follow the cash


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


Gambling companies spent $162 million on free-to-air tv marketing throughout this duration, not including further financial investment on subscription platforms.


As free-to-air business TV is currently losing marketing earnings to digital media platforms, limitations on this lucrative marketer category would not be as easily soaked up today as the tobacco marketing bans in the 1970s.


This is why sports and their media and wagering partners are combating so hard against the legislation.


And all this capital flowing to and through sport, gambling, and media has developed the potential to cause political damage on gambling reforming governments.


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


Gambling and the young citizen


Sport betting ads in Australia have actually specifically targeted boys in a jocular larrikin design. But girls are now likewise being induced to gamble in higher numbers.