Federal government delays full advertising restrictions until late 2025
If you’ve been hoping for a break from the constant bombardment of gambling ads across Australian TV, radio and other digital channels, you’ll have to wait a bit longer. After Communications Minister Michelle Rowland failed to gain Senate support for her controversial misinformation bill, the country’s government was forced to delay its proposal to ban gambling advertising until 2025.
This delay has sparked frustration across political lines and among advocacy groups, arguing that every month of inaction only worsens the problem. Remember, online casinos have been using different things to reach more audiences. A good example is how most integrate thematic offerings like the Book of Dead slot game to appeal to history buffs who love ancient civilizations.
But when it comes to digital marketing, crucial measures have to be adopted to minimize effects like gambling addiction. That’s why countries like Australia are working hard to get the details right. But again, implementing the necessary measures to restrict or ban gambling advertising may not be a walk in the park, explaining why Australia is taking its time.
The Murphy report that promised change
Back in 2023, a landmark parliamentary report chaired by MP Peta Murphy recommended a phased approach to banning all forms of betting advertising. It was comprehensive, bold and widely received by harm reduction advocates. The report recommended a total ban on gambling ads across both broadcast and online platforms, a suggestion designed to be airtight and impossible to sidestep.
According to the country’s prime minister, Antony Albanese, the government would consider the report’s suggestions and make necessary adjustments. This report came at a time when many people, including Peta Murphy, believed that online gambling companies were ‘over-advertising’ in Australia.
Murphy noted that marketing wagering groomed young people to gamble, potentially exposing them to risky behavior and addiction. Even those who never considered engaging in the practice could now do so just because they saw a related ad for sports betting or popular slot titles like Gates of Olympus, which are heavily promoted across digital platforms.
Besides restricting online gambling marketing, the report suggested that regulation and licensing should be moved to the federal level while allowing states to continue collecting consumption taxes from this practice. There were other recommendations, including:
- Having only one government minister to oversee betting harm reduction
- Establishing a public education campaign
- Adopting a harm reduction levy on all online casinos
- Cracking down on unregulated operators
The industry’s grip on broadcasting and sports
One of the biggest roadblocks to establishing these recommendations is the media and sports industry’s revenues from gambling ads. Can you believe that, according to adnews.com.au, these ads make up about 6% or $180 million of television ad revenues? As if that’s not enough, studies have shown that operators spend about two-thirds (68%) of their marketing budgets on free-to-air TV markets.
At a time when traditional media is seriously competing against new-age broadcasting methods like streaming, this figure is no joke. It’s why many TV networks have asked the government to consider removing spectrum fees if the ban is implemented. For those who may not know, Australia introduced spectrum fees almost a decade ago to replace broadcast license fees and as a way to charge media houses for using frequency spectrum for commercial broadcasting.
Sports leagues, too, are deeply entwined with betting firms. If you are into the Australian Football League (AFL) or the National Rugby League (NRL), you may have noticed signage around stadiums or even logos on athletes’ jerseys. As simple as they may sound, these logos significantly help sports teams generate capital for their operations. Remember, running a team is not a piece of cake. Imagine Collingwood is expected to spend at least $3.3 million on just one player for the next four years.
Considering the cumulative amounts such teams spend on their talent, it makes sense to see why most are resisting these ad reforms. It gets even more serious for smaller clubs and grassroots programs that often rely on trickle-down sponsorship money to stay afloat.
What is the public saying?
The irony is that while political decision-makers hesitate, the public isn’t nearly as conflicted. Surveys consistently show that most Australians support strong restrictions on gambling promotion. One recent poll revealed that about 71% of people want a complete ban on gambling advertising on television. Others support bans on digital ads, social media campaigns and influencer marketing.
According to the Australian Broadcasting Network, more young people watch TV in the evening, when gambling ads are more likely to be shown, compared to time slots associated with children’s programming. As such, you’ll see many young people reciting betting slogans or asking questions about wagering odds – concepts they shouldn’t even be aware of. Parents seem fed up and are saying enough is enough.
Maybe the government could finally implement the ban because it is serious about its responsibility to protect young people from the harms of online gambling. But again, implementing a complete ban could be challenging, as that may affect the government’s revenues from the industry. In 2022 alone, it collected a tax of about AU$1.6 billion from online gambling.
Other industries like sports and media also reap significant benefits from casino sponsorships, explaining why many brands are against this move. So, will the government hearken and take another direction? You may want to keep an eye on the industry to see how things unfold in the coming days.