The Western Sydney Centre at Western Sydney University has released a new analytical report on the scale of gambling harm in the region. The findings were troubling, though unsurprising to those who follow the issue. The epicentre of the problem is concentrated in Western Sydney’s suburbs, where three local government areas—Fairfield, Canterbury-Bankstown and Cumberland—make up 16.5% of Sydney’s total population yet account for around a third of the city’s total poker-machine losses.
Nearly $9 million is gambled away each day in Western Sydney pubs and clubs. This figure is a burden not on abstract statistics, but on specific families and neighbourhoods.
A document titled “Luck of the draw?”
The research brief “Luck of the draw? Inside Western Sydney’s gambling harm epidemic” became the second item in the Centre’s series of publications on the consequences of gambling. The report’s author, researcher Tom Nance, for the first time identified specific areas where poker-machine density overlaps with social disadvantage, creating a heightened-risk zone.
A region losing more than its “fair share”
Western Sydney is home to around 54% of the city’s population; however, it accounts for 63% of all losses from electronic gaming machines (EGMs). This gap between the number of residents and the amount of money lost points to a strong link between machine concentration and the level of socio-economic disadvantage in the region.
The hardest-hit trio—Fairfield, Canterbury-Bankstown and Cumberland—are local government areas (LGAs) where the overlap of these factors is particularly destructive. Each is among the areas with high levels of deprivation and, at the same time, a high density of gaming terminals.
Fairfield as the ground zero of the epidemic
In Fairfield, there is one poker machine for every 55 residents. This saturation rate makes the area the most vulnerable in all of Sydney and, in the words of the report’s authors, turns it into the “ground zero” of gambling harm.
Thirteen locations where the risk is highest
For the first time in a study of this kind, 13 specific “areas of significant concern” have been named, where high poker-machine density coincides with acute socio-economic disadvantage. All 13 are located in Western Sydney. More than three quarters of these locations are in the top decile on both measures at the same time.
Tom Nance commented on the results as follows: “The data show unequivocally that Western Sydney is the epicentre of gambling-related harm. All thirteen areas of significant concern are in our region.” He also emphasised that “a high level of socio-economic disadvantage remains a key risk factor,” and that “the front line of the gambling-harm epidemic coincides with the most disadvantaged areas.”
The situation is worsened by the fact that in iconic films casinos always look appealing. They create an illusion of prosperity, which has an especially serious impact on residents of disadvantaged areas.
Facts that add up to a picture
An analysis of the latest ABS Census data and Liquor and Gaming NSW statistics made it possible to identify a number of key indicators:
• Western Sydney, with around 54% of the population, bears 63% of losses from electronic gaming machines.
• Over the most recent 12-month reporting period, the number of EGMs in the region increased by 169 units.
• Most areas of concern are in Sydney’s top decile for the combination of disadvantage and machine saturation.
• In each of these locations, at least one pub or club operates that is in the top decile for gambling profit.
Why the numbers look like this
Researchers identify two mechanisms that intensify the problem:
• A disproportionately large number of so-called “mega-clubs” in Western Sydney contributes to excessive saturation of the area with gaming machines.
• Socio-economic disadvantage increases the vulnerability of at-risk groups to severe forms of gambling harm and increases the size of financial losses.
An evidence base for targeted measures
Identifying specific “hotspots,” in Nance’s view, creates a scientifically grounded platform for targeted interventions in the most affected communities. Instead of broad, non-specific programs, it becomes possible to direct resources precisely to where the harm is greatest.
One critic of Nance’s theory points out that his claims about poker machines causing the greatest harm do not take into account such an important factor as online casinos. They are far more accessible because they allow people to play from home, but obtaining data in this area is much harder. At the same time, online casinos are not focused only on poker and slots—they offer players games with new mechanics. This includes a bouncing ball in Plinko, a spinning wheel in Wheel of Fortune, or a multiplier that rises along with a taking-off plane in crash games such as Aviatrix, Jet X, Aviator, Lucky Jet.
New games are always simple and fast-paced, which increases engagement. According to data we obtained from the authors of the website bestaviatorapp.com about the Aviator mobile app, rounds in crash games last no more than 10 seconds. This prompts players to launch the game again and again. As a result, it can become addictive quite quickly.
This state of affairs leads experts to conclude that online casinos should feature at least as prominently in addiction-prevention programs as poker machines do.
The cashless gaming trial and the voice of local residents
The report’s author noted that the study’s findings should be taken into account when planning the pilot project to introduce cashless gaming technology launched by the Minns Government. The views of people “on the ground,” who directly face the consequences of gambling addiction, remain a critically important source of information for configuring and evaluating this trial.
The study is based on data from the latest Australian Bureau of Statistics (ABS) Census and information from the regulator Liquor and Gaming NSW.