Summary
Commissioned by Gambling Research Australia, this research explored the relationship between casinos and local gamblers, the regulatory environment and the effect of promotional and responsible gambling initiatives. The aim of the project was to identify how casinos are responding to the changing gambling environment and market.

The report focused on the following key research areas:

• responsible gambling
• the role of casinos as destination venues
• the contribution of casinos to tourism and economic development
• casino gambling and community impacts.

Casinos in New South Wales, Victoria and South Australia were included in the study.

Key findings from the study include:

The Australian casino industry

• In 2011-2012, real gambling expenditure in Australia was $20.5 billion of which $4.1b (20 per cent) came from the casino sector, $10.91b (53 per cent) from pokies at hotels and clubs, and $3.2b ($15.7 per cent) from race and sports betting.
• Victoria accounts for 37 per cent of all casino gambling expenditure in Australia.

Taxation

• Although tax arrangements vary across jurisdictions, the effective tax rate on casino gambling is 14.2 per cent (varies by gambling product), 29.3 per cent on pokies at hotels and clubs and 69 per cent on lotteries and pools.

Casino gamblers

• Casino table game players are more likely to be highly educated males, under age 35, with high incomes while casino pokies players are more likely to be older females.

Responsible gambling

• All Australian jurisdictions have implemented responsible gambling measures in casinos including: venue exclusion, policies for identifying problem gamblers, voluntary pre-commitment, and limitations on cash withdrawals and credit facilities.
• However, there is little evidence to indicate the effectiveness of these measures.

Regional impacts of casinos

• Taxation revenue does not represent a benefit of an economic activity but a transfer from those who choose to gamble to government.
• International VIP program play has contributed approximately $1.2b in casino gaming revenue.

Casinos

• The casino industry does not report on its consumer protection initiatives. It is therefore difficult to know whether these and other responsible gambling initiatives like pre-commitment are effective.