The impact of pokies on new

forming communities

Beyond the Edge Conference

Diana Bell

October 2013

Outline

• Project overview

• Vulnerability of ‘Greenridge’ community

• Opportunities for gaming licences

• The localised nature of gambling behaviour

• The ‘community wellbeing’ approach

Project Overview

Investigation of the community impacts

of pokies

• the effects of gaming machines on community

wellbeing

• direct, measurable outcomes as well as ripple-out, less tangible effects

• The particular vulnerability of peri-urban communities

Project Overview - Rationale

• Pokies are moving in to the growth areas of

Melbourne

• Likely to extract massive profits out of proportion with other

entertainment offerings

• State government (VCGLR) uses forecast population growth

and ‘no net detriment’ test to justify

• Highly accessible and form hubs of community activity in

growth areas

• Focus on community level rather than individual

pathological gambler

• How will this community respond to this challenge?

Project Overview – Collaboration & Funding

• Part of a larger project funded by Australian

Research Council and participating Victorian

Councils coordinated through the VLGA

• Supervised by Professor John McDonald,

from University of Ballarat

• In collaboration with City of Whittlesea

Project Overview - Why Whittlesea?

a). Whittlesea’s peri-urban suburbs meet criteria for site selection

• Imminent installation of gaming machines

• Community supports and service systems either in place or planned or advocated for: business, educational, health and welfare, local government, voluntary etc.

• Strong support from local stakeholders

b). “Interface” municipality with findings broadly

applicable

Project Overview - ‘Bounty Hotel’ Study

• 3 year search for site

• Pre / post study of the introduction of EGMs

on a local community

• random sample of gambling prevalence,

problem gambling, and psychosocial wellbeing

before and after the introduction of EGMs

• Data collection to commence next week

• CoW advice and support sought

Vulnerability of ‘Greenfields’

community

Vulnerability of ‘Greenridge’ community

• Rapid growth slows community cohesion

• High mortgages

• Reliance on cars

• Young families

Vulnerability - housing

• At first glance, housing appears affordable

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

Household Income Mortgage repayment

Pe

r m

on

th

Greenridge

Greater Melbourne

Vulnerability - housing

• Housing stress is high at 25% of households

0%

5%

10%

15%

20%

25%

30%

>$156,000/yr Mortgage >30%

Greenridge

Greater Melbourne

Vulnerability - transport

• High reliance on cars

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

2 or more cars travelled to work bycar

travelled to work bypublic transport

Greenridge

Greater Melbourne

Vulnerability – social cohesion

• fewer opportunities to volunteer in newly

forming communities, but internet access is

high

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Volunteers Internet

Greenridge

Greater Melbourne

Why community impact?

• Pokies are the main cause of problem

gambling

• 60% of losses are from problem gamblers or

at-risk gamblers

• Only 10-15% of problem gamblers seek

counselling

Effects are felt beyond the gambler

• Financial – distress and ruin, bankruptcy,

food insecurity, fraud, misappropriation from

friends, family, employers

• Social – crime, family breakdown, divorce,

violence, child neglect, depression, suicide

The public health approach

• Upstream (prevention is better than

cure)

• Increase product safety

• Responsible service of gambling

The dilemma for communities

• Community benefits – support

for sporting clubs, meeting

facilities, cheap meals,

renovated pub, marketed at

families

• Problem gambling can be

individualised

Opportunities for gaming licences

Gaming licences in Whittlesea

• Capped area in the south 581EGMs

• Limit for the rest of the municipality 212

EGMs (based on current population)

• Whittlesea’s rapid growth means the limit of

212 in the north will grow

Pokies spending in Whittlesea

• Density is 4.8 EGMs per 1,000 adults

• Ranked 22/31 (low density, bottom third)

• Losses equate to $727 per adult

• Ranked 9/31 (high losses, top third)

0

1

2

3

4

5

6

7

8

Density Spending

Whittlesea

Greater Melbourne

The localised nature of gambling

What do we know about pokies-related

gambling behaviour?

• The pattern of expenditure follows the

number of gaming machines

• People play locally – typically travelling

2.5km

• The incidence of problem gambling depends

on the availability of gambling

Building community

• The importance of the local pub

Building up anticipation of a new

community venue

Measuring the effect on

community wellbeing

Community level Analysis

Shift focus away from just stories of Problem gambling

Rationale:

• Poker machines implanted within communities

• ‘Community’ recipient of harms & benefits

• Growing ‘community’ action

• ‘Community’ recognised in application process & Romsey

Supreme Court decision

Data collection & analysis

D

Quantitative method: • Pre and post survey

• Measures of social cohesion

• Problem gambling and wellbeing scales

• Attitudes and behaviours towards pokies

D

• Relatively new communities – 38,000 and growing

• The new pokies venue located at the centre

• Young median age of 30

• High level of home purchasers

• Still waiting for complete infrastructure

• Networks still being established

About the research community

Acknowledgements:

The research team gratefully acknowledges the support for this

project provided by:

Members of the research communities and the Whittlesea

Council for providing assistance and participating in the

research

The Victorian Local Governance Association and 29

Victorian councils which have made financial contributions

This research is supported by an Australian Research Council

Linkages Grant (project number LP0989647),