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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
$8,000
$7,000
$6,000

Per month

$5,000
Greenridge

$4,000

Greater Melbourne
$3,000
$2,000
$1,000
$0
Household Income

Mortgage repayment
Vulnerability - housing
• Housing stress is high at 25% of households
30%

25%

20%
Greenridge

15%

Greater Melbourne
10%

5%

0%
>$156,000/yr

Mortgage >30%
Vulnerability - transport
• High reliance on cars
90%
80%
70%
60%
50%
Greenridge

40%

Greater Melbourne
30%
20%
10%
0%
2 or more cars

travelled to work by travelled to work by
car
public transport
Vulnerability – social cohesion
• fewer opportunities to volunteer in newly
forming communities, but internet access is
high
100%

90%
80%
70%
60%
50%

Greenridge

40%

Greater Melbourne

30%
20%
10%
0%

Volunteers

Internet
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)
8
7
6
5
Whittlesea

4

Greater Melbourne

3
2
1
0
Density

Spending
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

Quantitative method:
• Pre and post survey
• Measures of social cohesion
• Problem gambling and wellbeing
scales
• Attitudes and behaviours towards
pokies
D
About the research community
•
•
•
•
•
•

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
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),

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Bell_D_The impact of pokies on newly forming communities

  • 1. The impact of pokies on new forming communities Beyond the Edge Conference Diana Bell October 2013
  • 2. Outline • Project overview • Vulnerability of ‘Greenridge’ community • Opportunities for gaming licences • The localised nature of gambling behaviour • The ‘community wellbeing’ approach
  • 4. 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
  • 5. 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?
  • 6. 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
  • 7. 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
  • 8.
  • 9. 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
  • 11. Vulnerability of ‘Greenridge’ community • • • • Rapid growth slows community cohesion High mortgages Reliance on cars Young families
  • 12. Vulnerability - housing • At first glance, housing appears affordable $8,000 $7,000 $6,000 Per month $5,000 Greenridge $4,000 Greater Melbourne $3,000 $2,000 $1,000 $0 Household Income Mortgage repayment
  • 13. Vulnerability - housing • Housing stress is high at 25% of households 30% 25% 20% Greenridge 15% Greater Melbourne 10% 5% 0% >$156,000/yr Mortgage >30%
  • 14. Vulnerability - transport • High reliance on cars 90% 80% 70% 60% 50% Greenridge 40% Greater Melbourne 30% 20% 10% 0% 2 or more cars travelled to work by travelled to work by car public transport
  • 15. Vulnerability – social cohesion • fewer opportunities to volunteer in newly forming communities, but internet access is high 100% 90% 80% 70% 60% 50% Greenridge 40% Greater Melbourne 30% 20% 10% 0% Volunteers Internet
  • 16. 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
  • 17. 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
  • 18. The public health approach • Upstream (prevention is better than cure) • Increase product safety • Responsible service of gambling
  • 19. The dilemma for communities • Community benefits – support for sporting clubs, meeting facilities, cheap meals, renovated pub, marketed at families • Problem gambling can be individualised
  • 21. 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
  • 22. 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) 8 7 6 5 Whittlesea 4 Greater Melbourne 3 2 1 0 Density Spending
  • 23. The localised nature of gambling
  • 24. 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
  • 25. Building community • The importance of the local pub
  • 26. Building up anticipation of a new community venue
  • 27. Measuring the effect on community wellbeing
  • 28. 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
  • 29. Data collection & analysis Quantitative method: • Pre and post survey • Measures of social cohesion • Problem gambling and wellbeing scales • Attitudes and behaviours towards pokies D
  • 30. About the research community • • • • • • 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
  • 31. 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),