Canada’s Call for a National Strategy to Combat Gambling Harms: Addressing the Risks of Liberalization and Advertising Expansion

The Canada Centre on Substance Use and Addiction (CCSA) has formally requested the development of a comprehensive national strategy aimed at addressing gambling-related harms across the country. This call reflects an urgent need for a coordinated approach to gambling regulation as Canada witnesses an expansion in legal gambling options.

Current Landscape of Gambling Regulation in Canada

Gambling laws in Canada are currently administered by the crown provinces, which allow for varying levels of gambling regulation and accessibility. The CCSA contends that as the number of legal gambling options increases, particularly with recent liberalizations in markets like Ontario, the necessity for a unified national framework becomes even clearer. The organization highlights that gambling apps and websites licensed in provinces with more relaxed regulations can easily reach individuals in jurisdictions with stricter laws, thus undermining local attempts to mitigate gambling-related impact.

Study Findings and Concerns

The CCSA’s announcement follows the release of a study developed in collaboration with Greo Evidence Insights. While the report does not provide explicit evidence stemming from the liberalization of Ontario’s gambling market in 2022, it raises significant concerns regarding the potential increase in gambling-related harms. The absence of national monitoring and surveillance systems means the comprehensive effects of gambling policy changes remain largely undocumented.

Given that single-event sports betting is now legal in nine provinces, and Ontario has seen an influx of operators — with 49 different gambling platforms active as of December 2023 — the CCSA warns that increased availability may directly correlate with increased gambling-related issues.

Key Concerns Raised by CCSA

In its address, the CCSA outlines four principal concerns related to the expansion of gambling options:

  1. Emerging Evidence of Harm: Although specific data is not disclosed in their report, early signs suggest a troubling link between increased gambling participation and harm, particularly among vulnerable populations.
  2. Risky Betting Formats: The introduction of betting formats such as single-event sports betting and in-play betting is thought to escalate risks associated with gambling.
  3. Advertising and Normalization: High volumes of gambling advertisements could be normalizing gambling behaviors, especially among younger demographics, who are impressionable and at risk.
  4. Economic Vulnerability: The current cost of living crisis and the aftermath of the COVID-19 pandemic heighten susceptibility to gambling-related harm among Canadians.

The Ontario Case Study

With Ontario being the only province to implement a liberalized gambling market, it serves as a litmus test for the CCSA’s concerns. The province recorded CA$35.5 billion wagered online in the first year of legalized gambling — a figure that raises alarm as it cannot solely be attributed to a shift from illegal gambling operations. Moreover, stakeholders note that stakes have surged from CA$4.08 billion in Q1 FY2022-23 to a staggering CA$17.8 billion by Q4 FY2023-24.

Growing Calls for Advertising Restrictions

The CCSA’s report comes at a crucial time as discussions around tightening gambling advertisement regulations are intensifying. Bill S-269, which aims to limit gambling advertisements in scope and visibility, is currently under review by a parliamentary committee. Ontario has already moved to prohibit endorsements by celebrities and athletes in sport betting advertising.

Dr. Matthew Young, chief research officer at Greo, expressed deep concern over the overwhelming presence of gambling advertisements in everyday life. He emphasized the critical nature of this moment for Canada in managing its gambling policies.

Proposed National Strategy Framework

In response to identified gambling harms, the CCSA advocates for a structured national approach that includes:

  • Establishing national standards for gambling promotions and services.
  • Forming a national body to oversee gambling without conflicts of interest.
  • Ensuring adequate funding for harm prevention initiatives and research.
  • Implementing systematic monitoring to track gambling-related social and economic impacts.
  • Raising awareness about gambling harms among professionals and the public.

Additionally, the strategy could explore regulations around emerging trends like esports betting and loot boxes while considering measures to block unlicensed operators.

Looking Forward

Dr. Pam Kent, director of research at CCSA, emphasized the need for a paradigm shift in Canada’s approach to gambling, warning that increased legal gambling without robust regulation would likely lead to escalated harms and societal costs. She articulated the need to balance immediate economic benefits against long-term societal implications, reinforcing the CCSA’s call for a national strategy.

In conclusion, as Canada faces a pivotal moment in gambling policy, the insights and recommendations from the CCSA highlight the importance of proactive measures to safeguard public health and wellbeing in the evolving landscape of gambling.