Gambling is the betting or staking of something of value (usually money) with consciousness of risk and hope of gain, on the outcome of an uncertain event. It can include placing a bet on the result of a game, a contest, or an uncertain event whose outcome may be determined by chance or accident. Like insurance, gambling involves the transfer of risk from one party to another and is often distinguished from other types of financial risk-taking, such as speculative trading, on the basis that it is not done for the purposes of making profit, but rather to mitigate against adverse outcomes (e.g., a sports coach betting against their own team to mitigate the financial repercussions of a losing season).
While some people gamble responsibly, for others it can harm health, relationships and work or study performance, lead to serious debt and even cause suicide. The majority of gambling-related harm is caused by a minority of people who indulge in high levels of harmful gambling. Harm is also driven by the prevalence of online gambling, heavy promotion of gambling through sport and other cultural activities, and increased accessibility of gambling products including EGMs (Electronic Gaming Machines).
Globally, about 1.2% of the adult population report experiencing gambling harm at some point in their lives. In most countries, the risk of harm is higher among people living in poverty or other disadvantage. This is due to increased exposure to online gambling and aggressive promotion of gambling on social media and through sponsorship of popular sporting leagues, as well as a tendency for people to gamble more when they are in low mental or emotional states.
Harm from gambling is complex and can include direct damage to a person’s health, such as increased rates of depression or other mental illness, as well as indirect harm, such as depleting household spending on essential goods and services and diverting money away from a healthy diet or adequate housing. In addition, the legacy of gambling harm can endure throughout life and intergenerationally.
The majority of people who experience harm from gambling do not seek help or access treatment. This is partly due to stigma and shame, but the preferred regulatory approach of the gambling industry – so-called responsible gambling measures – contributes to this problem by blaming those who experience harm. Other factors include the design of gambling products (e.g. VIP schemes and reward-based offers) and the promotion of gambling through sponsoring and association with popular culture, sport and other events. Population-wide interventions that focus on ending advertising and promotions, introducing centralized account registration with binding loss limits and other limitations on access and availability of gambling products could significantly reduce gambling harm. In addition, clear and consistent messaging about the dangers of gambling can help to counteract “dark nudges” that encourage consumption of harmful products by exploiting cognitive biases. This is especially important in contexts where there is an over-supply of these products.
