Future: is it possible to raise the legal age
Introduction
Since 2001, Australia has set a minimum age of 18 for participation in interactive gambling. Against the background of the growing availability of mobile applications and aggressive marketing campaigns, there are increasingly proposals to raise this threshold to 21 years or more. This piece looks at pros and cons, precedents in other countries, and practical details of the regulatory change process.
1. Current context and background
1. The rise of online gambling
The turnover of the interactive betting market is growing by double digits annually, especially among young people.
Simplified registration and inconspicuous advertising in social networks contribute to the fact that persons 18-20 years old become a vulnerable link.
2. Social risks
Research shows increased levels of gaming addiction in users under the age of 21.
Early engagement is associated with poorer academic performance, emotional and financial problems.
3. Political and public trend
Debates about raising the age were already underway in the United States for lotteries (21 years old) and in some states of Canada (19 years old).
The Australian Capital Territory considered the option of 21 for sports betting, but settled on 18.
2. Arguments in support of raising the age
1. Brain health and development
Scientists emphasize that until the age of 21-25, the human brain continues to mature, especially self-control zones.
Late legalization reduces the risks of addiction.
2. Social responsibility of operators
A stricter age framework would reduce the legal risks to the industry and its reputational losses.
Operators would get time to build advanced KYC systems.
3. Reducing the level of crime
Junior players with insufficient experience are more likely to fall victim to fraudulent schemes and illegal operators.
Raising the bar serves as a barrier for illegal platforms seeking to attract a vulnerable audience.
3. Counterarguments and possible risks
1. Loss of state budget revenues
Lotteries and betting taxes generate hundreds of millions of dollars annually.
A decrease in the number of payers will lead to a reduction in funding for social programs.
2. Illegal market growth
Severe restrictions can stimulate the transition to offshore platforms without ACMA control.
Users 18-20 years old will look for workarounds using VPNs and other people's accounts.
3. Legal complexity and precedent
Changing the IGA would require alignment with six states and two territories, each with its own Gambling Act and different KYC norms.
Risk of lengthy litigation by operators and business associations.
4. International experience
5. Mechanism of legislative change
1. Federal Government Initiative
Amending the Interactive Gambling Act through parliament's financial oversight committee.
The procedure includes three readings in the Senate and the House of Representatives.
2. Coordination with states and territories
Coordination with the Ministerial Council on Gambling (council of state ministers).
Adjusting local Gambling Acts to the new minimum requirements.
3. Transition period
A transition window of at least a year is recommended for operators and users.
Development of updated KYC procedures and information campaigns about the new rules.
6. Key stakeholder positions
1. Operators and Associations
Interactive Gambling Council members voice their readiness for dialogue, but warn of financial losses.
Some offer an alternative - to strengthen prevention and educational programs, rather than raising the age.
2. Health and community organizations
Mental Health Australia and Youth Affairs Council are in favour of a raise to 21.
They are inclined to comprehensive measures: age + limitation of advertising channels.
3. General public
Polls show an approximately equal number of supporters and opponents of changing the age threshold.
Young people 18-20 years old oppose, arguing for legal rights and personal responsibility.
7. Possible development scenarios
1. Increase to 21 years
Severe restrictions, the transition "into the fold" only after the third birthday of the 18th birthday.
Tightening KYC, increasing ACMA control over age checks.
2. Maintaining 18 years + strengthening measures
Introduction of additional mandatory educational modules at registration.
Quarterly reports of operators on attempts to register minors.
3. Step up
First, up to 19 years, after 3-5 years - up to 21.
Will smooth out financial and social shocks for the industry.
Conclusion
Raising the legal age for online gambling in Australia is a multifaceted issue that requires a balance between protecting youth health and the economic interests of the state and industry. International experience and scientific evidence indicate the benefits of later legalization, but practice shows the risks of growth of the illegal market and loss of budget revenues. The final choice will depend on political will, operators' willingness to reform and pressure from public institutions.
Since 2001, Australia has set a minimum age of 18 for participation in interactive gambling. Against the background of the growing availability of mobile applications and aggressive marketing campaigns, there are increasingly proposals to raise this threshold to 21 years or more. This piece looks at pros and cons, precedents in other countries, and practical details of the regulatory change process.
1. Current context and background
1. The rise of online gambling
The turnover of the interactive betting market is growing by double digits annually, especially among young people.
Simplified registration and inconspicuous advertising in social networks contribute to the fact that persons 18-20 years old become a vulnerable link.
2. Social risks
Research shows increased levels of gaming addiction in users under the age of 21.
Early engagement is associated with poorer academic performance, emotional and financial problems.
3. Political and public trend
Debates about raising the age were already underway in the United States for lotteries (21 years old) and in some states of Canada (19 years old).
The Australian Capital Territory considered the option of 21 for sports betting, but settled on 18.
2. Arguments in support of raising the age
1. Brain health and development
Scientists emphasize that until the age of 21-25, the human brain continues to mature, especially self-control zones.
Late legalization reduces the risks of addiction.
2. Social responsibility of operators
A stricter age framework would reduce the legal risks to the industry and its reputational losses.
Operators would get time to build advanced KYC systems.
3. Reducing the level of crime
Junior players with insufficient experience are more likely to fall victim to fraudulent schemes and illegal operators.
Raising the bar serves as a barrier for illegal platforms seeking to attract a vulnerable audience.
3. Counterarguments and possible risks
1. Loss of state budget revenues
Lotteries and betting taxes generate hundreds of millions of dollars annually.
A decrease in the number of payers will lead to a reduction in funding for social programs.
2. Illegal market growth
Severe restrictions can stimulate the transition to offshore platforms without ACMA control.
Users 18-20 years old will look for workarounds using VPNs and other people's accounts.
3. Legal complexity and precedent
Changing the IGA would require alignment with six states and two territories, each with its own Gambling Act and different KYC norms.
Risk of lengthy litigation by operators and business associations.
4. International experience
| Country/Region | Age | Comment |
|---|---|---|
| USA (lotteries) | 21 years | Allowed to reduce the share of youth players to 5%. |
| Canada (sport. rates) | 19 years | In some provinces introduced hard digital age-gate. |
| UK | 18 years | Expert recommendations for raising to 21 are considered. |
| New Zealand | 18 years | With plans to strengthen algorithmic verification. |
5. Mechanism of legislative change
1. Federal Government Initiative
Amending the Interactive Gambling Act through parliament's financial oversight committee.
The procedure includes three readings in the Senate and the House of Representatives.
2. Coordination with states and territories
Coordination with the Ministerial Council on Gambling (council of state ministers).
Adjusting local Gambling Acts to the new minimum requirements.
3. Transition period
A transition window of at least a year is recommended for operators and users.
Development of updated KYC procedures and information campaigns about the new rules.
6. Key stakeholder positions
1. Operators and Associations
Interactive Gambling Council members voice their readiness for dialogue, but warn of financial losses.
Some offer an alternative - to strengthen prevention and educational programs, rather than raising the age.
2. Health and community organizations
Mental Health Australia and Youth Affairs Council are in favour of a raise to 21.
They are inclined to comprehensive measures: age + limitation of advertising channels.
3. General public
Polls show an approximately equal number of supporters and opponents of changing the age threshold.
Young people 18-20 years old oppose, arguing for legal rights and personal responsibility.
7. Possible development scenarios
1. Increase to 21 years
Severe restrictions, the transition "into the fold" only after the third birthday of the 18th birthday.
Tightening KYC, increasing ACMA control over age checks.
2. Maintaining 18 years + strengthening measures
Introduction of additional mandatory educational modules at registration.
Quarterly reports of operators on attempts to register minors.
3. Step up
First, up to 19 years, after 3-5 years - up to 21.
Will smooth out financial and social shocks for the industry.
Conclusion
Raising the legal age for online gambling in Australia is a multifaceted issue that requires a balance between protecting youth health and the economic interests of the state and industry. International experience and scientific evidence indicate the benefits of later legalization, but practice shows the risks of growth of the illegal market and loss of budget revenues. The final choice will depend on political will, operators' willingness to reform and pressure from public institutions.
