Analysis: Ontario’s high-stakes bet on iGaming: Province profiting from online betting but at what cost to problem gambling?
Ontario’s online gaming expansion may be fuelling a concerning increase in gambling issues. (Shutterstock)
BY Iris Monique Balodis, McMaster University; Andrew (Hyounsoo) Kim, Toronto Metropolitan University; Michael J. A. Wohl, Carleton University, and Nassim Tabri, Carleton University
January 17, 2025
This article is republished from The Conversation under a Creative Commons license. Read the original article.
In April 2022, Ontario became the first province in Canada to regulate online gambling and sports. This opened the door to an industry that brought in $1.4 billion in revenue over the next year, making Ontario one of North America’s top five online gambling industries.
Quarterly wagers have more than quadrupled since iGaming Ontario (iGO) launched in 2022 and continue to grow, reaching 18.7 billion in the second quarter of 2024, and topping 72 billion in the past year. Despite this massive industry growth and revenue, we lack reliable data on how this shift affects Ontarians. As researchers working in the field of gambling studies, we feel a duty to highlight these risks, but are increasingly concerned about the lack of an independent research body in Ontario to monitor the situation.
The need for data on gambling
What’s profitable for the gaming industry — revenue from gamblers’ losses — is often problematic for players. Ads for gambling tend to depict it as exciting, but the reality for some players, especially those with gambling problems, is far from glamorous — a fact acknowledged by the requirement that ads and gambling sites provide a link to addiction and problem gambling services.
So, how serious is problem gambling in Ontario?
In 2018, Statistics Canada estimated that 1.1 per cent of Ontarians experienced problem gambling. However, a recent study, still awaiting peer review, by some of this article’s authors found that rate closer to nine per cent just before the launch of iGO. In a December 2024 report, Mental Health Research Canada reported it at 11 per cent in Ontario.
These numbers, along with a spike in calls to the Ontario Problem Gambling Helpline about online gambling, indicate a notable rise in problem gambling since iGO’s introduction. This suggests that Ontario’s online gaming expansion may be fuelling a concerning increase in gambling issues.
The problem may be even worse today, but it’s difficult to determine. The Ontario government, which generates significant tax revenue from online gambling, has not announced any funding for independent research to monitor its impact.
More gambling options, and increased accessibility
Most Canadians gamble in some form, whether it be purchasing lottery tickets, betting on sports or playing at the casino. With the rise in gambling options and increased accessibility, it is crucial to understand how these changes are affecting problem gambling across the province.
Problem gambling leads to serious harms beyond financial loss. It can strain familial and other interpersonal relationships and perpetuate cycles of poverty across generations.
One of the most alarming aspects of problem gambling is its association with suicide. Studies in community samples show that 17-39 per cent of those with problem gambling report suicide ideation; in those individuals seeking treatment for gambling, seven to 30 per cent report suicide attempts. Research from 2023 found that as problem gambling severity increases, so too does the risk of suicide attempts, regardless of previous experience with problem gambling.
These findings, coupled with Ontario’s high rates of problem gambling prior to the launch of iGO, underscore the urgent need for independent research on the impact of online gambling.
Gambling and public health
Gambling is undeniably a public health issue. Like alcohol and tobacco, gambling is highly addictive, with research showing that a significant portion of gambling revenue comes from those who are experiencing harms as a result of gambling. With the industry generating massive revenue, it’s essential to ensure the profits aren’t predominantly driven by those struggling most.
Ontarians deserve clear information about the direct and indirect impact of the introduction of online gambling, including any increases in problem gambling. The ease of placing a bet online, alongside mechanics of iGaming that encourages continuous play, aligns with tactics seen in video games that encourage young users to spend money on in-game items like “loot boxes” and “skins” — potentially influencing the next generation of gamblers.
It is the position of the Ontario Gambling Research Society (OGRS), whose purpose is to support independent research on gambling in Ontario and of which the authors of this story are members, that there is a need for independent oversight and arm’s-length work that is in the public interest.
New forms of online sports betting have been aggressively marketed, and smartphones can become easily accessible pocket-sized casinos. This setup risks creating a new generation of problem gamblers, whose suffering will extend to their families and will ultimately require treatment resources.
These resources should match the need created by online gaming, but without objective, independent research, we have no reliable gauge of that need. Ontario urgently requires transparent and meaningful research to understand and respond to the impact of its government-sanctioned online gambling expansion.
Iris Monique Balodis, Associate Professor, Department of Psychiatry and Behavioural Neurosciences, McMaster University; Andrew (Hyounsoo) Kim, Assistant Professor, Psychology, Toronto Metropolitan University; Michael J. A. Wohl, Professor, Psychology, Carleton University, and Nassim Tabri, Associate Professor, Psychology, Carleton University
This article is republished from The Conversation under a Creative Commons license. Read the original article.
