Peter Fitzpatrick (Louth, Independent) | Oireachtas source

This topic is relevant to my constituency of Louth and east Meath, as Louth, which is the smallest county in Ireland, has the highest concentration of betting shops per capita. Therefore, I welcome the opportunity to speak on this important Bill and I will support its progress on Second Stage.

A report by the HRB highlights that approximately 90,000 adults are low-risk gamblers, 35,000 are moderate-risk gamblers and 12,000 adults are problem gamblers whose gambling has negative consequences and entails a possible loss of control. According to the report, there are associated links between problem gambling, social deprivation and substance use disorders, which highlights the bidirectional negative influence of socioeconomic deprivation on an individual's life.

The main purpose of the Bill is to provide significant legislative and regulatory reform to ensure that gambling is conducted in a fair and open way, protect children, provide safeguards to address problem gambling, including in terms of gambling advertising, and prevent gambling from being a source of or support to crime. It is among the most significant Bills to be brought before the Houses in respect of the gambling industry.

The impact of gambling on many families and individuals has inflicted pain over the decades, especially given the nature of social media presence and online accessibility, which allows people to be targeted individually and often exploits their weaknesses. Last week, a constituent came to my clinic in Dundalk who had a gambling problem and, as a result, was living on the streets. Despite the homelessness section in Louth County Council helping him, he has a substance abuse problem and a gambling addiction and is not receiving the help he needs with rehabilitation. His is just one story. I speak with homeless people with addictions in my clinic weekly. They often become homeless as a result of numerous addictions, such as gambling, drink and drugs. Saying that the number of people addicted to gambling lies somewhere between 0.5% and just over 1% is massaging the figures. If we examined the proportion of regular gamblers who became addicted, we would find the proportion to be higher. That is where we should focus.

It is a known fact that sports and betting have become deeply intertwined in recent years. This has been driven by major television coverage, advertising and social media exposure whereby young people have been seduced by the glamour and excitement of sports and betting. This recreational exposure, which often leads to addiction, has led to vulnerable youths being drawn into the world of easy money. Given the way betting shops operate, it is not possible to control or monitor underage behaviour.

I will raise a number of matters specifically related to Parts 2, 4 and 6. Regarding Part 2, I support and absolutely welcome the provision for the establishment of the gambling regulatory authority of Ireland, the establishment of the national gambling exclusion register and the management of a social impact fund. These initiatives will reduce and eliminate compulsive and excessive gambling. This is a positive step. Additionally, the social impact fund will support problem gambling treatment activities and create awareness and educational campaigns around the dangers and consequences of gambling. However, it may be considered that provisions should be made for the proposed authority to consult regularly and effectively with the sector, particularly on the formation, governance and ongoing operations of any social impact fund introduced.

The gambling regulatory authority will operate as an independent regulator under the guidance of the Department of Justice. It is intended that the authority will regulate gambling, gaming and lottery services by commercial and non-commercial providers of such services, including advertising, in order to achieve a high degree of compliance with the gambling regulatory legislation. While the national lottery will not come under the remit of the gambling authority at this time, as its legal basis and its regulation will remain as provided for in the National Lottery Act 2013, the effectiveness and cost efficiency of potentially having two separate regulatory frameworks for the gambling sector are questionable.

The provisions in Part 6 will, in this digital age, address the proliferation of gambling advertisements on social media. This section contains fundamental provisions to protect children from gambling, including a prohibition on allowing a child to gamble and a prohibition on employing children in gambling activity. The section also encapsulates the advertising of gambling, the offer of promotions and payment method restrictions, such as a ban on the use of credit cards as a means of payment for gambling. The use of electronic methods of payment funded by credit cards and the offer of credit facilities to players offers protection to problem gamblers. I welcome these measures.

It must be acknowledged that an outright ban on gambling advertising or sponsorship is not provided for. However, a provision within this section addresses the proliferation of gambling advertising on social media whereby such advertising that appeals or is intended to appeal to children shall be prohibited by default. Importantly, this section provides wide-ranging powers allowing the authority to prescribe where, when and the form in which advertising may be broadcast, published or displayed; the times gambling advertising can appear on television, radio, on-demand audiovisual media services and video-sharing platform services each day; the frequency and volume of gambling advertising; and a prohibition on the use of material that would appeal to children in gambling-related advertisements. These are welcome measures.

I now turn to some of the provisions in Part 4, which provide for a number of prohibitions and offences. Centrally, section 65 prohibits a person from providing a gambling activity without a licence subject to certain exceptions. The overall policy intention is to encourage compliance rather than to enforce penalties for non-compliance. Where penalties are appropriate, Parts 4 and 8 provide the authority with robust powers in respect of a wide array of sanctions, from relatively mild to potentially severe, to address persons operating without a licence or without an appropriate licence. Yet, it must also be considered that legislation in this area will need to be compatible with EU law. Specifically, it seems likely that considerable work will be necessary to mitigate and manage any legal risks that could arise in relation to non-compliance and the disqualification or banning of a convicted licensee.

Gambling is a long-standing feature of Irish culture and a popular form of entertainment, but it has been clear for some time that a modern, sustainable and sector-wide regulatory regime, with a single oversight body, is required in this country. With the development of digital betting and gaming services, we need a strong regulator to ensure all gambling companies in Ireland work to reduce harm to customers for whom gambling becomes a problem. The fundamental difference between retail and online gambling is that we have much greater access to data on people's behaviours in respect of online gambling. With this model, it is possible to make predictions, make an impact and protect vulnerable people.

The establishment of a well resourced, evidence-led gambling regulatory authority is an extremely positive development. It gives Ireland the opportunity to be an example of regulatory excellence and we welcome this. The legislative challenge is to strike the right balance between allowing the vast majority who enjoy gambling safely to do so, while protecting those who are vulnerable to experiencing harm from their gambling. Today, however, we must ensure we have a proper framework governing the industry and that the legislation is robust, yet compliant with EU law.

Progress on these reforms, while overdue, is in the best interest not only of the tens of thousands of Irish consumers who safely participate in and enjoy gaming, gambling and lottery activities each week but also, importantly, of the smaller numbers of customers at risk of problem gambling, in addition to the wider public and the sector itself. In this regard, I welcome and support the advancement of this Bill.

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