Melbourne Cup: Are you gambling on your children's future?

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"It started off with $1 scratchy cards that mum used to buy me.

Before too long, I entered a $5 Melbourne Cup sweep at a family friend's BBQ. I picked out Makybe Diva and won $100. The win was huge for me, being only 10 years old, and ever since I've been chasing that thrill. 

Not long after that, at the age of 14, I begun sneaking into the pub down the road and putting on bets. It may have only been $2 each way but it was just the start. 

Melbourne Cup: Are you gambling on your children's future?

Many of my mates' dads at school owned racehorses and I asked them every week if they could ask their dad if something was a chance. What started off as having a bet maybe one Saturday a month turned into every weekend by the age of 15.

At school there was even a punting group where we would talk about racing non-stop.

I managed to get an online account at the age of 16 where my betting began to spiral out of control. I was betting on greyhounds and harness racing every night.  

I am now 19 and my gambling addiction is out of control. I work at a pub where I am surrounded by gambling. My addiction has caused me to not achieve my potential at school, drop out of uni and has left me with no money.

I need help."

That was an excerpt published by Gambler's Help about the experience of Carlos in 2016. There are 287 similar stories that tell the devastating effects of gambling here.

More Aussie teens gamble than play cricket

Almost one million Australians aged 12 to 19 gambled in the past year - more than the number who played cricket, soccer, basketball or footy.

That's one in three teenagers, according to The Australia Institute, enough to fill the Flemington Racecourse seven times over.

Together, they wagered an estimated $231 million, despite the legal gambling age being 18.

Among 18- to 19-year-olds, nearly half gamble regularly, and many carry those habits into adulthood.

"We've allowed gambling to get to the point that Aussie kids think it's normal to discuss betting odds when they talk about the footy," says Morgan Harrington, research manager at The Australia Institute.

Among Aussie teens, gambling usually occurred with:

  • parents/guardians (53.7%),
  • friends aged 17 or less (26.8%),
  • relatives aged 18 years or over (20.7%),
  • relatives under 18 years (20.1%),
  • and grandparents (19.5%).

Relatively few (9.1%) gambled alone.

Nearly half (46.1%) reported noticing gambling advertising on television during sports and racing events at least weekly.

But the Melbourne Cup must be different, right?

"The Melbourne Cup festivities present a unique blend of excitement, colour, and tradition," says one educator's blog aimed at bringing 'The Race That Stops the Nation' into classrooms.

Well, some 87,343 children aged 12-17 (4% of that age group) gambled on race betting, such as horse racing, over a one-year period, according to the Australia Institute. They spent an estimated $873,000.

Nearly 70,000 teens bet on pokies.

What's more Aussie than gambling?

Australians lose more to gambling per head than anyone else on earth - over $31.5 billion per year, according to Public Health Association Australia (PHAA). That's more than $1000 per person, more than gamblers lose in Las Vegas.

The losses aren't just financial.

"They drive mental illness, domestic violence, family breakdown, housing stress, self-harm, and potentially suicide," the PHAA said in July.

Harrington says this didn't happen overnight.

"It's because of the proliferation of sports betting apps and the advertising for them, which has become just about impossible to avoid," he says.

"These technologies simply weren't available 10 or 15 years ago, and the government isn't doing enough to restrict use to adults."

Gambling isn't one activity but a spectrum of risky behaviours, some far easier for kids to access than others.

Anne Hollonds, director of the Australian Institute of Family Studies (AIFS), says that while most 16-17-year-olds don't gamble, "a significant number do".

"One in five boys and one in eight girls reported spending money on at least one gambling activity within a year," she says.

"The most common form was private betting with friends or family - cards, mah-jong - activities that have no legal age restrictions."

Public Health Association Australia warns that young people are five times more likely than adults to develop gambling problems. Between 3% and 4% of young gamblers already show signs of addiction or are at serious risk.

How to help your teen avoid gambling problems

How to help your teen avoid gambling problems

Think about family attitudes and activities

Children often mirror the behaviours and attitudes they see at home. The less they're exposed to gambling, the less likely they are to see it as harmless fun.

"If you do choose to gamble, you can help your child avoid problems by making sure they know how gambling activities work," McCormack says.

"It's also worth thinking about how often you use gambling language to encourage children. For example, 'I bet you can't swim to the other side of the pool. If you do, I'll buy you an ice-cream'."

Explain how gambling works

Older primary school children can understand the odds and are generally ready to learn about gambling.

"Explain, for example, 'Your chance of winning the lottery is one in 15 million. Your chance of being hit by lightning in your lifetime is one in 300,000'," says Derek McCormack, director of Raising Children Network.

McCormack adds: "You could also explain that gambling companies are set up to make more money than they pay out to gamblers. If they didn't make money, they wouldn't be able to stay in business."

Look out for problems that might lead to gambling

Social, educational or mental health challenges can make gambling seem like an escape.

"If your child is having a hard time at home or school, gambling can seem like a fun way to cope with boredom or escape from stress or other problems," McCormack says.

He recommends encouraging positive extracurricular activities. "They can help your child feel good about themselves, have fun and let off steam."

Talk about screen use and online gambling

Discuss games with gambling themes and encourage balanced screen time to reduce the appeal of online betting.

"You could talk about video games with gambling themes and content and why you'd prefer your child didn't play them," McCormack says.

"Also, if you encourage your child to have a balanced approach to screen use, they'll have plenty of healthy ways to relieve boredom and escape stress. This might mean online gambling has less appeal."

Who can you turn to for support?

Start by talking to a trusted friend or family member. A GP or counsellor can recommend tailored support.

Self-exclusion programs

Self-exclusion lets you ban yourself from venues or gambling sites. Providers must offer this option and stop marketing to you. BetStop, the nation self-exclusion service, allows bans from three months to lifetime.

Where to get help with gambling

  • Gambler's Anonymous: 130 meetings weekly, free membership
  • Gambler's Help: Under-25 service, 24/7 support - 1800 262 376
  • Gambling Help Line: 24/7 chat and counselling - 1800 858 858
  • Lifeline: 13 11 14
  • MensLine: 1300 789 978
  • Beyond Blue: 1300 224 636

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Ryan Johnson was a journalist at Money from October 2024 to April 2026. He previously worked covering the Australian and New Zealand mortgage and banking industries. He has also written on superannuation, insurance, and personal finance. Ryan has a Bachelor of Communication (Journalism) from Curtin University, Perth. Connect with Ryan Johnson on LinkedIn.