Alberta Faces Gambling Funding Cuts Amid Expansion of Online Industry

Alberta Faces Gambling Funding Cuts Amid Expansion of Online Industry


Alberta’s government has recently taken a significant step in reshaping the province’s gambling landscape, creating both concerns and optimism. On one hand, the government’s decision to cut funding for key addiction resources has caused frustration among advocates, while on the other, it is actively working to expand the online gambling sector by allowing private operators to enter the market. This shift aims to replicate Ontario’s success in growing its regulated online gambling industry, but experts are warning of the risks involved.

Funding cuts for gambling addiction services:

The Edmonton-based Problem Gambling Resources Network (PGRN), which has served as one of Alberta’s few support organizations for individuals struggling with gambling addiction, faces closure due to the termination of its government funding. As The Canadian Press reports, Executive Director Ray Reshke expressed shock at the province’s decision, stating that the network had maintained a government contract since 1993. “It was a real shock,” said Reshke, reflecting on the impact of losing the nearly $130,000 in annual support, which represents 95% of the organization’s funding. With the cut set to take effect at the end of February, Reshke explained that the organization, which operates a drop-in center and phone line, might no longer be able to continue its vital services.

Despite not directly offering counseling, the PGRN plays a crucial role by connecting individuals to resources such as Gamblers Anonymous and Alberta Health Services. Furthermore, it offers educational programs that have reached over 250,000 people, including presentations in schools and workplaces. The organization also helps individuals enroll in the Alberta Gaming, Liquor and Cannabis (AGLC) self-exclusion program, which bans individuals from entering casinos.

The government’s explanation for the funding cut is that the network does not provide direct services, which is a reasoning that many, including volunteer Andree Busenius, disagree with. Busenius, who has been delivering gambling awareness presentations in schools, highlighted the increasing demand for such education, particularly among school-aged children. She noted that students are more knowledgeable about gambling sites than they are about available resources for support. Her presentations are often well-received by teachers and parents, further underscoring the necessity of such programs. “My true hope for anyone that hears our presentation… is do not ride the dump truck all the way to the dumpster like I did,” she said, urging individuals to seek help before gambling problems escalate.

While funding for addiction services has been cut, Alberta is moving ahead with plans to overhaul its online gambling sector. Service Alberta Minister Dale Nally has been meeting with casinos, racing entertainment centers, and First Nations groups to discuss the future of online gambling in the province. Alberta’s aim is to open the market to private operators, a step that closely follows Ontario’s model. Under this system, multiple private companies will be allowed to run online gambling sites, which contrasts with Alberta’s current model of relying on a single government-operated platform, Play Alberta.

In a bid to regulate the growing online gambling sector, the Alberta government passed Bill 16 in May. The bill outlines the responsibilities of both the Ministry of Service Alberta and the AGLC, which will oversee online gaming in the province. By opening the market to private operators, Alberta hopes to eliminate illegal gambling sites and generate more revenue from regulated channels. However, there are concerns about the potential social consequences, as gambling experts warn that increased access could lead to higher rates of addiction.

Nally has expressed that while gambling can never be entirely safe, there are ways to make it safer, such as implementing stronger safeguards and regulating operators. Alberta’s future plans may involve the use of self-exclusion programs across online sites, something that Ontario has yet to do. “Get the self-exclusion infrastructure in place beforehand,” advised Dr. Nigel Turner, a researcher at the Centre for Addiction and Mental Health in Ontario, according to St. Albert Gazette.

Ontario’s success and Alberta’s concerns:

Ontario has been operating with a more liberal approach, allowing 50 regulated private operators and over 80 gambling websites. Since opening its doors to private gambling operators in 2022, Ontario’s online gambling market has seen substantial growth. In the first quarter of the 2024-25 fiscal year alone, revenues rose from $540 million to $726 million. Dr. Turner, who studies gambling addiction, believes this growth is linked to the increase in marketing and advertising that online gambling companies use to attract customers. While online gambling may reduce money funneled to organized crime, it also increases the risk of addiction by lowering barriers to access, especially for vulnerable individuals.

Alberta’s plans to open the online gambling market could bring similar financial success but must also address the potential risks. Public health experts, including David Hodgins from the University of Calgary, are urging the government to focus on ensuring sufficient safeguards are in place before expanding the market further. “It’s really the safeguards that I’m most concerned about,” said Hodgins, stressing the importance of effective preventive measures to protect those at risk of gambling addiction.





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