This paper analysed data on poker machines from each Australian state and territory, comparing it to ABS data on the number of Aboriginal and Torres Strait Islander people in each area. The paper also provides an analysis of the concentration of poker machines in areas with higher Indigenous populations by state. Western Australia could not be included in this analysis because it restricts poker machines to a single casino in Perth.

Poker machines are more likely to be located in areas of Australia in which at least 10% of the population is Indigenous. As losses from pokies disproportionately affect Indigenous Australians, stronger poker machine regulation would significantly benefit Indigenous Australians.

Key findings

• Across all the local government areas (LGA) examined, almost $13 billion is lost to poker machines every year – this disproportionately affects areas with higher indigenous populations.
• LGAs with Indigenous populations of 10% or more have one poker machine for every 99 people, whereas LGAs with an Indigenous population of less than 10% have one poker machine for every 148 people.
• In areas with relatively few poker machines (less than 100 per 10,000 people), an average of 3% of people are Indigenous. In contrast, in areas with more than 100 poker machines per 10,000, the Indigenous population is 7% – more than double.
• LGAs with high indigenous populations are nearly three times as likely to have more than 100 machines per 10,000 people.