As more provinces look to open their sports betting markets, a proposal to create a national framework to limit the industry’s advertising in Canada is advancing.
The Senate Committee on Transport and Communications made no changes to Bill S-269 during a brief clause-by-clause consideration meeting Wednesday before sending a report to the full Senate. Introduced last year, the bill aims to create an advertising framework for sports betting in Canada similar to the one that exists for tobacco.
The committee held multiple hearings this year, with more than 20 testimonies from responsible gambling advocates and representatives from the broadcast and sports betting industry. The bill needs to pass the Senate and House of Commons.
Canada sports betting ad framework
Bill S-269 would restrict sports betting advertising in “number, scope or location.” Multiple lawmakers expressed concern about the industry’s promotional efforts following the commercial Ontario sports betting launch in 2022.
The lawmakers are also concerned about the industry’s exposure to minors. Proposed rules include:
- Limiting the use of celebrities and athletes
- Limiting the number of ads that can be shown
- Restricting non-broadcast advertising
- Setting standards for responsible gambling and the prevention of problem gambling
Sports betting ad ‘torrent’
Sen. Marty Deacon and Sen. Brent Cotter introduced the legislation last year after supporting the legalization of single-event sports betting in 2021. They said a “big torrent of advertising and promotions” after the launch made Bill S-269 necessary.
Cardus, a nonpartisan think tank, believes a national framework for sports betting should resemble those created for alcohol, tobacco and cannabis, according to submitted testimony. Responsible Gambling Council CEO Shelley White said the legislation would create a blueprint for provincial regulations.
The Canadian Gaming Association and the non-profit Ad Standards are working on a code for gambling companies, Scott Hutton, vice president at the Canadian Radio-television and Telecommunications Commission, told the committee. Hutton said the commission will require broadcasters adhere to the codes, whether or not there is nationwide legislation.
Leagues chime in
The National Hockey League submitted a letter advocating for additional research into the subject, while also suggesting provincial framework is the most effective approach.
The National Football League, meanwhile, said one of the main goals of regulated sports betting is to move consumers out of illegal markets and that overly restricting advertising will hurt those efforts.
“Unreasonably curtailing responsible advertising will inevitably hamper the important effort to channelize illegal sports betting into the legal market,” the NFL’s letter reads.
Sports betting ads dwindling
During a hearing last month, Kevin Desjardins, president of the Canadian Association of Broadcasters, said the demand for sports betting ad time is already waning.
Desjardins also said a national framework would be an overreach into provincial regulation of the sports betting industry.
Catherine MacLeod, president and CEO of research group ThinkTV, said gambling advertising makes up a small portion of advertising. This year, the organization has reviewed 28,000 ads, of which 189 were gambling. That is down from 442 gambling ads in 2022.
Ontario sports betting regulations
Ontario, the nation’s only commercial market, launched with a robust set of advertising rules and regulators have fined multiple operators for violating those. Regulators also adjusted the rules in 2023 to ban the use of athletes in sports betting advertising.
Alberta, which would be the second Canadian commercial market, is modeling its regulatory framework on Ontario. Most provinces only have lottery-run sportsbooks.
Last year, an Ontario lawmaker introduced legislation to ban online gambling advertising in the province.
US advertising trends
Multiple states have amended their regulations to tighten advertising rules.
Some lawmakers are trying to develop a nationwide advertising framework for sports betting. Rep. Paul Tonko and Sen. Richard Blumenthal are championing the SAFE Bet Act.
The proposal would limit ads to times and spaces where children would not be in the audience. In addition to advertising restrictions, the bill also sets customer deposit limits and bans college prop betting.