In comparison, the only financial marker that worsened significantly in the full set of states was the prevalence of auto loan delinquency, suggesting the financial problems were in fact caused by gambling legalisation. The study also showed that the negative effects of sports gambling legislation most strongly impacted low-income men. “There is suggestive evidence that young men in low-income counties experience higher financial distress, with higher rates of bankruptcy, more usage of consolidation and unsecured loans, and more credit card delinquencies,” the study claimed.

Gambling has historically been strictly regulated in the US, available in casinos in a handful of Indian reservations and other special districts. Its rapid legalisation since 2018 has created a multi-billion-dollar sports betting industry, with devastating financial consequences for gamblers. Meanwhile, the sports gambling industry grew more than tenfold in five years, bringing in well over $10 billion in revenue in 2023 alone, alongside an aggressive marketing strategy. It has transformed the culture within professional sport, with fans threatening athletes whose poor performance costs them money, and some accusing players of fixing games for their own financial benefit.

Calls to gambling addiction hotlines have spiked since legalisation, in some places by as much as 55%. In a recent Atlantic podcast, sports journalist Jemele Hill expressed concern about the industry’s growing gambling addiction problem. “I think, much like with tobacco, we’re going to look up five years from now, 10 years from now, whatever time period, and it’s going to be a real public-health crisis,” she said.