Legal sports betting is worsening food hardship for hundreds of thousands of American households, according to new research published by the National Bureau of Economic Research.
The study compared nine states that legalized online and retail sports betting with states where both forms of betting remained illegal throughout the analysis period.
Researchers analyzed changes in legalization between 2021 and 2023, tracking whether households had enough to eat among working-age adults without a college degree.
The analysis drew on Census Bureau Household Pulse Survey data collected every two weeks, alongside Google search trends and state-level sports gambling data.
The study estimated a 2.1% reduction in food sufficiency for that demographic group, a figure that spans the entire population including people who do not gamble at all.
Because the estimate is population-wide, researchers calculated the decline could equal roughly 10.5% among active bettors if one in five U.S. adults routinely places bets.
Food hardship generally emerged within about two months of legalization, persisted for three to five months, and returned during later NFL seasons.
The study, titled “Gambling Away Stability: Sports Betting’s Impact on Vulnerable Households,” found that legalization led to a 14% decrease in household deposits to brokerage investment accounts.
Researchers found that every $1 in sports betting reduced net investments by roughly $2, accompanied by decreased credit availability, increased credit card debt, and a higher incidence rate of overdrawing bank accounts.
The findings suggest sports betting has not led people to divert money from other entertainment spending, but has instead caused financially vulnerable households to overextend their budgets at the expense of savings and investment accounts.
About 25% of survey respondents say they have missed bill payments because they used the money to bet, with some reporting they wagered away money intended for groceries and other basic necessities.
The report was released just days before the start of the 2026 FIFA Men’s World Cup, which is being held across the USA, Canada, and Mexico, representing a major moment of mass exposure to betting advertisements.
Public perception of the sports betting industry has weakened alongside these mounting social costs, with a May 2026 survey finding more U.S. voters oppose legalization than support it.
A late 2025 poll from the Pew Research Center found that support for sports betting is eroding among young men, who represent the primary customer base for betting apps.
Early 2026 polling from the Siena Research Institute found that 60% of online sports bettors report chasing their losses, which researchers identify as a core sign of a gambling problem.
