Australia

‘No pokies’ Nick Xenophon goes for ‘some pokies’, but does his gambling policy go far enough?

Published

6 years ago

February 22, 2018

‘No pokies’ Xenophon goes for ‘some pokies’, but does his gambling policy go far enough?

Reading Time: 3 minutes

SA-Best, led by high-profile former senator Nick Xenophon, has announced its gambling policy ahead of next month’s South Australian election. Xenophon has backed away from the “no pokies” policy that characterised his earlier approach to gambling reform. However, the evidence behind his party’s proposed suite of measures is reasonably strong.

What’s in the policy?

Key aspects of SA-Best’s proposal are:

a five-year plan to cut poker machines numbers in South Australia from 12,100 to 8,100;

a reduction in maximum bets to A$1, from the current $5;
a reduction in maximum prizes from $10,000 to $500;
removing particularly addictive features such as “losses disguised as wins”;
prohibition of political donations from gambling businesses; and
the removal of EFTPOS facilities from gambling venues.

The policy would also empower the state’s Independent Gambling Authority to implement and evaluate these proposals.

The policy is targeted at commercial hotel operators; clubs, “community hotels” and the casino are exempt from the reduction provisions.

There are also proposals to cut trading hours from 18 to 16 per day, with the introduction of a seven-year pokie licence for venues, from January 1, 2019. Increased resources would go to counselling and support for those with gambling problems.

Notably absent from the policy is the introduction of a pre-commitmentsystem, which would enable pokie users to decide in advance how much they want to spend. Along with $1 maximum bets, this was a key recommendation of a Productivity Commission inquiry in 2010.

The policy has attracted the expected response from the gambling industry. The Australian Hotels Association argued the changes would “rip the guts” out of the gambling industry and attack the “26,000 jobs” it claims the industry directly creates.

Does evidence support SA Best’s policies?

We’ve known for some time that reducing maximum bets is likely to reduce the amount wagered by people experiencing severe gambling problems. This in turn reduces the harm they suffer.

Reducing maximum prizes reduces “volatility”, meaning pokies may have more consistent loss rates.

Reducing access to pokies is also an important intervention, since easy access is a key risk factor for developing a gambling problem. Reducing the number of machines, and the hours they are accessible, support this.

However, very substantial cuts in pokie numbers are needed to meaningfully reduce harm. A cut of the magnitude SA-Best proposes may not be sufficient to prevent those with serious gambling habits from readily accessing pokies. This is because pokies are rarely fully utilised at all times of the week.

Removing easy access to cash has also been identified as an important harm-reduction intervention. This had a positive initial effect in Victoria (especially among high-risk gamblers), when ATMs were removed from pokie venues in 2012.

The harms associated with gambling generally affect far more peoplethan just the gambler. The most recent study, from 2012 indicates that 0.6% of the SA adult population is classified as at high risk of gambling harm, 2.5% are classified as at moderate risk, and another 7.1% at low risk.

Based on census data, this equates to about 8,000 South Australians experiencing severe harm from gambling. Another 33,100 are experiencing significant harm, and about 94,000 are experiencing some harm.

However, each high-risk gambler affects six others; each moderate-risk gambler affects three others; and each low-risk gambler one other. So, the problems of each high-risk gambler affect another 47,660 South Australians. These are children, spouses, other relatives, friends, employers, the general community via the costs of crime, and so on.

Another 99,300 are affected by moderate-risk gambling, and another 94,000 by low-risk gambling. All up, this amounts to 241,000 people.

Of these, 190,000 are affected at high or significant levels. These harms include financial disaster and bankruptcy, divorce or separation, neglect of children, intimate partner violence and other violent crime, crimes against property, mental and physical ill-health, and in some cases, suicide.

Most gambling problems (around 75%) are related to pokies, and by far the greatest expenditure goes through them. Nothing has changed in this regard since the Productivity Commission identified this in 2010.

In this context, SA-Best’s policy has substantial justification.

Does it go far enough?

The South Australian Greens, like their counterparts in Tasmania and the Tasmanian Labor Party, want to get all pokies out of pubs and clubs. They argue gambling’s social and economic costs are far in excess of the benefits.

For Tasmania, the costs of gambling can be estimated at about $342 million per year. This is more than three times as much as the total tax take from all gambling in the state.

A similar calculation for South Australia suggests its overall costs of problem gambling are more than $1.6 billion per year. This is more than four times the total taxes from gambling the South Australian government derived in 2015-16 ($380.3 million).

With a cost-benefit ratio like that, some strong measures could well be called for. Xenophon says the proposals encapsulated in his party’s policy are the start. However, Tasmanian Labor has set the new benchmark for pokie regulation – removing them entirely from pubs and clubs.

It is remarkable that a party traditionally in lockstep with – and substantially supported by – the gambling industry has adopted such a position. Perhaps the harms have become too much to ignore?

How these policies might be implemented, amid the resistance they will face from a well-heeled and often-influential gambling industry, presents an intriguing prospect over coming months.

Source: theconversation.com

Australia

Crown Reinstated at Sydney Casino

Published

2 days ago

April 25, 2024

Niji Narayan

Reading Time: 2 minutes

The NSW Independent Casino Commission has found Crown Sydney suitable to retain its casino licence after nearly three years of intensive remediation.

Chief Commissioner, Philip Crawford, said Crown has come a long way and must now demonstrate its long-term commitment to maintaining suitability.

“The NICC is confident the Crown we deemed suitable today has a strong model to keep operating into the future,” Mr Crawford said.

The NICC’s suitability assessment established that Crown Sydney has fundamentally reformed its business and is operating the casino within the objects of the Act, the requirements of the suitability deed, and in compliance with its regulatory obligations.

In addition to proving it can run the casino lawfully, Crown has remediated its business in other meaningful ways such as building a culture of transparency and accountability across its integrated resort.

“Hard work and transformation aside, the NICC has not forgotten the level of misconduct exposed in 2021 when Crown was found unsuitable,” said Mr Crawford.

“Crown Sydney has ongoing work to reach steady state and it must continue to lift standards and maintain its cultural transformation.

“There is and will always be room for improvement, but Crown is a changed business that is looking toward the future.

“Likewise, the NICC is a changed regulator with enhanced powers, a singular focus on casinos, and a mandate to address the risks of harm.

“This decision is a positive outcome for Crown Sydney, its staff, and the community – who can be sure the NICC will use all of its powers to keep the casino in check.”

In addition to the implementation of hundreds of new internal controls, the Bergin-based reforms have been reflected in a new licence and new regulatory agreement between Crown Sydney, the NSW Government and the NICC.

These agreements include updated settings, such as the removal of fetters to the NICC’s powers, as well as previous compensation trigger clauses that are no longer part of the casino legislation.

Mr Crawford said: “Crown cannot disregard the responsibility and privilege that comes with holding a casino licence. Crown Sydney’s ability to provide a destination hospitality and entertainment venue underpinned by the restricted gaming facility is contingent on its steadfast commitment to continuing suitability, accountability and compliance.”

Australia

Tabcorp Partners with OpenBet’s Sportsbook Technology to Propel Growth and Enhance User Experience

Published

3 days ago

April 24, 2024

Alan Campbell

Reading Time: 2 minutes

OpenBet’s robust betting engine and sophisticated trading system to enhance Australian operator’s user experience and operational efficiencies

OpenBet, a leading content, platform and service provider to the sports betting industry, has been selected to supply its scalable betting engine and advanced trading system to Australian wagering giant Tabcorp as the tier-one operator pursues ambitious growth plans.

OpenBet will integrate a series of online and retail products including its fixed-odds betting platform and trading system for its world-class content portfolio to help amplify the offering for Tabcorp’s flagship brand, TAB.

Underpinned by a dedicated excellence team working with TAB for continuous development and innovation, OpenBet’s pioneering technology and services will provide improved agility, scalability and speed-to-market for new and differentiated products that will redefine the TAB user experience. Tabcorp will also benefit from enhanced operational efficiency and streamlined processes through OpenBet’s proven solutions.

As Australia’s largest gaming and betting operator, Tabcorp has a rich history of providing market-leading products to its customers. With more than 3,000 employees, the company continues to grow and aims to further increase its market share over the coming years.

OpenBet’s expertise in operating within some of the world’s strictest regulated markets was a major factor in Tabcorp’s decision in selecting the company as its latest technology provider. Integrating OpenBet’s globally respected platform and products within Tabcorp’s technology ecosystem comprising of proprietary capabilities across trading, digital experience and data is a perfect fit for market leading innovation, enhanced operational capability and delivering an unparalleled user experience to Tabcorp’s customers.

This deal strengthens OpenBet’s reputation as a trusted provider to the global sports betting industry. It currently processes almost half of all digital sports bets placed in the Australian market and with this deal will significantly increase that and, for the first time, bring our retail sports betting capability to Australia. Coupled with Tabcorp’s clear progress on accelerating its transformation and innovation with a focus on agility, product delivery and customer experience, this has the ingredients for a great partnership.

“Being selected by Tabcorp to augment its user experience is an exciting move for us and further cements our position as a trusted provider of robust, hybrid products that drive growth,” the Chief Commercial Officer for OpenBet, Cathryn Lai, said. “We’re looking forward to working alongside the TAB team and providing it with tailored products and services that will usher in a new era for its sportsbook offering. We have no doubt that the operator’s customer base will benefit from an enhanced experience through our unbeatable technology and trading services.”

“We’re thrilled to be strategically partnering with OpenBet to enable our growth ambitions and beyond,” the Trading General Manager for Tabcorp, David Beirne, said. “The combined strengths of Tabcorp’s category expertise and internal capabilities and OpenBet’s advanced core creates a market leading relationship that will lead to increased customer engagement, market share and sustainable profitability.

“This partnership will propel Tabcorp’s trading capabilities to the top of the market as it will allow Tabcorp to utilise OpenBet’s cutting-edge technology to deliver a first-class digital and retail experience for our customers at pace in exciting and innovative ways.

“This partnership is a significant step forward in modernising and supporting our ambitious plans to deliver the next generation sports betting user journey.”

Australia

Venues Warned to Play by the Rules on ANZAC Day

Published

3 days ago

April 24, 2024

Alan Campbell

Reading Time: < 1 minute

Liquor & Gaming NSW is urging licensed venues across the state to plan ahead and have proper measures in place to ensure safe and responsible ANZAC Day commemorations.

Pubs and clubs can face additional challenges on April 25 that come with managing larger than normal crowds and the playing of two-up.

Two-up was a popular game among World War I veterans and, while illegal as an unregulated form of gambling most of the year, is legally played every ANZAC Day, Remembrance Day and Victory in the Pacific Day in their memory.

Liquor & Gaming NSW Executive Director Regulatory Operations, Jane Lin, said inspectors would carry out checks of licensed premises in Sydney and regional areas on ANZAC Day to ensure compliance with the state’s liquor and gaming laws.

“Two-up is a great Australian tradition and a way for people to come together at pubs and clubs to enjoy the ANZAC spirit,” Lin said. “While venues do not need a permit to host two-up, they are encouraged to fully understand and observe the traditional rules of the coin-tossing game.

“Licensed venues are reminded to properly manage potential risks linked to larger crowds, increased rates of intoxication, gambling disputes, extended high volume trading and special ANZAC Day liquor promotions.”

Venues’ advertising and promotions must align with liquor promotion guidelines.

More information about ANZAC Day in New South Wales is available at https:/ /www.NSM.gov. au/about-nsw/anzac-day-nsw. Two-up rules can be found at https:/ /www.LiquorAndGaming.nsw. gov. au/__data/assets/pdf_file/0007/858562/fs3098-two-up-factsheet. pdf.