With $95 billion a year fed into NSW’s poker machines, and close to $10bn in player losses, gambling reform is high on the list of key policy issues for the looming NSW election. Which party provides the best policy platform to curb gambling harm in the biggest poker machine province in the world? Callum Foote investigates.
Australians are some of the heaviest gamblers in the world, and NSW tops the country in terms of losses to poker machines, with roughly $5 billion in losses every six months according to the latest government statistics.
As the state election looms, a key policy issue is commitment to cashless poker machines, which the Coalition says they’ll introduce by 2028, while Labor is committing itself to a 500-machine trial only.
Cashless poker machines would require gamblers to apply for and receive a dedicated gambling card, which they would have to pre-fill with money if they wanted to use poker machines.
Cashless gaming will include a number of features to curb problem gambling, including mandatory self-imposed limits and cooling-off periods, breaks in play, prohibiting the transfer of funds from credit cards, and prohibiting automatic top-ups.
This policy is in line with recommendations from the NSW Crime Commission’s investigation into money laundering through poker machines.
Major parties differ on cashless gaming
According to Reverend Stu Cameron, Wesley Mission CEO and gambling reform advocate, “there is nothing stopping NSW Labor from committing to a mandatory cashless card and then informing that decision with pre-launch testing.”
Cameron says Perrottet’s “commitment to this reform and to reducing the impact of gambling harm in NSW is genuine and deeply appreciated.”
There have been compromises made around the timeline for delivery, with a proposed legislated date of December 2028, which many gambling reform advocates find disappointing. “The policy is not perfect, but the firm and detailed commitment to a mandatory cashless card is both critical and very welcome,” says Cameron.
As things stand right now, the Liberal/National coalition head to the election as the only parties capable of forming a government after March 25, who have a committed response to the Crime Commission’s recommendation to introduce mandatory cashless gaming.
CEO of the Association for Gambling Reform Carol Bennet also largely agrees with Rev Cameron’s assessment “The Coalition appears to have the best policy for reducing gambling harm between the two major parties.”
This is based on the commitment to introduce cashless poker machines, “however we would want to see the detail and ensure it meets the criteria we have set out in our cashless gambling policy” says Bennet.
“The ALP’s voluntary trial of 500 of 90k machines will not achieve anything we don’t already know – voluntary systems simply don’t work to reduce gambling harm.”
Greens and independents supports reform
Both Cameron and Bennet believe that the Greens, key independents and “Teal” independents all also have strong gambling reform policy platforms (those who receive no financial support from the industry).
Another expert, ClubsNSW whistleblower and former anti-money laundering and counter-terrorism financing officer, Troy Stolz, also takes a similar approach.
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“The Greens by far have the most comprehensive policy and approach to gambling reform,” Stolz says. “They are engaged with real-life victims, some amongst their rank and file. They are engaged with Wesley Mission, the Alliance for Gambling and up to date with research”.
Stolz sees that Perrottet represents a turning point in the Coalition’s traditionally pro-industry approach; “The LNP, after disastrously demoting gaming minister Victor Dominello due to the Industry’s pressure to remove him, have seen the error in their ways, and are trying to turn the vessel around. Whilst committed to a 2028 date of implementation, the reform should be implemented in the next term of parliament 2023-2027,” Stolz says.
As a sign of Perrottet’s commitment to regulating the industry, he will be the first Coalition leader not to sign a memorandum of understanding with ClubsNSW, not-for-profit lobby group, heading into an election in recent memory.
“Labor is demonstrating they haven’t learned from the Labor Obeid era and their 12 years in opposition. They are clearly captured and beholden to the gambling industry. It’s so obvious,” he concludes.
Labor has otherwise committed to ban political donations from clubs. Cameron says “it’s about time that the final loophole allowing political donations from the gambling industry was closed. This is an important step.” Notably, this is a commitment which Perrottet hasn’t broached.
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Australia-wide, according to a Greens analysis of the Australian Electoral Commission’s transparency register, the gambling, tobacco and alcohol companies cumulatively split their donations equally between the Coalition and Labor, with a million going to each.
Labor will introduce poker machine cash input limits of $500 to help stop money laundering and help gamblers restrict their spending. However, Cameron says this is an interim fix only until a mandatory card comes in.
“This is a positive announcement from NSW Labor that could make a difference in the long run. However, this will only apply to new machines, and there is no commitment to mandate the changeover of older machines.”
Labor will also reduce the number of poker machines in NSW, but experts say the limited scope won’t make much of a difference.
Experts agree that key independents, ‘teal’ independents and the Greens are the best choice for those interested in gambling reform. From the majors, they’ve chosen the Coalition as the better option, due to Perrottet’s commitment to introduce cashless poker machines, albeit a bit later than hoped for.
Labor leader Chris Minns has also signalled that he is unwilling to budge on gambling reform if his government has to form a minority government after the election.
Callum Foote was a reporter for Michael West Media for four years.