Banning gambling advertising among 31 wagering reform recommendations
Racing will be exempt from a gambling advertising ban, with spruiking and promotion of betting allowed on dedicated channels and programming under a far-reaching federal government committee plan to rein in Australia’s $50 billion dollar wagering sector.
The You Win Some, You Lose More report into the nation’s online gambling industry, which has exploded over the past decade, made 31 recommendations including the phasing out of online gambling advertising over a three-year period and the prohibition of corporate bookie sponsorship.
The House Standing Committee on Social Policy and Legal Affairs also recommended that the incentivisation of punters to wager – through the offering of bonus bets and other money back promotions – will also be prohibited “without delay”.
While the three codes of racing appear to have been spared from the blanket ban on the $300 million-a-year gambling advertising market, the recommendations, if implemented, will have lasting implications for the revenue streams of major sporting organisations, such as the Australian Football League and National Rugby League.
Responsible Wagering Australia (RWA) – the peak body representing major corporate bookmakers Sportsbet, Entain’s Ladbrokes and Neds, Bet365, Betfair, Unibet and PointsBet – said yesterday that a blanket ban on gambling advertising was a step too far.
“RWA recognises community concerns around online wagering advertising and there are more effective ways of meeting community expectations,” RWA chief executive Kai Cantwell said in a statement.
“Other more measured options which could be considered by the government include capping the numbers of gambling ads to be shown.
“By doing this, the expectations of the community to see less advertising would be met, while also maintaining the crucial support to sporting codes and local broadcasters.
“RWA members, along with broadcasters and major sporting codes have publicly acknowledged that there is a growing desire in the community to see less gambling advertising.
“However, blanket bans – even in a phased roll out – are short sighted, ineffective and are not the answer.
“We know that strict changes – like blanket bans and banning inducements, such as bonus bets – often prove ineffective in addressing problem gambling, with Australians instead turning to illegal offshore markets as they seek out these options.”
Unlike the United Kingdom, which is wrestling with the imposition of affordability checks on gamblers, the committee stopped short of recommending such action be enforced on Australian punters.
“While there is evidence suggesting that universal mandatory pre-commitment, with a requirement for individuals to prove they can afford to gamble at higher levels, may offer the best protection for people who are struggling to control their gambling, this may be too much of an imposition for most people who gamble,” the cross-party report said.
“Customers should be encouraged to set deposit and bet limits that are safe for them and be provided with research-informed education and tools to help them bet within their limits. Further work is needed to demonstrate that universal mandatory pre-commitment will, on balance, lead to better outcomes in Australia, noting that the other reforms recommended in this report should substantially reduce online gambling harm.”
Labor MP Peta Murphy, who chaired the inquiry, said: “A phased, comprehensive ban on online gambling advertising is recommended within three years.
“This will give major sports and broadcasters time to find alternative advertisers and sponsors, while preventing another generation from experiencing escalating gambling harm.
“The committee has also recommended stronger consumer protections for licensed online gambling, including a requirement for wagering service providers to verify their customers’ identity before accepting bets from them, a ban on inducements and a legislated duty of care. We have also called for a crackdown on illegal gambling websites.”
Federal communications minister Michelle Rowland said: “The government will now consider the report and its recommendations in full, and in consultation with key stakeholders, before outlining proposed reforms.”
To read the You Win Some, You Lose More report, click here.