In a move to bolster gambling reforms, the Australian government has proposed significant last-minute amendments to its gambling reform bill, coinciding with the release of a critical report from a Senate inquiry on Monday night.
Communications Minister Anika Wells announced the legislation in Parliament that aims to establish a national register allowing individuals to opt out of receiving gambling promotions. The amendments to the Interactive Gambling Bill introduce a mechanism for Australians to indicate their preference to avoid gambling advertising on various platforms.
This initiative is part of a negotiated agreement with the opposition Coalition, focusing on reducing gambling marketing's reach, particularly towards children and young adults.
The proposed reforms entail that digital gambling platforms will be required to implement a "triple lock" system prior to displaying any promotions. This will necessitate users to have logged-in profiles, complete age verification, and provide access to an opt-out choice for gambling advertisements.
Streaming services like 9Now and 7plus will be subjected to the same advertising limitations as free-to-air television. Despite these restrictions, the Senate inquiry's report deemed them inadequate. The joint inquiry received 97 submissions, featuring input from health experts, gambling harm survivors, broadcasters, wagering entities, regulators, and state government officials. Many experts contended that the opt-out strategy could be ineffective since behavioral research indicates low rates of default setting changes, posing a risk to vulnerable users, including minors and individuals in recovery.
To further reduce targeted advertising strategies, endorsements from celebrities, athletes, and social media influencers for gambling will be prohibited. Additionally, the Australian Communications and Media Authority (ACMA) will gain the power to order online content services to implement opt-out features, with penalties for non-compliance due within 30 days.
Wells has also extended the pre-match blackout period for wagering advertisements during live sports events from five minutes to fifteen minutes, and adjusted the daily broadcast restriction on such advertisements to commence at 5:00 AM, rather than 6:00 AM, which effectively increases the restriction period to 15.5 hours until 8:30 PM. However, the Senate report pointed out that many children view live sports past this watershed time, allowing continued access to these ads.
Moreover, wagering providers will be banned from offering commissions, bonuses, or other performance-related payments to employees or third parties concerning customer acquisition, reactivation, retention, or management. The inquiry indicated that bookmakers often offered cash inducements aimed at high rollers, raising concerns about the promotional practices of betting companies. Testimonies included insights from former rugby league player Luke Bateman, who described how betting companies encouraged harmful spending behaviors.
Violations of these new regulations could incur civil penalties reaching up to 1,000 penalty units, with attempts to evade these rules facing fines up to 7,500 penalty units. Notably, this anti-avoidance clause is set to apply extraterritorially, targeting overseas operations as well.
However, despite these reforms, the legislation does not impose an outright ban on gambling advertisements, a significant recommendation in the 2023 parliamentary report "You Win Some, You Lose More." The Senate report indicated that some members believe only a total advertising ban could effectively diminish demand for gambling.
The Green Party had previously proposed an all-encompassing ban on gambling ads to the Senate in October 2024, emphasizing expert recommendations and public support for such measures.
There is significant opposition to the bill; Responsible Wagering Australia (RWA) expressed concerns that the reforms might inadvertently drive players towards illicit offshore gambling operations. RWA CEO Kai Cantwell highlighted issues with the proposed opt-out advertising register, claiming it undermines initiatives like BetStop. Cantwell noted the impracticality of developing such a system swiftly, as BetStop was implemented after four years of planning.
The Senate committee recommended passing two crucial bills but called for amendments to enhance provisions aimed at mitigating gambling-related issues. Prime Minister Albanese confirmed the bill would advance to a third reading after agreement from both the government and the Coalition. He characterized the legislation as the most extensive gambling advertising reform in Australian history, aiming to bolster protections for those vulnerable to gambling harm while permitting those who enjoy betting to continue their activities. The legislation is expected to come into effect on January 1, 2027.
