Unnecessary complex Amendments play into hands of Offshore cartels

Responsible Wagering Australia (RWA) says amendments to the Interactive Gambling Act 2001, moved today, will further drive those at risk of gambling harm into the hands of criminal cartels running illegal offshore gambling sites.

 

The original Bills, and debate to date, have clearly outlined the seriousness of the illegal offshore market, which is growing at 2.5x the rate of the legal, licensed and already heavily regulated market in Australia.

 

The deal done between the Government and the Opposition disregards that risk, and undermines the positive measures aimed at addressing the offshore market.

 

The Bills will already significantly reduce visibility of Australian licensed brands, and by adding administratively complex, broadly drafted measures to further reduce advertising and customer promotions, offshore providers are expected swoop on vulnerable punters.

 

RWA CEO Kai Cantwell said the industry had engaged constructively through the Senate Inquiry and legislative process, including supporting reforms designed to protect children and support people experiencing gambling harm, but the new measures went well beyond that objective.

“These measures will significantly curtail our ability to advertise a legal product safely to adults” Mr Cantwell said.

Mr Cantwell warned that the complexities of the opt-out advertising register not only risks undermining other important measures like Betstop, but also creates serious implementation concerns: “This new global opt-out system, akin to BetStop, is proposed to be designed, developed and implemented in less than four months. Betstop, which is a simpler concept, took more than four years from inception to implementation”.

 

Mr Cantwell said the new amendments would do nothing to touch the illegal offshore wagering market, which does not pay tax in Australia, employs no Australians, and operates outside the reach of any opt-out or ad-stop mechanism.

 

“If you push people away from the licensed, regulated market – by banning or limiting the promotions that let local operators compete, or by making Australian odds less competitive with new taxes and levies – you don’t stop them punting. You push them offshore, into products with no consumer protections, no support, no Betstop, and no contribution to Australian sport and racing. In fact, these sites actively undermine sports integrity and consumer protections.”

 

Mr Cantwell said the licensed wagering industry remained willing to work with government and the opposition on genuine, evidence-based reform, but called for scrutiny of measures that add cost and complexity without a clear link to reducing harm. The devil will be in the detail, expected to largely be left to regulation.