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Poker Machine Reform Faces Stiff Opposition In Australia

The Australian government’s plan to reform poker machines has met with stiff opposition, launching a campaign where both sides seem determined to get their way.

In one corner is the Australian federal government. They see the reforms, such as smartcards that contain predetermined spending limits, as an important tool in the battle against problem gambling. The Gallard government is also keen to keep the support of independent MP Andrew Wilkie, who is staunchly anti-gambling.

But there are plenty of people who have come out strongly against the reforms. The Australian Hotels Association and Clubs Australia are launching a $20 million campaign to rally opposition to the reforms. They say that the reforms would seriously harm pubs and clubs in outlying areas, many of which depend on gambling revenue to survive.

“This is a grassroots campaign – 60% of hotels impacted by Wilkie’s proposal for ‘mandatory pre-commitment’ are located in country and regional Australia,” an unnamed industry insider told AdNews.com.au. “This campaign is being driven by the country pub left with no choice but to stand up and fight for its survival – Wilkie’s proposals will cost billions to implement all for no obvious benefit to problem gamblers.”
Recent announcements from the government have sought to ease some of the concerns raised by opponents of reform. The smartcards that the government would like to require gamblers to use will not rely on biometric data, meaning that there will be no central database of information or concerns about privacy violations.

”The card is programmed and all the machine sees is: yes you can play,” Ian Donald, an executive with Regis Controls told the Sydney Morning Herald. Donald estimated the cost of upgrading to smartcard readers at approximately $500 to $1,000 per machine.

However, even the cards themselves are unpopular among those in the gambling industry. Many believe that a complex and bureaucratic process could scare off most casual gamblers, and send high rollers to Macau or other destinations. Worst of all, they say, problem gamblers may not be helped at all, especially if they can simply find other methods to gamble, or ways to get around the system.

According to a report in the Sydney Morning Herald, clubs that contain poker machines and other gambling facilities obtain about 61% of their revenue from gambling, with some major clubs – especially in New South Wales – making over 80% of their revenues from gambling. The New South Wales government has been one of the fiercest opponents of the legislation, in no small part due to the fact that taxes on gambling accounted for 9% of the state’s budget in the last fiscal year.

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Senior EditorPosted by Senior Editor on Mar 10 2011. Filed under Poker legislation. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

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