On July 16th, 2023, the state government of Victoria, Australia, introduced new gambling reforms aimed at reducing gambling-related harm and combating money laundering in the electronic gambling industry.
For businesses holding any link to electronic gambling in Australia, these reforms can affect you negatively and are worth knowing about.
At the outset, the poker machine reforms include mandatory pre-commitment limits, load-up restrictions, and closure periods for gaming areas. Such a decision is in line with Victoria’s commitment to combating gambling harm and player protection.
What to expect if you are into gambling
Under the new regulations, gamblers will face mandatory pre-commitment limits and load-up restrictions. Here’s a look at the key changes:
- The maximum load-up limit on electronic gaming machines (EGMs) will be lowered to $100, from what used to be $1,000.
- Carded play will also be required as laid down by new poker machine reforms, effectively curbing money laundering activities through gaming venues.
- Gaming venues (excluding Crown Casino) will be mandated to close their gaming areas between 4 am and 10 am. The enforced closure periods aim to provide a break for gamblers and prevent excessive and prolonged gambling sessions.
- The spin rate of EGMs will be reduced to three seconds per game, a change that limits potential losses and mitigates the addictive properties associated with fast-paced play. Reportedly, the alteration is based on research demonstrating a slower spin rate reduces both the speed of losses and the brain’s dopamine response, which is responsible for the sense of winning even when losing is evident.
How such changes affect the Aussie community
The Victorian government’s commitment to combating gambling-related harm extends to the transfer of responsibilities from the Victorian Responsible Gambling Foundation to the Victorian Gambling and Casino Control Commission (VGCCC) on July 1, 2024.
Not to forget, the VGCCC has also been allocated a significant budget of $71 million to expand a strong hand in minimizing gambling harm, thereby ensuring a comprehensive approach to player protection.
Now, there’s a mixed review brewing.Â
While the reforms have been welcomed by advocates for gambling reform, such as the Victorian Greens, concerns have been raised regarding the need for identical restrictions on smaller clubs compared to larger venues. Community Clubs Victoria (CCV) CEO Andrew Lloyd argues that the gaming environment in not-for-profit community clubs is distinctive from that of larger venues, necessitating a differentiated approach to regulation..
Here are a few things that will hold maximum momentum in the years to come:Â
- The proposed new gambling reforms align Victoria with efforts in New South Wales (NSW) to address gambling harm.Â
- In NSW, trials of cashless gaming on poker machines, a ban on gambling-related signage outside venues, and reductions in the number of pokies have been implemented.Â
- Additionally, political donations from clubs with gaming operations have also been banned.
Premier Daniel Andrews emphasized the significance of these reforms, stating that Victoria would have the strongest electronic gambling restrictions in Australia and possibly in the world.Â
Also, the government estimates that approximately 330,000 Victorians experience harm from gambling each year, with losses reaching nearly $7 billion. These reforms aim to tackle such alarming figures and create a safer gambling environment for all Victorians.
Wrap Up
Victoria’s implementation of sweeping reforms for the electronic gambling industry demonstrates the government’s commitment to minimising gambling-related harm and money laundering.
With mandatory pre-commitment limits, load-up restrictions, closure periods, and slower spin rates, Victoria aims to lead the way. These new gambling reforms, in conjunction with similar efforts in New South Wales, are undoubtedly a significant step towards creating a safer gambling environment in Australia.