AGR says Australia can improve gambling regulation

The Alliance for Gambling Reform (AGR) in Australia has published a new analysis of the country’s online gambling laws, juxtaposing local gambling frameworks against global regulation and what can be improved in the country to better protect consumers and businesses. This analysis comes in the wake of investigations into Crown Resorts and The Star, both of which were found to be in breach of certain AML and social responsibility standards and prompted regulatory and legislative action.

In the meantime, the AGR is not the only organizaiton that has been sounding the alarm over local laws. Responsible Gambling Australia, another organizaiton, has recently said that if left unaddressed, the offshore gambling market – which the organization brands as illegal – could cost as much as $3bn in lost tax and lost racing and sport product fees.

The Australian Media and Communications Authority has reached out to officials in Curacao to urge the jurisdiction to try and force locally regulated licensees to stop targeting Australian citizens.

Now, the AGR has addressed the matter of whether Australia is actually lagging behind when it comes to implementing online gambling laws – and laws in general – that are designed to reduce gambling harm. According to the organization, the lack of adequate measures is essentially allowing the industry to "groom" young people through the gamification of gambling, and offering free and unrestricted apps that emulate pokies.

Although such solutions do not breach existing rules, argues the AGR, they are still seen as a loophole that impacts young players. AGR’s research shows that people who gamble online are also more likely to experience harm – 34% - compared to people who play in person – 15.6%. The amount of losses suffered by Australians gambling has already reached $7bn argues AGR chief executive Carol Bennett commented on the situation:

While Australia dithers on banning sports gambling ads an hour before and after a game, many countries across Europe and Asia have simply banned all gambling advertisements in traditional media and online.

The AGR maintains that the online gambling industry – and the challenges posed by the illegal sector – have evolved so quickly that legislation has lagged behind. One of the biggest and most glaring mistakes by the government has been the lack of sufficient investment in harm reduction bodies and funding in general.

Among the serious issues identified by Bennett and the AGR is what the organization has described as a convergence between "gambling" and "gaming," and the tendency to equate both activities. Bennet has criticized the trend towards embedding gaming features in gambling, and pointed out that there often are no age restrictions.

The AGR then proceeded to offer several lessons from other jurisdictions that could be applied locally. Germany, for example, blocks gambling advertisements on TV, radio, and the Internet. Spain and the Netherlands on the other hand put a greater emphasis on protecting customers.

Lessons can be derived even from close neighbors and countries in Asia, with South Korea and Cambodia completely prohibiting online gambling. To move forward with meaningful changes, Australian lawmakers need to focus on restricting online gambling and children’s exposure to these activities.

Additionally, lawmakers are urged to establish a gambling ombudsman and the establishment of a "properly-funded" national regulator.

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