Australia Changes Focus on Potential Gambling Ad Ban

In response to increasing criticism from the Australian gaming industry, the Federal Cabinet is reportedly contemplating significant gambling advertising reforms that break from previous proposals. Some argue, however, that the reforms still don't go far enough.

The Sydney Opera House in Sydney, Australia. (Source: MetLink)

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These potential changes include an immediate prohibition on online gambling ads and a two-year phase-out period for television and audio commercials. This move follows the recommendations of a parliamentary inquiry led by the late Labor MP, Peta Murphy, though a complete ban on gambling advertisements is reportedly not on the table.

Related: Australian Government Criticized over New Gambling Ad Limits

The parliamentary inquiry had strongly suggested a total ban on gambling advertisements as a way to mitigate the exposure of vulnerable groups, particularly children, to gambling influences. However, the government appears to be pursuing a more measured approach.

The proposed reforms would specifically target three critical areas. They focus on limiting children's exposure to gambling commercials, restricting promotions during and immediately before sporting events, and addressing the overall pervasiveness of gambling ads across media platforms.

Social Services Minister Amanda Rishworth, in a statement to Sky News, clarified that the establishment of a national gambling regulator is not currently under discussion. Instead, the government is focusing on enhancing coordination among states and territories to ensure a unified approach to regulating online gaming. This approach suggests a strategy aimed at tightening controls within the existing framework rather than overhauling the system entirely.

One of the key aspects of the proposed reforms is the two-year timeline set for broadcasters, allowing them to honor existing contracts with wagering companies before the new rules fully take effect. This consideration is crucial, given the substantial revenue that free-to-air television networks and metro radio stations derive from gambling advertisements. These networks reportedly earn around $238.6 million annually from such ads, making this a contentious issue as they seek to protect their financial interests.

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Communications Minister Michelle Rowland also weighed in on the matter, emphasizing the government's responsibility to shield Australians, especially children and young people, from the harms associated with online gambling. She highlighted the government's consultation with stakeholders on a proposed model aimed at addressing the connection between wagering and sports.

The focus, she noted, is on reducing children's exposure to online wagering ads and tackling the saturation of gambling advertisements in general. The government's goal, she added, is to achieve both harm reduction and cultural change.

The proposed reforms have only allowed the debate to continue within the industry. Anthony De Ceglie, Seven Network's news director, acknowledged that the discussion around banning gambling ads is highly divisive. He expressed caution about using the term "ban" in a free market, suggesting that it could set a dangerous precedent.

However, he also underscored the importance of anti-siphoning laws. These prevent pay TV providers from acquiring exclusive rights to major sports events, thereby ensuring that Australians can continue to watch sports without a subscription fee.

Prime Minister Anthony Albanese has also previously voiced his concerns about the prevalence of online gambling ads. Last year, following the initial parliamentary inquiry, he criticized the frequent appearance of gambling commercials during sports broadcasts.

Speaking to ABC Radio, Albanese remarked that it is "reprehensible" to be watching a football game only to be confronted with an ad promoting gambling. His comments reflect a broader concern within the government about the normalization of gambling in Australian culture, particularly through its association with national sports.

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