Poker Machine Reduction Plan Scrapped by NSW Government

The New South Wales government has dropped its pre-election commitment to remove 9,500 poker machines from the state, despite previously advertising it as a major policy distinction from the Liberals.

Slot machine in a land-based casino. NSW government drops plan to reduce poker machines.
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During the election campaign, senior Labor figures, including now-Treasurer Daniel Mookhey, repeatedly spoke of their intention to cut poker machine numbers. In early 2023, Mookhey said that they wanted to speed up the removal of poker machines and said that under Labor’s plan, 9,500 of them could be removed within five years.

The proposed reduction was to be achieved through a combination of a buyback scheme, targeting around 2,000 machines, and a separate forfeiture model. However, during a parliamentary hearing on Tuesday, the state’s gaming minister, David Harris, confirmed that after carrying out research, the government policy has changed.

What we found is it is not the number of machines that’s the issue. It’s the intensity of play. The state could pay $60m to remove those machines, and it would make no difference other than $60m coming out of a budget when it could have been spent on harm minimisation.

David HarrisMinister for Gaming

Related: New South Wales Consultation on Reducing Gambling Harm

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Government Advised by Independent Panel on Gambling Policy

Harris said the government’s change in stance was influenced by recommendations from an independent panel on gambling policy. This panel included representatives from organizations that operate or profit from poker machines, such as Clubs NSW, the Australian Hotels Association (AHA), Gaming Technologies Australia, and Leagues Clubs Australia, as well as the NSW Council of Social Service, Wesley Mission, the United Workers Union, gambling researchers, and an individual with lived experience.

A report from the panel’s executive committee advised that a buyback scheme would be expensive, with an estimated cost of at least $60 million, while having little impact on overall machine numbers.

Opposition Criticizes Change in Policy

The Shadow Minister for Gaming Kevin Anderson was quick to criticize the government for abandoning its pledge.

He highlighted the contradiction between Daniel Mookhey making an “evidence-based commitment” in the run up to the lection and the Minister for Gaming now saying that “the evidence doesn’t stack up”.

As such, he says that Labor is not doing anything to address problem gambling in the state. However, while the government may have dropped the poker machine reduction plan, it has introduced measures such as banning advertising outside venues with poker machines. It has also announced plans to prohibit gambling ads on public transport.

RELATED TOPICS: Responsible Gambling

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