New South Wales budget projects rising gaming machine revenue
Gambling tax revenue is forecast to reach US$3.2bn by 2029-30.
Australia.- The New South Wales government has projected strong growth in gambling-related tax revenue over the next four years, according to the 2026-27 state budget. Budget papers forecast a gambling tax revenue rise from AU$3.8 bn (US$2.6bn) in 2025-26 to AU$4.7bn (US$3.2bn) by 2029-30. Revenue from gaming machines (known locally as poker machines) in hotels and pubs is expected to rise from AU$1.6bn (US$1.11bn) in the current financial year to AU$2.2bn (US$1.5bn) by the end of the forecast period.
The NSW Treasury estimates that revenue from hotel-based machines will increase by an average of 7.5 per cent annually, while profits from the venues are expected to grow by around 8 per cent through the late 2020s.
The projections have reignited debate around gambling reforms in the state. Several advocacy groups argue that the growing reliance on gaming revenue contrasts with commitments made before the 2023 election to reduce gambling harm and pursue broader industry reforms.
Tim Costello, chief advocate for the Alliance for Gambling Reform, said the latest projections represented “a breach of trust” with voters, while NSW Greens gambling harm reduction spokesperson Cate Faehrmann said the budget showed the government had abandoned meaningful reform efforts. She pointed to continued tax concessions for clubs.
NSW Treasurer Daniel Mookhey said the projections are based on current policy settings and do not attempt to predict the impact of potential future regulatory changes. Premier Chris Minns also defended the government’s record, highlighting measures already introduced, including a reduction in the statewide cap on gaming machines, the removal of exemptions from mandatory shutdown periods, and lower cash-input limits for new machines from July.
