New South Wales drops plan to remove 9,500 gaming machines

Gaming minister David Harris said: “It’s not the number of machines that’s the issue.”

Australia.- New South Wales (NSW) minister for aboriginal affairs and treaty, gaming and racing David Harris has confirmed that the government has dropped its plan to phase out 9,500 gaming machines.

The change in position followed recommendations from an independent panel on gambling policy, which included representatives from Clubs NSW and the Australian Hotels Association, as well as stakeholders in harm minimisation. The panel’s report indicated that a buyback scheme would be expensive and suggested it should be voluntary if pursued.

During a parliamentary hearing, Harris said: “What we found is, it’s not the number of machines that’s the issue, it’s the intensity of play. The State could pay AU$60m (US$37.2m) to remove those machines and make no difference other than take AU$60m out of the budget that could’ve been spent on harm minimisation.”

During the election campaign in 2023, current treasurer Daniel Mookhey highlighted the removal of poker machines as a significant differentiator from the Liberal Party. When asked about the promises made in the campaign, Harris said: “You make those commitments before an election, then you actually get in and you do the work, and you realise what that’s going to do. You’re in opposition now. You’ll find out how hard it is when you’re making election commitments with no support.”

Photo of David Harris, minister for gaming and racing.
David Harris, minister for gaming and racing.

NSW currently has 87,298 gaming machines across clubs, hotels and the Star Casino in Sydney. That’s the most machines in Australia and 30 per cent more poker machines than Queensland and Victoria combined. For comparison, the Australian Capital Territory has 5,200 machines in clubs and hotels, and the Northern Territory 2,195 across various establishments, including casinos.

L&GNSW seeks feedback on next gaming reforms

Liquor & Gaming NSW (L&GNSW) has launched a public consultation on proposed reforms to address gambling ham and money laundering. The proposals include a third-party exclusion scheme and mandatory facial recognition technology for a statewide exclusion register for NSW hotels and clubs with gaming machines. The consultation will close on March 14.

According to the L&GNSW, facial recognition technology will help reduce gambling harm by making it easier for staff to identify people who are banned from a venue, especially in crowded places. Staff would still need to verify the system’s matches with a human check.

The NSW government has implemented a series of major reforms, including capping the number of gaming machine entitlements, banning political donations from clubs and reducing the cash input limit on new gaming machines from AU$5,000 to AU$500.

There is a ban on external gambling signage and on the placement of gambling ads in sight of ATMs. The government has also introduced Responsible Gambling Officers for venues with more than 20 machine entitlements. Since January 1, ATMs must be situated outside of a five-meter radius of any entrance or exit of a gaming area in a hotel or club.

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GAMBLING REGULATION land-based casinos