The online lottery company could be forced to stop operations in three states as they’re considering a major crackdown.
Australia.- Gibraltar-based company Lottoland could face bans in Victoria, Queensland and Western Australia after a rising concern regarding the international business taking revenue away from local lottery businesses. Gambling regulators are being pressured to come up with a new model.
The Australian Lottery and Newsagents Association said that the campaign follows the concerns of more than 4000 family-owned small businesses. The Victoria government is currently considering measures to protect consumers against online lottery betting as it is worried that consumers might be being mislead.
Lottoland has been repeatedly pointed out as the reason why there has been a major fall in tax revenue from local lotteries. Approximately US$90 million has been erased from the state’s forecasts over the next three years. The other two states are also considering new ways to outlaw the practice. Nevertheless, the company supports the idea of the introduction of a point-of-consumption tax on gambling in a move to lessen a possible sanction condidered by those state governments.
Adam Joy, chief executive of Australian Lottery and Newsagents Association, said: “We have had positive engagement from both federal and state governments about the impacts of lotto betting on small businesses and their communities.”