Australia Considering Ban on Synthetic Lottery Betting

Betting on lotteries would be banned in Australia under a new bill scheduled to introduced to Parliament. The bill would ban betting at sites such as Lottoland, where bets are placed on the outcome of international lotteries. The ban is being proposed to protect traditional lottery distributors in the country.

Australia Considering Ban on Synthetic Lottery Betting

Australia would ban all bets on international lotteries at sites such as Lottoland under a new bill proposed for Parliament.

Australian Communications Minister Mitch Fifield announced the bill—which would amend the country’s Interactive Gambling Act—saying it is designed to protect against the threat that lottery betting poses to traditional lottery distributors in the country.

According to The Australian newspaper, Fifield said synthetic lotteries “undermines the long-standing community acceptance of official lottery and keno products.”

“Traditional lotteries and keno games are popular and long-standing recreational gambling products that form an important income stream for thousands of small businesses across Australia, including newsagents, pharmacies, pubs and community clubs,” he said. “They also generate significant taxation revenue for state and territory governments, helping to fund schools, hospitals, public transport and roads.”

Fifield said synthetic lotteries had generated “considerable community concern”.

“The government has listened carefully to a range of groups that have views on the undesirability of permitting betting on these products,” he said. “Many Australians enjoy lotteries and keno as a recreational activity, and the Turnbull Government is committed to ensuring that gambling takes place under a robust legislative framework with strong consumer protections and within the boundaries of community standards.”

The ban would go into effect six months after passing through Parliament to allow for a transition period and will ban the provision of lottery betting services on both domestic and international lotteries. The bill would also ban Keno-type lotteries.

The move comes as Lottoland, a Gibraltar-based lottery betting provider, has been criticized by Australian state governments and banned from taking bets on domestic Australian lotteries.

The Australian Lottery and Newsagents Association—which represents more than 4000 businesses—welcomed the proposed amendment to the Interactive Gambling Bill, saying the news came as a “relief”.

“We are pleased to see this loophole being addressed on a national level,” said ALNA chief executive Adam Joy in a press release. “The best kind of consumer protection from synthetic lotteries is to not allow it in our country. The model encourages problem gambling, promotes high-risk spending, and is misleading regarding the winnings available.”

Lottoland Australia CEO Luke Brill also responded.

“While we understand the concerns expressed by some newsagents, the proposed legislation is both misguided and unnecessary,” he said in a press release. “The fact is that Lottoland does not offer betting opportunities on any Australian lottery, so our offering does not have a direct impact on newsagents.

“On the contrary, we want to work with newsagents to provide customers with greater choice and even better services, which have the potential to be highly beneficial for individual newsagents,” he said. “As a responsible and responsive corporate citizen that contributes extensively to local and community groups, we will continue to work closely with regulators and all political parties to reach a satisfactory outcome in the best interest of our more than 650,000 registered customers.”