On January 16, New South Wales (NSW) Labor Party leader Chris Minns outlined details for a cashless gaming trial that his party would oversee, should it achieve success in March’s state elections.
The proposed Labor trial serves as a stark contrast to the robust mandatory statewide cashless transition that has been championed by incumbent Premier Dominic Perrottet, who has remained steadfast in his intentions to mandate the switch after the NSW Crime Commission alleged in October of last year that criminals are laundering and gambling billions of dirty dollars per year via the state’s poker machines.
According to Minns’ proposal, the trial would encompass 500 machines over a 12-month period beginning in July, should the Labor Party take office in March. It should be noted that 500 machines represents less than one percent of the state’s total machine count.
Minns also said that businesses would then be compensated for loss of business at the conclusion of the trial, for a maximum of AU$27 million, which would be paid from previous operator fines. The trial itself would be overseen by a third-party panel of industry reps, law enforcement and state officials.
In addition to the trial, Minns also pledged that his party would introduce a number of cashless-related policy changes, including:
- Banning political donations from venues that feature poker machines;
- Reducing cash limits in new machines from AU$5,000 to $500;
- Banning poker machine advertising on all venues;
- Reducing the number of overall machine count by increasing forfeiture rates to one machine for every two purchased;
The proposal has already drawn the ire of Labor opponents, including Tim Costello, chief advocate at the Alliance for Gambling Reform. Costello told the Sydney Morning Herald that the proposal is clearly an extension of industry influence.
“This proposal is absolutely guaranteeing ClubsNSW support,” Costello said. “They know this is exactly how you defeat a mandatory card. This is effectively still kicking it into the long grass.”
Even moderate figures, such as independent MP Alex Greenwich, have said that the proposal just may not be enough to satisfy residents and officials who are tired of the industry’s bad publicity.
“We know that NSW is the gambling capital and money laundering capital of Australia, we shouldn’t be kicking this into the long grass with a trial that risks delaying action even further,” Greenwich told the Herald.
A spokesperson for ClubsNSW, the trade body that has arguably been the most vocal cashless opponent of all, told the Herald that the organization will “consult with its member clubs and assess any further detail released by Labor in relation to these policies,
Meanwhile, outside of political circles, some other prominent businesses and organizations around the country are making it known that they support a cashless transition.
One such influence is the banking industry—Anna Bligh, an influential banking executive and leader of the Australian Banking Association, told the Herald that banks are standing by to assist with a cashless transition, should it be implemented by the government.
“Should the NSW government legislate for this initiative, banks will, of course, engage with the government at an appropriate time and assist with implementation where possible,” Bligh said.
Problem gaming remains at the heart of the cashless debate, and Bligh noted that almost all banks have implemented self-exclusion and deposit/withdrawal limits for years, which would fit perfectly into cashless legislation.
Bligh told the Herald that “most banks have developed technology solutions that allow customers to block or cap their gambling spend.”
According to the Herald, most major bank chains in Australia feature gambling-specific transaction blockers. Three major chains—NAB, ANZ and Westpac—have all reported more than 30,000 adoptions of the technology since it was first introduced less than five years ago.
Another key entity that is perhaps indirectly taking a stand in the cashless battle is the Returned Services League (RSL), one of the biggest veterans organizations in the country.
The RSL chapter for the state of Tasmania has become the first to remove all poker machines from its 49 clubs in the region, having pledged to do so by July. Cashless gaming has already been implemented in the state, with players facing loss caps of AU$100 per day or $5000 per year.
John Hardy, chief executive for RSL Tasmania, told the Australian Associated Press that the decision was politically motivated; rather, he asserted that the chapter no longer wanted to be seen as contributing to problem gaming, especially for a vulnerable population such as veterans.
“RSL Tasmania is about making Tasmania a place where veterans and their families can thrive,” Hardy told the AAP. “If we’re not about that, then why is there an RSL? If it’s not about commemoration, if it’s not about veterans, if it’s not about recognition of service and if it’s not about families of veterans, then it’s a bar. It’s a sports bar, or it’s a pokie den. That’s not an RSL.”
Despite Hardy’s reassurances that the move was internally motivated, many around the country feel that similar decisions will be made if the gambling industry continues to be mired in controversy and negativity.
