The State of New South Wales has taken a firm position against gambling promotion by banning external signage at venues since the 1st of September this year. In a bid to curtail the effects of gambling on society, the NSW government has set strict regulations not just on external promotions but also those inside venues if they are visible from the outside. The scope of these rules encompasses various types of advertising, from traditional unilluminated awning signs to the more modern digital video displays.
The list of prohibited promotional names is extensive, including but not limited to VIP Room/Lounge, Golden Room/Lounge, Players’ Room/Lounge, and Prosperity Room/Lounge. Even certain imagery, such as dragons, coins, or lightning motifs, are not spared. Venues that defy these directives and fail to remove the offending signage are subject to substantial financial penalties, which could reach up to AU$11,000 per offence. Ensuring adherence to the directive, Liquor & Gaming NSW (L&GNSW) is prepared to enforce these rules and impose fines accordingly.
Through rigorous inspection efforts, L&GNSW confirmed that, as of October, an overwhelming 99% of venues had aligned with the new rules and eradicated all gambling-related signage. Nevertheless, some facilities lingered in non-compliance and continued to display prohibited signs. In response to such resistance, L&GNSW has declared that effective from December 1st, they will commence escalated enforcement action against any venue associated with illegal signage.
Examples of the enforcement were made visible when L&GNSW identified venues attempting to circumvent the rules by employing insignia strikingly similar to those found on electronic gaming machines. An instance took place at the Royal Hotel in Granville, where cartoon images intended to advertise the hotel’s restaurant bore resemblance to visuals from ‘Choy’s Kingdom’, a recognized gaming machine. Although the establishment conformed by removing the image, it sought a review of the decision from the Independent Liquor & Gaming Authority.
Another illustrative case involved the Stardust Hotel in Cabramatta that utilized digital animations showing a panda with a branch, reminiscent of the ‘Panda Magic’ gaming machine. The regulatory body issued a statutory direction for this imagery to be discontinued. David Harris, NSW Minister for Gaming and Racing, issued a stark warning that any subversion attempts regarding the gambling-related signage ban will meet with an escalated enforcement reaction, signaling zero tolerance from the regulatory body.
Signage assessments have been conducted across the state, covering more than 1,200 venues within 53 local government areas, including 19 in regional NSW. This inspection campaign illustrates that over half of the venues that hold gaming machine entitlements are complying with the new regulations.
This prohibition on gambling signage is part of a broader initiative by the NSW government to augment responsible gambling practices and address money laundering. Other significant measures taken include lowering the cash input limit in new poker machines from $5,000 to $500, a rule change effective as of July 1. Additionally, the cap on gaming machine entitlements across the state has been reduced by roughly 3,000 machines, and political donations from gaming-involved clubs have been banned.
A noteworthy component of these reforms is the establishment of an independent panel to oversee the trial of cashless gaming. Redirecting a $100.0m fine imposed on Star Entertainment in October 2022, NSW announced a substantial funding boost to bolster gambling harm reduction programs.
In the realm of casino operations, the NSW government has recently confirmed an increase in tax rates for land-based casinos. This includes raising the rebate play rate from 10.0% to 12.5% and the non-rebate play on table games from 17.91% to 20.25%. While the current non-rebate rates for poker machines will remain until July 2024, future rate increases will see it scale to 22.91% by July 2027. A tiered system will be introduced from June 2030, in alignment with prior government proposals.
In summary, these actions reflect the commitment of the NSW government to mitigate gambling harm and maintain stringent oversight of gambling promotions within the state.
