Political pressure mounts on gambling advertising crackdown

The Coalition, Greens, and independents are pushing for significant changes to Labor's proposed crackdown on online gambling advertising, threatening to derail a bill the government had hoped would pass with bipartisan support. The opposition confirmed it would seek "crucial amendments" before supporting the legislation, citing what shadow communications minister Sarah Henderson called "deficiencies" in the current draft.

Henderson said the bill "ignores gambling inducements which are causing immeasurable harm" and flagged changes to the limits and frequency of ads, saying up to three per hour during children's television programming was untenable. "After three years of delay, deflection and deception over gambling reform, the Albanese government's failings on this bill are inexcusable," she said.

The Greens and key independents, including David Pocock, have also called for the bill to be significantly stronger, signalling a potential rerun of Labor's Senate defeat on aged care reforms, which was secured by non-government parties teaming up. Greens communications spokeswoman Sarah Hanson-Young framed the issue in moral terms: "This is a test for the prime minister... It is a moral question."

Inquiry hears allegations of drugs and sex workers

The debate was supercharged by evidence given to a two-day parliamentary inquiry, where former NRL player Luke Bateman and veteran anti-gambling campaigner Tim Costello alleged that problem gamblers had been supplied with cocaine, alcohol, and sex workers by gambling company VIP managers seeking to keep big-spending punters betting. Bateman told the inquiry that VIP account managers at wagering companies had offered him access to illegal drugs, while Costello said he was aware of a gambler who had been offered drugs and sex workers.

Gambling companies who appeared before the inquiry said there was no evidence to support the allegations, and some took aim at Bateman for failing to disclose his past employment with Southern Cross Bet, a company he had worked for. While that past employment does not negate his testimony, the lack of transparency was noted.

Labor backbenchers and advocates demand stronger action

Several Labor MPs have publicly called for the bill to go further, including Mike Freelander, Louise Miller-Frost, and Alicia Payne, who told Guardian Australia the draft legislation should be significantly strengthened. Backbencher Jerome Laxale challenged the opposition to bring forward constructive amendments to advance a ban on inducements.

Advocates, including the husband of the late MP Peta Murphy, whose 2023 report recommended a total ban on gambling ads and inducements, expressed disappointment at the government's package. Rod Glover said in a LinkedIn post that the reforms "fall well short" of Murphy's recommendations, adding: "The package is far from everything that is needed, and it has taken too long to get here." He praised Albanese and Wells for changes that would reduce harms but attributed the shortcomings to the "considerable lobbying power" of the gambling industry, sporting codes, and media organisations.

Government defends bill while facing internal and external pressure

Communications Minister Anika Wells said she was prepared to negotiate, noting that discussions with the Coalition were "constructive." She said the government wanted the bill to pass and would wait for the Coalition to form a position and put amendments forward.

Prime Minister Anthony Albanese, who was on leave during the debate, previously said that if MPs did not vote for the bill, "they do have the option of the status quo," a line senior Labor figures have referred journalists back to. Ministers publicly played down the chances of the bill being shelved, but confidence was said to be based on the belief that the Coalition would buckle rather than the prime minister being willing to go further.

Inside Labor, there are concerns that pushing too far could open the government to criticism about intruding on people's lives, especially with a One Nation protest vote a possibility. The Coalition party room is said to be far from enthusiastic about encroaching on personal freedoms.

Details of the proposed reforms

The reforms, as currently drafted, include limiting TV gambling ads to three per hour between 5am and 8.30pm, banning ads on player jerseys and in stadiums, banning celebrities and players from promoting gambling, and a "triple lock" for online ads requiring users to be over 18, logged in, and provided with an opt-out option. The bill also sets up a one-stop "opt-out register" to allow Australians to elect against receiving gambling ads, though its details and design have yet to be made clear, and it is expected to take up to 12 months to stand up.

The bill's explanatory memorandum runs to 136 pages, and complaints about its complexity have been acknowledged as valid. The timeline for the online "triple lock" to be in place by January 1 appears difficult to meet.

Industry opposition and potential changes

Responsible Wagering Australia CEO Kai Cantwell said further bans on inducements were a non-starter for the gambling industry, distinguishing inducements from "promotions." There is a push from some quarters to invert the plan to an "opt-in" system instead of "opt-out," which would amount to a shadow advertising ban and is unpalatable to industry and sporting codes.

Broadcasters and sporting codes are working to convince the government of the risks the reforms pose, and industry sources suggest there is a growing consensus to tinker with the bill, though few believe the prime minister would go much further.

Perspectives

  • Australian Labor Party: Communications Minister Anika Wells says the government is prepared to negotiate, describing discussions as "constructive," and argues the reforms are focused "where Australians need protection most." Prime Minister Albanese emphasizes the reforms target "problem gambling" and warns that rejecting the bill means accepting the status quo.
  • Coalition: Shadow communications minister Sarah Henderson calls the bill "riddled with deficiencies" and insists on "crucial amendments" to address gambling inducements and ad limits, accusing the government of "delay, deflection and deception."
  • Greens and independents: Sarah Hanson-Young frames the issue as a "moral question" and a "test for the prime minister," while David Pocock supports a ban on inducements and an opt-in arrangement, both signalling they would prefer a stronger bill.
  • Gambling industry: Responsible Wagering Australia CEO Kai Cantwell says further bans on inducements are a "non-starter," and gambling companies dispute allegations of supplying drugs and sex workers, demanding evidence.
  • Reform advocates: Rod Glover, husband of late MP Peta Murphy, says the package "falls well short" of Murphy's 2023 recommendations, blaming the "considerable lobbying power" of industry, sporting codes, and media, while acknowledging the changes are a step forward.