Australia’s Ad Crackdown Risks Pushing Bettors to Offshore Operators, RWA Warns
Kai Cantwell, CEO of Responsible Wagering Australia, said the licensed sector had already cut ad volumes before this announcement. He called the new measures “a real kick in the guts for the industry.”
The restrictions go beyond the Murphy Inquiry recommendations. They include a ban on online Keno and a phase-out of jersey and stadium advertising. RWA said the Federal Government overstepped its remit on both measures.
Cantwell claimed that the licensed gambling sector contributes almost $6 billion to the Australian economy. It supports around 30,000 jobs and funds the sport, racing, and broadcast industries across the country.
The Government also announced a crackdown on illegal offshore gambling. Cantwell estimated that market costs Australians almost $4 billion each year. It grows at 2.5 times the rate of the licensed market, according to RWA. He called for payment blocking by financial institutions and stronger powers for the Australian Communications and Media Authority. Removal of offshore operators from online and social media platforms is also part of RWA’s proposed response.
Cantwell added that tighter rules on licensed operators will not reduce gambling in Australia. Bettors will move to offshore operators with no consumer protections.
TGJ Take
These restrictions apply only to licensed operators. Offshore operators continue without limit, in a market already worth $4 billion a year to them. The Government’s proposed offshore enforcement is the only measure that could balance that. If it moves slower than the ad restrictions, licensed operators shrink while the unregulated market grows.