Games and messaging platforms are likely to be exempt, but we don't know for sure at this stage. In a press conference on Friday, Communications Minister Michelle Rowland suggested the ban would include platforms such as TikTok, X (formerly Twitter), Instagram, Facebook and YouTube. Heavy penalties can apply for operators of online casinos, with offending corporations able to be fined up to $10.3 million a day. There are also multiple state and federal laws that restrict the publication of gambling advertising in Australia.
Online casinos are not allowed to operate in Australia, however there are many offshore sites that accept Australian customers. Yes, online casinos that are operational in Australia allow cash outs to Australian bank accounts. Note that if an online casino is offering these games with no real money, then it is perfectly legal in Australia. All online gambling providers must use the same messaging about the risks and potential harm of gambling. The National Framework consists of 10 measures to empower individuals and minimise the harm from online gambling.
Measure 8: Consistent gambling messaging
Australian players, while not explicitly prohibited, face risks when accessing these unregulated sites. This legal ambiguity highlights the importance of awareness and caution for players seeking international online casino experiences. The lack of direct regulation over these offshore entities underscores the challenges in ensuring player protection and fair play. Exploring the ban on online casinos in Australia reveals a complex legal framework.
"So the committee heard evidence to suggest that changing things here and there isn't going to have the intended outcome — what actually is needed is a comprehensive ban." According to the Explanatory Memorandum, the Bill is ‘not expected to have any financial impact on Commonwealth expenditure and revenue’ (p. 3). At the time of writing, the Senate Standing Committee for the Scrutiny of Bills had not considered the Bill. The Bill has been referred to the Senate Environment and Communications Legislation Committee for inquiry and report by 12 October 2023. Details of the inquiry are on the homepage Interactive Gambling Amendment (Credit and Other Measures) Bill 2023 Provisions. The latter Bill was the subject of an inquiry conducted by the Senate Environment and Communications Legislation Committee that reported in October 2021.
A ban can't make children's online lives better
Item 14 inserts a reference to proposed subsection 15C(3A) into existing subsection 15C(4) so that a person contravenes the new civil penalty provision on each separate day that the contravention continues. As the current value of a penalty unit is $313, this equates to a maximum penalty of $156,500. Sports betting, along with race betting, lotteries, novelty betting, esports betting, fantasy sports betting and skin gambling,8 were found to be the forms of gambling on which interactive gamblers place most of their bets online. Only a minority of interactive gamblers reported participating in poker, keno, bingo, instant scratch tickets, poker machines and casino games online (p. 11). Material proceedings have been taken by gambling and financial sector regulators against major licensees in recent times. This has included action taken by AUSTRAC in relation to casino licensees in Vic, NSW, Qld, WA and also SA examining money laundering issues (including those concerning ‘junket operators’).
- The case illustrates how difficult Australia's online casino laws are to enforce and how straightforward they are to evade, researchers say, allowing offshore companies to operate with near impunity.
- Customers can track and manage their gambling by setting limits before they start gambling.
- However, there are still many offshore sites that offer their services to Australians, and the government does very little to prevent this.
She says while other advertisers might not be willing to pay quite as much as the gambling companies, the revenue loss to free-to-air advertisers would only be about 1 per cent of their revenue if other advertisers step in to take those spots. Australia has the highest gambling losses in the world because governments have taken "a lax approach to regulating gambling", according to a new report from the Grattan Institute. It is something that is already in effect elsewhere around the world, including in the United Kingdom as part of the Online Safety Act and under the European Union’s Digital Services Act.
AUSTRAC has also commenced proceedings against the Crown Melbourne and Crown Perth casinos and announced an enforcement investigation is under way into a global Corporate Bookmaker and that audits are being conducted at two other global bookmakers. Further, ACMA has also been very active in engaging with overseas regulators and other parties concerning the illegal offering of online gambling products in Australia. The main restriction of an operator licence relates to what gambling activity can be offered and through which channel. This is often intended to support a ‘sole operator’ or ‘limited operator’ model, under which overlapping product is limited and retail exclusivity is generally preserved. In the case of Retail Wagering Licences, in some jurisdictions there are requirements to maintain contractual arrangements with the local racing industry (including for the payment of fees).
The ease of access to online gambling can lead to vulnerable groups, like minors, being exposed to gambling activities. By banning online casinos, the Australian government aims to address these risks, prioritising the safety and wellbeing of its citizens in the digital gambling domain. A parliamentary inquiry into online gambling is currently examining, among other things, the effectiveness of protections against illegal online gambling services. “Some illegal online gambling services attempt to circumvent blocking by setting up alternate websites, but the ACMA continues to monitor for, and take action against, such websites,” a spokesperson for the ACMA said. The Interactive Gambling Act 2001 makes it very clear that is illegal to operate an Australian-based online casino, as well as for offshore casinos to accept Australian customers. However, the legislation is very weak, and there are plenty of online casinos that continue to allow Australian www.insidermonkey.com users to play without any penalty or consequence.
Retail Wagering is offered by state and territory-based totalisator agency boards fair-go login (TABs) pursuant to sole licences in the relevant state or territory, thereby providing them with a form of ‘retail exclusivity’. There is co-mingling of state and territory totalisator pools through pooling arrangements, with three Australian totalisator pools currently in existence. Retail operations are typically conducted using authorised agents and licensing distribution arrangements. Betting on fantasy sports in Australia is offered by some corporate bookmakers licensed in the Northern Territory (Corporate Bookmakers). The relevant regulatory bodies are the Northern Territory Racing Commission (NTRC) and Licensing NT.
Trials of cashless gambling technology that allows players to use digital payments for gaming machines (subject to harm minimisation measures incorporated in the technology) are continuing in NSW, with the announced objectives of addressing responsible gambling and money laundering concerns. The number of gaming machines available in each state and territory is strictly regulated. Various states (including NSW and Vic) have implemented harm minimisation measures to cap the number of gaming machine permits/licences on issue in certain lower socio-economic areas.
A digital duty of care also has the potential to address the problem of misinformation and disinformation. Incidentally, this decision demonstrates the ineffectiveness of blanket ban approaches. According to our yet-to-be-published research, numerous games with paid chance-based features such as lootboxes remain available on storefronts like Apple's App Store, despite not complying with the new regulations.
Jamie Nettleton, a gambling law partner at Addisons, says other than that, he’s aware of only one fine that’s been imposed. The ACMA refused to comment on this case but says it can only pursue publishers if it is satisfied that most people who access the content are “physically present in Australia”. The ABC is a partner in the Ad Observatory project, which collects Facebook ads from volunteers to understand the hidden world of targeted advertising. “Potentially there are many, many, more people that have seen these ads and indeed other ads that we may have not captured,” he says. We have pixelated parts of the images which contain promotional text and offers for new customers, to avoid publicising these messages. Activity statements increase consumers’ awareness of their spending, wins, and losses.