When it comes to gambling, each country in the world has its own approach. Most governing authorities try to find the right balance between tapping into the lucrative income-generating potential that gambling offers while also taking account of the problematic nature of this particular pastime, and Australia is no different.
Like many countries across the globe, gambling in Australia is permitted, to a certain extent. Over the years, though, Australia's stance toward gambling has become more stringent, especially about accessibility and casino operations. You'll now find that Australia has become one of the most regulated markets globally.
There is no all-encompassing legal definition of gambling in Australia, including Australian online casinos, whether you are looking for real money pokies, no deposit bonus casinos or any online casino game such as roulette or blackjack. Generally speaking, however, gambling can be broadly defined as an activity that involves staking money or something of value on the outcome of an event that’s determined by chance, such as a sporting event or a horse race. The motivation behind engaging in gambling activities could be said to be the desire to make a financial win.
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In brief, the Australian gambling landscape is regulated in the following ways:
Unless an operator is licensed in Australia and deemed to be a 'regulated interactive gambling service', they are prohibited from advertising in Australia.Offshore gambling operators require a license from the Australian Government to accept Australian players.Advertising of services related to any online gambling is banned in Australia.It is an offence for operators to propose real-money virtual gambling to anyone within the confines of Australia.Within Australia, there’s a limited number of legal online gambling options available.Betting on sports and lotteries is legal in Australia.Australian players can engage with foreign casino operators that have a license to accept Australian clients.There are no penalties for gambling online; however, players are advised to use a regulated operator that has been approved by a gambling authority overseas.The Interactive Gambling Act 2001 makes it illegal for gambling providers to offer some online services to people in Australia but allows more traditional forms of betting. Banned services include online casinos. In-play sports betting. This Act regulates all online gambling operations, making it illegal for operators to provide real-money gambling services to Australian citizens. However, it’s not an offence for Australian citizens to access such services.
Despite some strong arguments in favor of the legalization of online gambling in Australia, this is unlikely to happen any time soon. Let's unpack some of the benefits that would be experienced if Australia were to amend their current laws and regulations on online gambling.
The legalization of online gambling has the potential to generate millions of dollars in additional taxes and levies that could be claimed from online casino operators.It would be considerably easier for the authorities to monitor and control online gambling operators within Australia and ensure they were following responsible gambling practices.The legalization of gambling would also have the following implications for Australia's gambling landscape:
Operators could advertise online gambling services to Australian clients and potentially increase their revenue.In-play sports betting would be legal and provide more opportunities for operators to diversify their product offerings.Offshore casino operators would need to meet the requirements set by the Australian Government in order to obtain the necessary license.Players will be safer as they will no longer have to risk using unlicensed online operators as there will be more regulation from the Government.They can still partake in sports betting and lotteries.The number of safe gambling options available to them will increase.Gambling regulations in Australia are far from straightforward. The purpose behind the policies is to protect problem gamblers and promote responsible gambling practices across the whole country.
It’s worth noting the gambling regulation in Australia also applies to 'trade promotions’, which are also known as 'sweepstakes'. These are essentially free-to-enter competitions. Although such activities are generally permissible, they’re subject to compliance with requirements related to factors such as the publication of results, draw integrity and prize types. Depending on the Australian state, promoters may be required to obtain a permit from the regulator before proceeding.
Currently, gambling regulations in Australia work on two levels:
Each state and territory have their own authority:
The ACT Racing and Gambling Commission is an independent statutory authority responsible for controlling and regulating all gaming, racing and betting activities in the ACT to ensure they’re conducted honestly, with integrity and free from criminal influence.
The NSW Department of Gaming and Racing is responsible for the proper conduct and balanced development of the gaming, racing, liquor and charity industries in New South Wales.
The Racing and Gaming Authority administers gambling legislation in the Northern Territory. The NT Gaming Machine Commission is responsible for licensing gaming machines.
The Queensland Office of Gaming Regulation regulates machine gaming, casinos, art unions, lotteries and keno in Queensland.
The Consumer Business Services within the Attorney General's Office is in charge of overseeing policy, licensing and compliance within the gambling sector. The Lotteries Commission of South Australia focuses on lottery activities.
The Tasmanian Liquor and Gaming Commission regulates and controls gaming in Tasmania. It’s an independent statutory authority but receives operational support from the Gaming Operations Branch of the Tasmanian Department of Treasury and Finance.
The Victorian Casino and Gaming Authority regulates and monitors Victoria's gambling activities.
The Western Australian Department of Racing, Gaming and Liquor administers WA legislation dealing with these areas and carries out many of the operational functions of the Gaming Commission, including the provision of licensing, inspection and audit functions in respect to both casinos and permitted gaming services.
Implemented by the Australian Commonwealth Parliament 21 years ago, this Act aims to limit the harmful effects of gambling on the Australian community. It targets the providers of interactive gambling, not their potential or actual customers. These directives apply to all interactive gambling services, irrespective of their location.
Previously, natives were still afforded access to online poker rooms and casinos without fear of any legal ramifications, but it became an offence for operators to propose real-money virtual gambling to anyone within the confines of Australia.
Advertising of these services across all forms of media was also prohibited. However, a series of ambiguities in the legislation meant that the online casino industry continued to prosper.
There was no definitive statement to prevent Australians from playing at casinos located away from their homeland, which is the reason why online gambling platforms have been so popular in Australia.
The IGA is not applicable to sports betting or lotteries, provided they’re associated with a business inherent to Australia. This is because a stake or wager is placed before the event has occurred and is therefore not classified as an interactive bet.
In-play sports betting online was also forbidden as it was deemed to be one of the greatest temptations for problem gamblers, but those wanting to find a means to wager on the winner of a football match during the action would find a way to do it.
In 2016 an amendment basically banned all forms of online gambling except for sports better. This had severe implications for offshore online casinos, which could no longer accept Australian players unless they had a license to operate in Australia specifically.
Since there were no stipulations in place about the criteria for awarding a license, the amendment led to an outright ban on such operators, which technically implied that all casino games became banned in Australia.
This amendment led many foreign-run casino operators to feel the impact of this clause and ended up exiting the Australian market in order to comply and avoid hefty punishments.
In 2017, the Act was amended to stop groups from outside Australia from providing illegal gambling services over the internet.
Key implications of the Interactive Gambling Amendment Act 2017 included:
These reforms had significant impacts on the shape of the gambling market in Australia, with over 150 online gambling services withdrawing from Australian marketing. Moreover, evidence indicated that the number of money people lost by using gambling sites outside Australia reduced significantly.
In 2019, the law was changed to allow for the incorporation of the National Self-Exclusion Register.
Also known as BetStop, The National Self Exclusion Register allows gamblers who acknowledge they have a problem to self-exclude from all licensed interactive wagering services for a minimum of 3 months and up to a lifetime.
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