Extra pokies at second casino will put local surf clubs at risk on Gold Coast
WHILE The Star’s pokies numbers are capped as they continue to expand, a second casino on the Gold Coast could see an extra 2500 pokies in the region — and put local clubs at risk.
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CLUBS Queensland has welcomed The Star’s decision not to add more poker machines to its Gold Coast property as part of its expansion plans.
Clubs Queensland CEO Doug Flockhart said Star CEO Matt Bekier’s “forward thinking” pledge not to request extra pokies was welcome news for the Coast’s 82 community clubs that showed the casino was not relying on gaming machines to underpin its strategy.
“It confirms they understand the market cannot support additional gaming machines of significant numbers in one facility,” he said.
While he welcomed Mr Bekier’s comments, Mr Flockart said Clubs Queensland was concerned a second casino on the Coast would force many local clubs out of business.
“It is extremely disappointing the Queensland Government is now willing to issue up to another 2500 gaming machine entitlements to a possible foreign-owned and controlled second casino operator,” he said. “That’s a potential increase of 33 per cent on the Gold Coast’s 7500 machines in one location.”
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He said an independent report commissioned by Clubs Queensland found a second Coast casino would put around 30 surf, sporting and RSL clubs at “significant risk of closure”.
“Community clubs are by their very nature not-for-profit which means any revenue they generate is put back into the community,” he said.
“For instance, this funding helps support the local surf life savers and the junior football and netball.”
Mr Flockhart said Clubs Queensland wants the State Government to put a moratorium on further casinos.
“This is a fight for club survival — and we’re ready to fight for the community,” Mr Flockhart said.
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The Gold Coast is already home to 7500 poker machines, with about 5900 at pubs, surf clubs and RSLs and 1600 at The Star.
Surfers Paradise RSL Club president Ross Eastgate said Mr Bekier’s pledge to freeze The Star’s poker machine offering was welcome news for RSL clubs.
“The less machines there are the less competition we have,” he said.
“If the big guys don’t put more poker machines in, it’s a financial bonus for smaller clubs.”
Mr Eastgate said Surfers RSL recently added three new poker machines and updated its software to Dragon’s Link.
He said poker machines were essential to the club’s bottom line.
“The casino should be for interstate and international tourists rather than locals then the local clubs and pubs compete in their neighbourhoods,” he said.
“We appeal to a niche sector of the community — in our case, the veteran community.”
Mr Eastgate said any advantage the clubs stood to gain from The Star pledge would likely be eroded if a second casino opened on the Coast.
“The logical location for a second casino given that the Spit and Southport have been ruled out is central Surfers,”
“We would be absolutely gobbled up.”
The Alliance for Gambling Reform has labelled poker machines “the crystal meth of gambling”, making up $11 billion of Australia’s total gambling losses in clubs and pubs alone.
Woolworths is the biggest operator of pokies in the country, with 11.7 per cent of its annual profit generated from its pokie business.
Woolies has more than 12,000 pokies across 330 venues around Australia — far more than Star City in Sydney or Crown Casino in Melbourne.
Gold Coasters have been spending more than ever on the pokies, pumping nearly $1 million a day into the pokies.
Statistics compiled by the Office of Liquor and Gaming Regulation show more than $335,376,682 was poured into electronic gaming machines on the Gold Coast between February 2017 and January this year.
Queensland currently has a statewide cap on the total number of gaming machines that can operate in its hotels and clubs.
The number of operational machines in Queensland is currently 1795 below the cap (as at December 31 2017).
The Government distributes approximately $54 million a year of gambling revenue to Queensland communities under the Gambling Community Benefit Fund — a fraction of the $2.3 billion blown on pokies in Queensland last financial year, of which $687 million flowed directly into government coffers.
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