By Josh Gordon and Ashleigh McMillan
Victorian gamblers will be forced to set binding limits on daily poker machine losses while venues will be made to shut their gaming operations for at least six hours a day under reforms promised by the state government to stem soaring losses.
Premier Daniel Andrews claimed the overhaul would give Victoria the toughest gambling and anti-money laundering measures in Australia, and arguably the world, although he did not put a time frame on when most of the reforms would be implemented.
“These machines are the cause of terrible harm,” he said. “Indeed, all of us pay the price ... more than $7 billion a year.”
Under the changes, announced on Sunday, gaming venues will be required to introduce a mandatory pre-commitment system for all of Victoria’s poker machines, forcing all players to use a card to sign in and set loss limits, among other things.
So-called “load limits” – the maximum amount of money a player can feed into a poker machine at any one time – will be cut from $1000 to $100 under the changes.
By mid next year, mandatory closure periods between 4am and 10am will be enforced for gaming machine areas in all venues except Crown casino. The move follows concerns that venues have set up staggered opening hours, co-ordinating with other venues and allowing patrons to shift to other places to keep gambling.
The government has also announced plans to lower the “spin rate” on poker machines, from the current 2.1 seconds per game to three seconds, effectively slowing the pace of gaming to limit loses.
The measures come after years of warnings about the harm caused by poker machines, and growing alarm about the financial and social damage inflicted by soaring loses, particularly in Melbourne’s outer suburbs.
But there are few details about how or when the new system will be implemented. On Sunday, Andrews suggested it could take time, given the complexity of the changes. He said the measures would be introduced subject to “thorough consultation” with the industry through a working group.
The government previously announced mandatory pre-commitment rules for the 2628 poker machines at Crown casino, following recommendations in the 2021 Finkelstein royal commission into the venue.
But until now, it has been largely silent on whether the reforms would be rolled out across the state’s other 27,372 machines in pubs, clubs and hotels.
By the middle of next year, mandatory closure periods between 4am and 10am will be enforced for gaming machine areas in all venues except Crown casino.Credit: Reuters
Experts repeatedly warned that applying the measures only to the casino would merely push problem gambling and money laundering activity into suburban venues.
Data from the Victorian Gambling and Casino Control Commission, which has a legislative mandate to tackle gambling harm, shows pokie players in pubs, clubs and hotels collectively lost a record $2.8 billion during the first 11 months of last financial year, up from just under $2 billion over the same 11-month period in 2021-22.
As reported in this masthead, local government areas grappling with the worst pokie losses in the state have for many months been demanding the Andrews government introduce tougher rules to stem the billions of dollars being gambled away.
The largest losses have been in the City of Brimbank, where gamblers lost $159 million over the 11 months to June this year, followed by the City of Casey, where $146 billion was lost.
Gambling control commission chair Fran Thorn said the reforms represented a fundamental step to reduce gambling harm. She said once the new measures were introduced into law, the commission would closely monitor venues to ensure they are implemented.
“We will then take action to enforce them with our full regulatory powers,” she said. “Mandatory carded play, which will link play to patrons’ identities, and reducing the amount of money that can be loaded into an electronic gaming machine are also key anti-money laundering measures that will contribute to ensuring the integrity of Victoria’s gambling industry.”
Regulatory chief Fran Thorn says the watchdog will ensure the new rules are implemented.Credit: Joe Armao
Carolyn Crawford, who was sentenced to jail at the age of 64 for stealing more than $400,000 from her employer to pay for her poker machine addiction, said the reforms would make an enormous difference.
“I would not have gone to prison if the cashless card was in,” she said on Sunday. “It’ll stop people stealing, and it’ll stop suicide, for sure.
“In my area there are two hotels ... just directly opposite on the highway. One closes at 8am and the other one opens at 8am. So you can play in my area for 24 hours a day. Nobody needs to be on a pokies machine at 2, 3, 4 o’clock in the morning. I’ve been there, I’ve seen ... and trust me it’s not pretty.”
The overhaul also follows reports in this masthead suggesting the voluntary system – known as YourPlay – adopted by the Andrews government to minimise poker machine harm has been failing to stem losses from problem gambling.
Carolyn Crawford was jailed for stealing $400,000 from her employer after she became addicted to pokies. She is now an anti-gambling advocate.Credit: Wayne Taylor
A 2019 evaluation report on YourPlay – commissioned by the Victorian Department of Justice – found it had a “very low” take-up rate, covering just $1 of every $10,000 pumped into poker machines in hotels and clubs in 2017-18.
The mandatory system is likely to be opposed by the clubs lobby, and it remains unclear when it will be introduced.
Monash University gambling expert Charles Livingstone said the reforms would have a significant positive impact reducing gambling harm, although he warned consulting with the gambling industry about the implementation was a recipe for obfuscation and delay.
“There is no timeline and no details for implementation, beyond a promise of extensive consultation with the gambling industry,” he said. “This suggests that the reforms will not be implemented speedily, unlike Tasmania, where the government, acting on advice from the gambling regulator, announced that a similar system would be in place by 2024, with statutory limits on gambling spend, and no negotiation with industry on implementation.”
Australian Hotels Association Victorian chief executive Paddy O’Sullivan said the sector would be pursuing evidence-based policy “in the best interests of our patrons”.
“We are seeking the full details of the announcements in order to conduct a review on the impact of gaming operations,” he said.
Opposition gaming spokesman Danny O’Brien said he looked forward to seeing the details and said the government would need to provide clear evidence that the changes would help those who need it most, without causing significant job losses and harm to the hospitality sector.
The government’s implementation group will consider trials in other jurisdictions, and the experience at Crown casino, which will have mandatory pre-commitment cards on all poker machines by the end of this year.
Acting Victorian Greens leader Tim Read said the reforms would provide some welcome relief but didn’t go far enough, calling for $1 bet limits and a longer closing period for venues, among other things.
He said that since poker machines were introduced in Victoria 30 years ago, Victorians had lost $66 billion, costing the government billions of dollars each year in mental health and other services.
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