Dipo Olowookere
Will Cashless Slots Unite Australian Politics?
It is estimated that Australians lose around $25 billion annually on gambling activities. This large amount of money, along with the prevalence of pokie (slot) machines in New South Wales – which account for half of all pokies in Australia and roughly 20% of the world’s total – reveals that there is a serious problem with gambling in the country.
As New South Wales elections approach, the use of cashless pokies has become a major source of discussion among political parties as they attempt to address gambling addiction in both physical and Australian online casinos. Politicians have been striving to pass legislation and implement reforms to tackle this issue for a long time, and this is just their latest endeavor. It is essential to analyze the proposals of both parties to better comprehend the difficulties posed by pokies and the potential benefits of cashless pokies.
Past Proposals
The idea of enforcing cashless pokies has been floating around the Australian government for some time. In December of 2022, both the City of Sydney and Inner West Councils wanted reform for the pokies machines. It was proposed that pubs and clubs restrict the usage of pokies from midnight to 10 am. The idea was that this would reduce the harm that this way of gambling can have on players.
While some were opposed to the proposal, many have mentioned that pubs and clubs do not rely on the profits made from the pokies, so it won’t be a problem for them to turn off the machines during the proposed period. Some have even mentioned that job losses will occur from this reform. However, the United Workers Union has said that there is little to no evidence that with the reform, people have the potential to lose their job.
Labor Party New Proposal
Mid-way through January 2023, the Labor party proposed a strategy that could battle gambling addictions and money laundering in pubs and clubs in New South Wales. This eight-point strategy connects to cashless pokies and includes:
- A reduction to the cashless card limit
- A cashless pokies trial
- Banning political donations from pubs and clubs that have pokies machines
- A national exclusion registry
- Gambling signage
Chris Minns, the leader of the Labor party, believes that with these steps, the circulation of pokies will reduce. That will also lower the number of people suffering from gambling addiction, as well as reduce money laundering.
Key Pieces of the Reform
One of the main points of the Labor proposed reform is lowering the limits of the cashless pokies cards. Currently, the limit is $5,000. Wesley Mission’s chief executive Stu Cameron has been a major advocate for the implementation of the cashless pokies and their card limit being reduced. He believes that the proposal from the Labor party should focus more on that particular part rather than anything else.
Going a further step and reducing the limit from $5,000 to $500 will be a major push toward battling gambling addiction, in his opinion. On the other hand, the Liberal party has been vocal about their dislike of the proposal from the Labor party, stating that it is pointless. Although they have said that they have their own proposal so far, they’ve been avoiding sharing any information about it.
The Cashless Pokies Trial
After the proposal came out, Matt Kean, a member of the Liberal party and current treasurer of New South Wales, came out and voiced his concerns over it. He stated that while some of the points in the proposal may seem doable, others will have no impact on the gambling problem or organized money laundering.
The cashless pokies trial has been especially emphasized. The main point is that the proposed trial will only sample 500 machines which is a miniature number compared to the number of machines currently in New South Wales. While the trial can show some information, it won’t be enough to show the bigger picture – with less than 5% of the pokies tested, no significant results will come out of it.
Are Cashless Pokies the Future of Australian Gambling?
Despite all of the reforms and wishes of politicians, in February 2023, the NSW government started a comprehensive plan that will turn every pokie machine in this region of Australia cashless by the end of 2028. The NSW government has already put out several measures, including a detailed guide on how the process will happen. It has already been decided that a special Transition Taskforce will be employed to smooth out any problems that may occur. All of this is being done with the aim of curbing money laundering and illegal gambling.
