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'No evidence' to show reduction in gambling harm from $81m industry tax
'No evidence' to show reduction in gambling harm from $81m industry tax

RNZ News

time09-07-2025

  • Health
  • RNZ News

'No evidence' to show reduction in gambling harm from $81m industry tax

The Ministry of Health hasn't produced evidence to show a reduction in gambling harm from the $81 million in tax on the industry, which includes Lotto. Photo: RNZ / Cole Eastham-Farrelly The government has decided not to increase a problem gambling tax on the industry following a critical report from the Gambling Commission. The independent regulator says there's no evidence from the Ministry of Health the money from the levy is actually reducing gambling harm. It's the second time the commission has asked the ministry to front up with evidence of the effectiveness of the programme. The Minister for Mental Health Matt Doocey said it was concerning it had taken the ministry so long to show its strategy was working. The Ministry of Health said it was undertaking a review of the programme, and was now funding a research programme that would provide evidence for decision-making. The Ministry of Health had suggested increasing the 2025-2028 problem gambling levy by 20.6 percent, to $92 million, but Cabinet instead decided last month it would be kept at $81 million over three years. The levy was imposed on casinos, sports betting, pokie machine operators and Lotto to fund public health and addiction services to minimise gambling harm. Online gambling operators were not included in the levy. The Gambling Commission said in a report issued earlier this year that the ministry had not provided evidence the money from the levy was actually reducing gambling harm. Chief Gambling Commissioner, Susan Hughes, KC, wrote that the commission was "very clear" in 2022 the ministry needed to undertake a major strategic review of its strategy, and it was "disappointed" it had not done so. "The ministry has spent hundreds of millions over a prolonged period of time but there is no evidence that the strategy has had a substantial impact on the level of gambling harm in New Zealand." The commission was also critical of the way the levy was going to be allocated, saying the Ministry of Health's agency costs were budgeted to double, while funding for research and evaluation, and new services, were budgeted to decrease significantly. "The ministry should be exercising restraint, consistent with the entire New Zealand Public Service, and should be imposing the minimum levy necessary, rather than increasing it in a manner that is inconsistent with the current financial climate." Hughes said there was no monitoring or reporting framework to analyse the ministry's strategy and what aspects were working or not. The commission also said the number of presentations to problem gambling services was declining significantly, from 6525 in 2013-2014 to 3615 in 2023-2024, but noted a growing use and concern about online gambling. Minister of Mental Health Matt Doocey. Photo: RNZ / Mark Papalii The commission noted that numbers of people presenting to gambling services did not fully capture the harm caused by gambling. Doocey said it was worrying the Ministry of Health was taking so long to provide evidence its gambling harm strategy was working. "I think that it's concerning that it's taken so long to see what changes are being delivered as a result. Doocey said the ministry was conducting a review of its strategy and Cabinet would reconsider the levy next year in light of that evaluation. "We want the money that is being invested to be making a real difference on the ground and deliver a return on investment. "Our focus is on delivering timely, effective support to individuals, families, and communities affected by gambling harm. "We will be making sure that New Zealanders are seeing that material difference," Doocey said. A spokesperson for the Ministry of Health said its gambling harm strategy for 2025-2028 was informed by international and local research, and drew on a range of public health services. The spokesperson said the ministry listened to a range of views during its consultation on the levy and said there was "strong support" for new priorities to prevent gambling harm. "The revised strategy reflects the feedback we received and includes new investment in treatment and support, improving prevention and early intervention initiatives, and improving the effectiveness of support for those experiencing gambling harm." In response to criticism from the commission on the agency's operating costs, the spokesperson said operating costs at the ministry had risen from $3.5 million to $5.2m under the new levy period, and that the Gambling Act required that some part of the levy was used to implement its strategy. Hughes said several problem gambling organisations supported an increase in the levy, with The Problem Gambling Foundation's chief executive Melissa Thompson telling the commission the increase was relatively modest in relation to the growth in spending from gambling products. The Problem Gambling Foundation could not be reached for comment. Sign up for Ngā Pitopito Kōrero , a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

No evidence to show reduction in gambling harm from $81m industry tax
No evidence to show reduction in gambling harm from $81m industry tax

RNZ News

time09-07-2025

  • Health
  • RNZ News

No evidence to show reduction in gambling harm from $81m industry tax

The Ministry of Health hasn't produced evidence to show a reduction in gambling harm from the $81 million in tax on the industry, which includes Lotto. Photo: RNZ / Cole Eastham-Farrelly The government has decided not to increase a problem gambling tax on the industry following a critical report from the Gambling Commission. The independent regulator says there's no evidence from the Ministry of Health the money from the levy is actually reducing gambling harm. It's the second time the commission has asked the ministry to front up with evidence of the effectiveness of the programme. The Minister for Mental Health Matt Doocey said it was concerning it had taken the ministry so long to show its strategy was working. The Ministry of Health said it was undertaking a review of the programme, and was now funding a research programme that would provide evidence for decision-making. The Ministry of Health had suggested increasing the 2025-2028 problem gambling levy by 20.6 percent, to $92 million, but Cabinet instead decided last month it would be kept at $81 million over three years. The levy was imposed on casinos, sports betting, pokie machine operators and Lotto to fund public health and addiction services to minimise gambling harm. Online gambling operators were not included in the levy. The Gambling Commission said in a report issued earlier this year that the ministry had not provided evidence the money from the levy was actually reducing gambling harm. Chief Gambling Commissioner, Susan Hughes, KC, wrote that the commission was "very clear" in 2022 the ministry needed to undertake a major strategic review of its strategy, and it was "disappointed" it had not done so. "The ministry has spent hundreds of millions over a prolonged period of time but there is no evidence that the strategy has had a substantial impact on the level of gambling harm in New Zealand." The commission was also critical of the way the levy was going to be allocated, saying the Ministry of Health's agency costs were budgeted to double, while funding for research and evaluation, and new services, were budgeted to decrease significantly. "The ministry should be exercising restraint, consistent with the entire New Zealand Public Service, and should be imposing the minimum levy necessary, rather than increasing it in a manner that is inconsistent with the current financial climate." Hughes said there was no monitoring or reporting framework to analyse the ministry's strategy and what aspects were working or not. The commission also said the number of presentations to problem gambling services was declining significantly, from 6525 in 2013-2014 to 3615 in 2023-2024, but noted a growing use and concern about online gambling. Minister of Mental Health Matt Doocey. Photo: RNZ / Mark Papalii The commission noted that numbers of people presenting to gambling services did not fully capture the harm caused by gambling. Doocey said it was worrying the Ministry of Health was taking so long to provide evidence its gambling harm strategy was working. "I think that it's concerning that it's taken so long to see what changes are being delivered as a result. Doocey said the ministry was conducting a review of its strategy and Cabinet would reconsider the levy next year in light of that evaluation. "We want the money that is being invested to be making a real difference on the ground and deliver a return on investment. "Our focus is on delivering timely, effective support to individuals, families, and communities affected by gambling harm. "We will be making sure that New Zealanders are seeing that material difference," Doocey said. A spokesperson for the Ministry of Health said its gambling harm strategy for 2025-2028 was informed by international and local research, and drew on a range of public health services. The spokesperson said the ministry listened to a range of views during its consultation on the levy and said there was "strong support" for new priorities to prevent gambling harm. "The revised strategy reflects the feedback we received and includes new investment in treatment and support, improving prevention and early intervention initiatives, and improving the effectiveness of support for those experiencing gambling harm." In response to criticism from the commission on the agency's operating costs, the spokesperson said operating costs at the ministry had risen from $3.5 million to $5.2m under the new levy period, and that the Gambling Act required that some part of the levy was used to implement its strategy. Hughes said several problem gambling organisations supported an increase in the levy, with The Problem Gambling Foundation's chief executive Melissa Thompson telling the commission the increase was relatively modest in relation to the growth in spending from gambling products. The Problem Gambling Foundation could not be reached for comment. Sign up for Ngā Pitopito Kōrero , a daily newsletter curated by our editors and delivered straight to your inbox every weekday.

NSW government failing to measure or reduce gambling harm, damning audit finds
NSW government failing to measure or reduce gambling harm, damning audit finds

The Guardian

time12-06-2025

  • Business
  • The Guardian

NSW government failing to measure or reduce gambling harm, damning audit finds

The New South Wales government has not set targets to reduce the harm caused by about 90,000 poker machines in the state and does not know if it is protecting people, according to a damning audit. The state's auditor general has also said the NSW government is doing 'relatively little' to assess whether pubs and clubs are identifying and preventing gambling harm at their venues. The report assesses government conduct from 2019 to mid-2024 across Labor and Coalition governments, but is likely to add to political pressure on the Minns government. Last week, a leading charity accused it of not doing enough to prevent serious harm caused by pokies. The Department of Creative Industries, Tourism, Hospitality and Sport's 'strategy for regulating gaming machines is not based on a clear understanding of current levels of gambling harm and it does not set any targets for reducing harm associated with gaming machines,' the audit report said. 'The department does not have benchmarks, targets or other performance measures in place to assess outcomes against key measures of harm minimisation. 'There have been no evaluations of its compliance programs to measure their impact on harm minimisation outcomes. As a result, the department does not know whether its regulatory strategy is effective in minimising gambling harm.' Sign up for Guardian Australia's breaking news email The audit report said gambling harm appears to have increased despite the government's efforts. 'Calls to the GambleAware helpline increased by 8.5% in 2023–24 and gaming machine losses have increased in each of the last three years,' the report said. 'The results of the 2024 NSW Gambling Survey did not indicate a reduction in the level of gambling harm in NSW.' The report confirmed revenue from gambling taxes would increase from $2.47bn this financial year to $2.91bn in 2027-28. 'The forecast increase in gaming machine profits is due to expected increases in the use of gaming machines,' the report said. The chair of the state's independent liquor and gaming authority, Caroline Lamb, supported all recommendations from the audit. 'We propose to take a more structured approach to stakeholder engagement and acknowledge our responsibility, in conjunction with hospitality and racing, to ensure licensees meet their statutory obligations,' Lamb said. The state's gaming minister, David Harris, said the government 'takes harm minimisation seriously and has implemented a number of initiatives'. These initiatives include reducing the cash limit on new machines from $5,000 to $500, banning external signage at venues, putting more responsible gaming officers in venues and investing $100m in a gambling harm minimisation fund. But Wesley Mission's chief executive, Stu Cameron, believes these 'limited reforms' are 'clearly not having an impact'. 'While we didn't need an audit to know the system is broken, as frontline services have been saying this for years, now it is in black and white: the NSW government has done next to nothing to reduce gambling harm while clubs and hotels pocket billions.' In November last year, an independent panel advising the government on gambling reform wrote a 'roadmap' for overhauling the state's regulation of poker machines and limiting harm. The Minns government is yet to formally respond to the report's recommendations, which were contested by some panel members. Labor had promised to force poker machines to be made cashless by 2028, but a pilot of a gaming scheme attracted only 32 participants. The project was subsequently criticised by the Australian Hotels Association – whose members operate poker machines – which questioned the evidence base for further action. 'The research findings of the cashless gaming trial are embarrassing and not credible,' an AHA spokesperson said after preliminary results of the trial were released. ClubsNSW said the cashless gaming trial had a 'significantly low uptake' and said calls for it to become mandatory were based on 'no economic modelling' about its potential impacts. 'With only 14 genuine and active users participating in the trial, such a low adoption should necessitate a cautious, measured, voluntary approach to implementation of account-based gaming, rather than a short timeframe for a statewide, mandatory rollout,' ClubsNSW said in December last year. The shadow minister for gaming, Kevin Anderson, said 'gambling losses continue to skyrocket in NSW while the independent panel's report gathers dust on the desks of the premier and minister'. 'The Minns government must urgently respond to the recommendations in that report to give the community and the industry certainty of the path forward.' In Australia, Gambling Help online is available on 1800 858 858. The National Debt helpline is at 1800 007 007.

MPs Call for Gambling Law Review to Curb Harm
MPs Call for Gambling Law Review to Curb Harm

Medscape

time09-05-2025

  • Health
  • Medscape

MPs Call for Gambling Law Review to Curb Harm

MPs have urged the government to overhaul gambling laws to tackle gambling-related harm. In a letter to Ashley Dalton, the minister in England responsible for overseeing health issues associated with gambling and other addictions, the Commons Health and Social Care Committee called for tougher regulations on gambling advertising, promotion, and sponsorship. It cited serious harms linked to gambling, including financial, physical and mental health consequences. Advertising Exposure and Normalisation In an evidence session last month, the committee heard that gambling had become 'prevalent and normalised' in society, with 80% of the population being exposed to some form of gambling advertising on a weekly basis. One academic witness described 'intrusive and targeted' promotions by gambling firms, with accounts of 'people receiving offers of free bets in the middle of the night', the letter said. Committee chair Layla Moran MP recommended banning gambling ads before the 9 pm watershed, curbs on sports sponsorship, and restrictions on content designed to appeal to children and young people. Gambling and Suicide Risks Moran also noted evidence from the charity Gambling with Lives concerning the lack of public awareness about gambling harms, including suicide. The 2023 National Suicide Prevention Strategy identified gambling as one of six factors linked to suicide at a population level. The committee highlighted evidence that an estimated 117 and 496 suicides were associated with problem gambling or gambling disorder in England in 2021-2022. A lack of awareness amongst coroners of the link between gambling and suicide, and the fact that problem gambling, unlike smoking, alcohol, or drug use, was rarely recorded in an individual's medical notes meant that most gambling deaths were not properly investigated in a way that provided justice for families or that learns the vital lessons which could save lives, Moran stressed. The letter called on the Department of Health and Social Care to outline what steps it would to raise awareness of suicides linked to problem gambling amongst coroners and others involved in the investigation of sudden deaths. The committee recommended that the Office for Health Improvement and Disparities (OHID) should develop a public information campaign about gambling risks. Problem Gambling in the Population A 2023 review by Public Health England, whose public health functions have since been taken on by the OHID, estimated that 0.5% of the adult population had a problem with gambling, 3.8% were gambling at at-risk levels, and 7% were negatively impacted by another person's gambling. Guidance from the National Institute for Health and Care Excellence earlier this year recommended that primary care clinicians should ask patients about their gambling habits. A government spokesperson acknowledged receipt of the committee's letter and said it would formally respond in due course. In an emailed statement, the spokesperson added that the government recognised that gambling could be 'hugely damaging for people and their loved ones' and that it is 'committed to better protecting everyone from these harms'.

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