Tight controls on gaming machines sees addiction fall but spend increase

NEW ZEALAND TACKLES PROBLEM GAMBLING

The gaming climate in New Zealand could be called mature. A casino industry that began as a means of bringing more tourists by developing casino resorts has matured into a gaming industry with some of the tightest controls in the world, despite recent news reports on loan-sharking and money laundering. As early as 2004 the Government brought in a Problem Gambling Levy, following the passing of the Gambling Act 2003, with many measures intended to reduce the incidence of problem gambling.

A ban on the use of banknotes larger than NZ$20 in slot machines was introduced, ATMs were banned from gambling areas, existing casinos could not expand and no new casino licences were to be granted. The bill that brought about the Gambling Act 2003 was introduced in Parliament as the Responsible Gambling Bill. In 2003 the profits from poker machines in clubs and pubs was NZ$1 billion, by 2005 that had risen to NZ$1.64 billion. Gambling proceeds from the poker machines are distributed to the community.

In October 2005 further changes to regulations were brought in with the aim of making slot machines less addictive. The machines must show the correct time and amount a player has spent, play must be interrupted at irregular intervals not exceeding 30 minutes, winnings and odds must be displayed. These features had to be incorporated on new machines although all machines have until 2009 to comply. By 2006 the numbers of people seeking help for problem gambling was down by over 20%.

All poker machines in clubs and pubs were connected to a Government monitoring system in March this year. The Department of Internal Affairs has estimated that spending on the pokies has risen 5% to June and that the 2007 total gambled will be NZ$950 million. This will be a relief to the many community groups that benefit from gambling, as it had been thought that spending was falling. In 2005 there were over 25,000 gaming machines in New Zealand, one of the highest concentrations of machines per capita in the world, but this number has been reduced to around 20,000. (E-08.01.07)

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