House debates

Thursday, 19 October 2023

Bills

Interactive Gambling Amendment (Credit and Other Measures) Bill 2023; Second Reading

12:21 pm

Photo of Michelle RowlandMichelle Rowland (Greenway, Australian Labor Party, Minister for Communications) Share this | Hansard source

I would like to thank those who have contributed to the debate on the Interactive Gambling Amendment (Credit and Other Measures) Bill 2023, which would amend the Interactive Gambling Act 2001 to ban the use of credit cards for online wagering. I was pleased to be in the chamber for the comments by the member for Riverina, and I acknowledge his concerns but also highlight the reforms announced last month in respect of classification reform for loot boxes and simulated gambling in games. The classifications scheme is one way to address concerns with gambling features in games. I've also asked my department, as I announced, to look at other options, including consideration of secondary gambling markets for objects that can be purchased through loot boxes. This issue of illegal secondary markets is an area of concern that is being examined.

As has been noted, Australia has the highest gambling losses per capita worldwide, with a total of $25 billion lost annually. Online gambling is growing in Australia because of the proliferation of online gambling applications. There is a high correlation between credit card wagering and online wagering harm. Betting with money you don't have can lead to devastating consequences. Recommendations from the 2021 Parliamentary Joint Committee on Corporations and Financial Services inquiry highlighted that reform is needed. You can't use your credit card to place a bet for land based gambling, and the same rules should apply for online wagering.

The government is taking action to protect Australians and their loved ones from online gambling harms. This bill will ban the use of credit cards and credit related products, such as digital wallets and digital currency such as cryptocurrency, as payment methods for Australian licensed interactive wagering services. This change will have the immediate impact of stopping people from gambling with money they do not have. Consistent with the recommendations from the 2021 parliamentary joint committee, the bill does not apply to lotteries, including the fundraising activities of not-for-profits and charities, because lotteries are a lower-harm form of gambling.

On 14 September 2023 the Senate referred the bill to the Environment and Communications Legislation Committee for inquiry and report by 12 October 2023. The committee examined the scope and impact of the amendments, including whether lotteries should be included in the ban. The committee recommended that the bill be passed, stating:

The committee recognises that online gambling causes significant harm to many Australians. The measures put forward by this bill will implement important changes to the Interactive Gambling Act 2001 to mitigate some of these harms.

The committee also recommended that the Minister for Communications undertake a review over the next 12 months into the regulation of Keno-type lotteries under the act. Since receiving the report, I have asked my department to investigate the impact of the use of credit for Keno-type lotteries. The bill will also allow the communications minister, by legislative instrument, to proscribe new credit payment products that might be used to circumvent the ban as they emerge. The bill will also expand the Australian Communications and Media Authority's powers to ensure strong and effective enforcement of the new and existing civil provisions under the act. These reforms align with the government's broader commitment to harm minimisation.

The government is currently considering the comprehensive recommendations handed down by the House of Representatives Standing Committee on Social Policy and Legal Affairs inquiry into online gambling. Any reforms taken forward from the inquiry will complement measures by the government that the government already has put in place to reduce gambling harms, including: launching BetStop, the National Self-Exclusion Register, which allows people to voluntarily self-exclude from all telephone and online gambling for three months up to a lifetime; progressing classification reform to protect children from gambling-like features in computer games; and implementing new evidence-based taglines that convey the risks and potential harm from online wagering to replace 'gamble responsibly'.

This bill is an important and necessary step towards protecting Australians from online gambling harms. I thank my colleagues for their contributions and commend this bill.

Bill read a second time.

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