Poker machines provide a valuable service to the local community by funding various public programs that benefit residents. However, some organisations are dubious about the way in which New Zealand’s government plans on distributing these funds in the future. As such, Auckland Council and the Problem Gambling Foundation have challenged the local government’s proposed regulations.

The New Zealand government has planned to ‘ring fence’ 80% of all poker machine profits and place them inside large regional areas. This plan has attracted a great deal of criticism, as local residents are concerned that low-income areas will miss out on funding if the proposal is approved.

The Auckland Council is working on a strategy that would ensure pokie funds are distributed back into the areas where the gambling profits were earned. It is a well-known fact that poker machine spending is much higher in low-income neighborhoods, but regional funding schemes distribute the funds across a wide area.

An example is illustrated by David Fisher’s report in the New Zealand Herald: Orakei, the least deprived area in Auckland, sees residents spending $49 each on gaming machines – compared to the $274 spent in Otara-Papatoetoe. Orakei receives a 152% return from gaming grants, which means that the area obtains funding from pokie profits that are generated in other areas.

“The new regulations could increase the amount of grant money flowing to community and sports groups in Auckland as a whole, but there are significant inequities in the distribution of class 4 grants within the region that the Minister’s proposal would not overcome,” reads the council’s strategy.

The council’s proposed strategy would define areas in Auckland whereby a proportion of grants derived from the proceeds of poker machines would be returned back into that particular community. The council also wants to see 90% of pokie profits to be returned as grants, as opposed to the government’s proposal of 80%.

To view the full strategy, visit: http://www.documentcloud.org/documents/1272921-pokies-report-full.html#document/p1.

About the Author

George Anderson
Author George, has over 25+ years’ experience in the Pokies and Casinos industry throughout Australia and New Zealand. Loves to research new Pokies games on the block and follows announcements from top industry providers about their upcoming releases. As soon as a new interesting pokie game appears on his radar, George is there to check it out and give you the scoop before anyone else and tell you about all casino sites where can play the latest game. Before this gig, George worked as Pokie game tester, making him an ideal candidate for this genre of work. He is also an animal lover and a proud owner of three dogs.