A new commission structure has been introduced for poker machine operators across New Zealand. While gaming industry professionals are pleased with the new plan, responsible gambling lobbyists are not too happy. Previously, pokie clubs were prohibited from collecting commissions from their games because the government feared that it would cause them to promote gambling.
As such, the benefit of having pokies in their venues was simply because they are a draw for customers. A club with pokies would attract patrons who fancy a gamble in addition to those who want to grab a pint. So, club owners had accepted the fact that they could not collect commissions. Now, a new law overturns the ban, and clubs will be able to earn commission on the money spent on their pokies.
Up to 16% of pokie proceeds can be claimed by publicans, and it is being called a ‘bonus for the gambling industry’. Responsible gambling lobbyists are concerned that the new law could compromise the integrity of clubs and pubs. The commission structure may prompt venue owners to encourage players to gamble in order to earn more cash from their commission.
They view it as a giant leap backwards, as they fought to have the commission system removed in 2003. On the bright side, the Gambling Amendment Bill has also increased the amount of money to be distributed back into the local community and gives local councils the ability to decide where the money will go. This is in line with MP Te Ururoa Flavell’s Harm Reduction Bill, and he is pleased with the compromise.
In the next year, pokie payouts will be increed from 37% to 40%. By the second year, it will increase to 41% and to 42% by the third. This will greatly benefit the community by ensuring that local organisations receive more funding for their projects.
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