Major Australia media firm would call for compensation if betting ads banned

Tensions between the Australian government, gambling law reform campaigners, bookmakers and media outlets are mounting amid a package of reforms remaining delayed.

Local Australian media reported this week that the leadership of Nine Entertainment, one of the country’s biggest media outlets, will seek compensation from the Australian government in the event of a gambling advertising ban.

Catherine West, Chair of the ASX-listed media giant’s board, told its recent AGM that the company would request reimbursement from the government due to the significance of gambling advertising revenue to its business.

“If we are banned from having gambling advertising, there’s two things we would ask for,” she said, as reported by The Canberra Times and other outlets. “Yes, some type of compensation, some type of some other reduction somewhere else, but most importantly, that the gambling ban is fair across all sectors.”

A ban on gambling advertising was one of the key recommendations of the Murphy report, itself the result of a parliamentary inquiry into the societal impacts of gambling in Australia penned by the late Labor MP Peta Murphy.

All in all, the report contained 31 recommendations, including the aforementioned clampdown on advertising and sponsorship as well as the creation of an ombudsman and significantly more player protection and gambling harm reduction measures for operators.

However, the report’s recommendations were shelved by the Labor government of PM Anthony Albanese late last year. This was widely reported in the Australian press as being a result of the PM wanting to avoid a potentially costly showdown with broadcasters and gambling industry lobbyists ahead of the general election this year.

Can Albanese make good on the Murphy report?

Upon winning the election with a solid majority earlier this year, Albanese has yet to commit to a full package of gambling reforms – and has even said at times that a total ban on advertising may not be entirely feasible.

Reform advocates are becoming increasingly frustrated, with various independent and Green politicians criticising both the Labor government and Liberal government for slow progress.

Meanwhile, the latest findings of the Australian Gambling Research Centre’s (AGRC) National Gambling Prevalence Study put the number of Australian adults at high risk of gambling harm at 2.6%, with over 65.1% having gambled in the 12 months before October 2024 – piling further pressure on Albanese’ government to press ahead.

It’s clear though that a ban on gambling advertising will be difficult to enforce. Media outlets like Nine won’t be entirely happy with the loss of a reliable revenue stream.

Similar to markets like the UK, there is also concern that restrictions on marketing could negatively impact the more responsible and tax-generating Australian businesses to the advantage of the less reputable ones.

“Our biggest plea is is make it fair across the board, and don’t disadvantage responsible Australian media companies and allow a gambling free-for-all in terms of the ad tech platforms,” West is quoted as saying by the Canberra Times.

Media objections to changes to gambling advertising law are nothing new, and cases can be found across various countries, such as Montenegro. In this case, Montenegrin newspapers called for the creation of a temporary fund to lessen the impact of the country’s gambling advertising ban on print media until a more long-term solution could be found.

Ads just one element

Australia’s national gambling market remains a highly lucrative one, with government stats putting the industry’s gross profit at around AU$32bn (€20-22bn) from betting turnover of AU$244bn (€145–150bn), of which around 20%-25% comes from online gambling.

The scale of the industry continues to drive conversations around player protection, with campaigners particularly vocal around the prevalence of gaming machines (known as ‘pokies’), online casinos, and betting’s visibility in sports.

Aside from calls to enforce stricter advertising standards, or even a total ban, a hot button issue for campaigners is national regulation – or the lack thereof.. Australia does not have a national gambling regulator, with the task falling to the individual commissions and authorities of its six states.

The Northern Territory Racing and Wagering Commission (NRTWC) is widely seen as the de facto national gambling regulator, at least for online betting. But this regulator also comes up against its fair share of criticism, with campaigners accusing it of having close relationships with bookmakers and benefiting too much from gift giving.

Some state regulators have been making player protection and responsible gambling standards tougher, however. New South Wales banned gambling ads on public transport earlier this year while Western Australia increased penalties for operators which breach regulations, while Victoria has been enhancing player protection standards for many years.

“The gambling industry in Victoria comprises multiple sectors and a significant number of businesses that employ thousands of people,” said Chris O’Neill, Chair of the Victoria Gaming and Casino Control Commission, and Suzy Neilan, its CEO, in the a foreword to the regulator’s 2024/25 annual report published this week.

“As we adopt a more business as usual approach to regulating the industry, we must maintain the highest standards across the length and breadth of our responsibilities.”

The regulatory and political discussions around betting in Australia have not deterred business interests, with the country hosting one of the most dramatic bidding battles the industry has seen for some time this year – Betr vs MIXI over PointsBet.

Despite this, the political environment suggests that some type of reform will come soon, however much the Albanese government drags its feet, and operators will need to plan accordingly to accommodate this.