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Pokies Losses Halt Gambling Review: Record Losses Revealed

Waitaki Council Pauses Gambling Policy Review Amid Losses

Oamaru — May 23, 2024 — The Waitaki District Council has suspended its review of gambling policies in light of record poker machine losses. The decision, revealed this week, comes as the region grapples with increasing financial losses from gambling, prompting worry among advocates. Last year, gamblers in Waitaki lost $4 million on poker machines. Experts suggest this rising trend of gambling losses warrants closer examination of the council’s future policy, so read on.

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Waitaki Council Pauses Gambling Policy Review Amid Record Poker Machine Losses

The Waitaki District Council has suspended its review of gambling policies, a decision that comes despite the region experiencing record losses on poker machines.The council’s move raises concerns among gambling harm reduction advocates, who argue that current policies may not adequately address the growing problem.

Record Losses Fuel Concerns

new data reveals a troubling trend in the Waitaki district. Statistics from the Department of Internal Affairs (DIA) show that the 108 poker machines across 11 venues in the district raked in $4 million in gaming proceeds last year. This figure represents the highest recorded losses in Waitaki, surpassing the previous year’s $3.97 million.

Did you know? Gaming machine proceeds represent the amount collected by venue operators and not the total amount gambled. The actual amount spent by gamblers is likely higher.

The final quarter of the year saw a notable spike in losses, with gamblers losing $1.03 million in just three months. This represents a 6.6% increase compared to the same period the previous year, further highlighting the escalating problem.

Council’s Rationale for Delay

The Waitaki District Council is required to conduct a review of its policies regarding TAB venues and Class 4 gambling venues every three years. However, a recent staff report recommended a postponement due to pressing staff workloads. The report stated:

A council resolution to postpone the formal review process is required to address workload and time constraints on officers and elected members for the remainder of 2025.

The report further suggested that delaying the review poses minimal risk, as officers consider that the current policies are fit for purpose in the interim. The council voted to pause the review, with one abstention from Cr. Brent Cowles due to a conflict of interest.

Advocates Question Council’s Assessment

Andree Froude, director of advocacy and public health at the Problem Gambling Foundation Services, challenged the council’s assessment. She argued that relying solely on the number of people seeking help from gambling harm support services provides an incomplete picture of the problem’s true extent. Froude told the Oamaru Mail:

If this is based on the numbers of people who have presented for help at a gambling harm support service such as ours, that data is not a good indicator of the level of harm as so many people do not present for help.
Andree Froude, Problem Gambling Foundation Services

Froude pointed to multi-venue exclusion data as a more reliable indicator of gambling harm. She noted that the Canterbury region, which includes Waitaki, has the second-highest number of exclusions in the country, trailing only Auckland. These exclusions reflect individuals who have voluntarily banned themselves from venues to curb their gambling habits.

Pro Tip: Multi-venue exclusion programs allow individuals to self-exclude from multiple gambling venues concurrently, providing a comprehensive approach to managing problem gambling.

Froude emphasized the significant financial impact of poker machine losses on the community, stating:

The amount lost on pokies in Waitaki district is certainly significant [$4m in 2024]. That is a lot of money coming out of the community that could have been spent in other areas. It is concerning that it has continued to trend upward since 2015.
Andree Froude, Problem Gambling Foundation Services

Long-Term Trend and Council’s Justification

DIA statistics confirm a consistent upward trend in gaming machine proceeds since 2015, with the exception of a dip during the COVID-19 lockdowns in 2021. The report presented to councillors cited several factors contributing to the decision to postpone the review, including the district plan review, long-term plan preparations, and upcoming local government elections.The report assured that delaying the review until 2026 would still satisfy legislative requirements.

council staff clarified that initiating the motion to postpone the review technically fulfilled the initial review requirements, mitigating any legal risks to the council.

Frequently Asked Questions (FAQ)

Why is the Waitaki Council delaying the gambling policy review?
The council cites heavy workloads and time constraints on officers and elected members as the primary reason.
How much money was lost on poker machines in Waitaki last year?
Gamblers lost $4 million on poker machines in the Waitaki district in 2024.
What is the Problem Gambling foundation’s view on the delay?
The foundation is concerned, arguing that current policies may not adequately address the growing problem and that relying solely on help-seeking data underestimates the harm.
When is the review now scheduled to take place?
The review is now scheduled to commence in 2026.

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