More than 670 poker machine venues in New South Wales will lose their “old exemption” to operate after 4am as the state government responds to pressure to address the “public health emergency”.
The decision, announced by state Gaming Minister David Harris, will ensure gaming rooms close at the mandatory 4am deadline. Currently, some locations allow these to be played 24/7.
The change, which could result in opposition from powerful clubs and pub lobbies, comes after criticism from the government’s own independent advisory panel on gambling, a damning audit report and political pressure from the Greens and Liberals.
It also follows state government-funded research which showed that poker machine players were significantly more likely to experience losses after midnight.
Harris said the relaxation is no longer acceptable and the 673 clubs and pubs will be given until March 31 to adapt.
Harris said, “After months of review, it is clear that the 20-year-old variations that enabled more than 670 clubs and pubs to operate with gaming machines outside of mandatory hours were no longer fit for purpose.”
Exemptions are granted for a variety of reasons, including locations considered tourist destinations or experiencing financial hardship.
Clubs and pubs that believe they have a “strong case” to retain the exemption will be able to appeal the decision before March 31, but they must meet strict conditions imposed by the state’s independent regulator.
Those terms have not been announced yet.
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The change will ensure that more venues comply with a minimum six-hour shutdown period that allows gamblers to “go home, ‘zone out’ and reflect on their behavior”.
Approximately 20% percent of poker machine locations statewide have some type of discount.
In October, the conservative Australian Christian Lobby (ACL) supported a private member’s bill from NSW Greens MP Kate Fehrmann to remove the exemption.
Michelle Pearce, chief executive of ACL, said, “When you think about the social cost the fact that these rebates have not been reviewed in 20 years is unacceptable.”
Last month, the NSW Liberals agreed to support moves to end the exemption despite opposition from coalition partner Nationals.
Fehrman’s bill also calls for extending mandatory shutdowns from 4 a.m. to 2 a.m. But the state government believes that the 4 am deadline is appropriate.
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Research conducted by the state government, which was cited as a reason behind the decision to remove the exemption, found that 70% of people who gambled between 4 am and 10 pm were considered “high-risk or moderate-risk gamblers”.
More than $1 million is lost from poker machines every hour in NSW, amounting to $2.3 billion lost between April and June, according to analysis by the charity Wesley Mission.
This was an 8.8% increase on the amount lost during the same three-month period in 2024, despite the state government introducing several measures to limit losses.
Wesley Mission chief executive, Stu Cameron, described the figures as a “public health disaster” and urged the state government to take action.
In June, the state Auditor General found that the government had not set targets for reducing harm from poker machines and could not confidently say whether it was protecting people.
The Auditor General also said the NSW Government was doing “relatively little” to assess whether pubs and clubs were identifying and preventing harm from gambling at their venues.
Harris has repeatedly denied allegations that the state government has not done enough to address the problem, saying she takes reducing the harm caused by gambling seriously.
“These changes are a continuation of the measures we are taking to protect people in NSW who are experiencing harm,” Harris said.
In Australia, Gambling Help Online is available on 1800 858 858. The National Debt Helpline is on 1800 007 007. In the UK, help for problem gambling can be found through the NHS National Problem Gambling Clinic on 020 7381 7722 or through GameCare on 0808 8020 133. In the US, call the National Council on Problem Gambling at 800-GAMBLER or text 800GAM.
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