Gambling lobby hits back at bill proposing deposit caps, inducements ban

A Northern Territory parliament bill seeking to overhaul laws governing some of Australia's largest bookmakers has been criticised as a "blunt, one-size-fits-all approach" by the industry's peak body.

Fifty online bookmakers are licensed in the NT, including Sportsbet, Ladbrokes and Bet365, and independent MLA Justine Davis's private member's bill would impact them and their customers nation-wide if passed.

Among the changes it proposes are deposit caps, a complete ban on inducements and a ban on advertising "likely to be available to children".

The monthly deposit caps would be $500 for people aged 18 to 21 and $1,000 for those aged 22 to 24.

The NT's embattled gambling regulator — which acts as Australia's de facto watchdog due to the abundance of online bookmakers licensed in the Territory — would also be beefed up under the bill.

The maximum disciplinary penalty able to be imposed on bookmakers by the NT regulator would be increased from $194,000 to $10 million, or 10 per cent of annual revenue.

A letter urging the NT government to support Ms Davis's bill has been signed by 33 advocacy organisations and leaders, including several federal MPs.

But a spokesperson for Responsible Wagering Australia (RWA), the peak body with six members including Sportsbet, Bet365 and UniBet, said Ms Davis's proposals "risk undermining rather than strengthening Australia’s consumer protection framework".

"These proposals take a blunt, one-size-fits-all approach to a complex issue," they said.

"Blanket measures such as banning promotions or imposing arbitrary deposit limits based solely on age ignore the fact that every adult has different financial circumstances and levels of risk."

The RWA spokesperson said federal reforms passed in August, including advertising restrictions and tightened rules for inducements, were "significant" and should "be allowed to take effect" next year.

"Rather than being undermined by a patchwork of additional jurisdiction-by-jurisdiction rules," they said.

The spokesperson also claimed the reforms would "push Australians towards illegal offshore gambling sites", "where there are no deposit limits, no Australian consumer protections and no government oversight".

"That achieves the exact opposite of their stated purpose, pushing people outside the regulated system and making them harder to protect," they said.

While NT Attorney-General Marie-Clare Boothby said the government would consider Ms Davis's proposals, she also said the Country Liberal Party "won't risk pushing punters into the arms of unregulated offshore operators".

Members of Territory Labor have said the opposition will support the bill, which is scheduled to be introduced to parliament next Wednesday.