Ōtorohanga District Council’s Move to Slash Existing Sinking Lid Policy Faces Opposition

The move of Ōtorohanga to bring some changes to its existing gambling policy has faced the opposition of the Problem Gambling Foundation and the District Health Board of Waikato.

In October 2020, the Ōtorohanga District Council voted to change its former “sinking lid” policy, during the scheduled review of the policy that takes place every three years. Local council members made a decision to shift to a policy that would make it possible for them to control the increase of so-called poker machines in venues and consider any new proposals for venues for each case individually.

The policy, however, faced opposition. Andree Froude, the director of group marketing and communications at the Problem Gambling Foundation, described the policy proposal as one of the worst ones he had ever heard of. According to her, it fully violates the Gambling Act, because the local council is willing to increase the growth of gambling, which is exactly the opposite of what the Act’s spirit brings.

The Gambling Act aims at minimising gambling-related harm, especially the one that could be inflicted by controversial pokies, and controlling the rapid growth of gambling. Ms Froude said that the Ōtorohanga council is actually doing exactly the opposite of the policy that is set to reduce the harm associated with gambling and invest in something that very much looks like a gambling increase.

The Number of Pokies in Ōtorohanga Remains the Same for Several Years Now

For the time being, there are 23 poker machines situated in the Ōtorohanga District, with the majority of them (18) hosted by the Ōtorohanga Club and the remaining five hosted at the Kawhia Hotel. The number of pokies in the district has remained the same over the past two reviews of the “sinking lid” policy.

The proposed change to the Ōtorohanga gambling policy regarding the so-called pokies would allow an increase in the number of gambling venues holding a Class 4 licence and offering electronic gaming terminals in the district. What raised anti-gambling campaigners’ concerns were fears that the increase in the number of poker machines would almost certainly result in increased gambling participation rates.

According to figures provided by the PGF Group, the overall losses to the 23 pokies in the district amounted to NZ$997,000 in 2019, with almost one-third of the losses (30%) were generated from 1.8% of the gamblers. The figure represented a NZ$68,129 decline from the figure reported in 2018. Reports have shown that the trust operating the local poker machines returned NZ$100,000 to the district in 2019.

Dr Richard Wall, a medical officer of health at the Waikato District Health Board, explained that the Waikato DHB is against the proposed changes to the “sinking lid” gambling policy. He further noted that the Health Board intended to make a submission on the policy change and would participate in the hearing when it took place.

  • Author

Daniel Williams

Daniel Williams has started his writing career as a freelance author at a local paper media. After working there for a couple of years and writing on various topics, he found his interest for the gambling industry.
Daniel Williams
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