According to submissions to a federal parliamentary inquiry into problem gambling and gambling addicts, Australian media hubs are not willing to support a proposed online gaming advertising ban. The federal Labour Government has started a widespread crackdown on gambling advertising in the country, after the latest reports provided by The Australian Institute of Health and Welfare have revealed that local people lose about AU$25 billion on legal forms of gambling on an annual basis.
Reports say that commercial television and radio channel operators fear that the potential restrictions on gaming and gambling advertising are set to reduce the services they can provide, as well as the revenue that these services would generate.
The major advertising body in the country – the Australian Association of National Advertisers (AANA) – currently has five codes under which the advertising in the country is regulated. One of these codes is the Wagering Advertising Code which regulates betting advertising and applies to both retail and online betting advertising.
The AANA Codes, however, have been criticised for not setting a clear differentiation between traditional media advertising, including so-called outdoor advertising and digital advertising.
The largest gambling group in the territory of Australia, Tabcorp, has called for stricter regulation of gambling advertising on free-to-air television channels. The company revealed it has started to phase out gambling ads on such channels in the period from 6:30 AM to 8:30 PM. In its submission to competent authorities, it noted that families and children in Australia should be able to watch TV programmes and live sports without being constantly bombarded by gambling advertising.
Media Channels and Online Gambling Businesses Say Gambling Advertising Restrictions Will Reduce Their Revenue
Commercial Radio and Audio (CRA) supports the reduction of gambling addiction but also noted that the Commercial Radio Code of Practice already thoroughly regulates the industry. The CRA made a submission to the federal parliamentary inquiry, claiming that any further restrictions on gambling advertising may reduce the industry’s ability to provide national and local news, as well as informative, socially inclusive and entertaining content to Australian communities.
For the time being, the radio relies on advertising as its only source of revenue helping it to produce, create and broadcast a large amount of high-quality content that is aired daily by commercial radio stations in Australia.
Most radio news outlets, unlike Nine Entertainment and News Corp which are the largest players in the sector, have been unable to make agreements with digital platforms such as Google under the provisions of the country’s News Media Bargaining Code. This is why the commercial radio industry remains even more reliant on advertising as a major source of revenue, CRA claims.
When it comes to television broadcasting groups, they are now regulated under the country’s Commercial Television Industry Code of Practice, also known as the Free TV Code. The code establishes extensive restrictions on gambling adverts on broadcast television, providing protection to TV channel viewers, and underage individuals in particular.
Online gambling businesses have opposed the proposed restrictions, saying that the National Consumer Protection Framework (NCPF) already provides pretty strict regulation of their operations.
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