Consumer protection and harm minimisation should be a key objective of the national policy framework. It is important that Australia’s consumer protection and harm
minimisation framework be robust, effective and consistent across all jurisdictions. The sections below represent the Review’s findings and recommendations with respect to specific components of the consumer protection and harm minimisation framework.
Self-exclusion
At present, a number of onshore operators provide self-exclusion options to consumers who seek it. However, given that many people gambling online have accounts with more than one operator, the fact that these facilities are not coordinated between operators reduces their effectiveness.
To be effective, any self-exclusion system should cover all operators, so that a customer’s request to exclude from accessing one service would apply to all their accounts.
From 1 March 2016, as part of its Code of Practice for Responsible Gambling, the Northern Territory is seeking to implement a self-exclusion system, which would enable customers to exclude from all operators licensed in the territory (see Box 5-4).
Given over half of Australia’s online operators are licensed in the Northern Territory, this initiative offers an opportunity to effect a national self-exclusion register covering all Australian licensed operators. Efforts should be made investigate the best means of including all Australian operators in the proposed Northern Territory
self-exclusion system.
Alternatively, if expanding the NT system is not feasible, a national register should be established.
Any costs associated with either proposal should be borne by online operators.
Recommendation 4
A national self-exclusion register that applies across all online operators should be developed, either by an expansion of the Northern Territory register or through a new national system. The costs associated with such a register should be borne by online operators.
Voluntary pre-commitment
At present a number of operators offer pre-commitment options to customers upon registration. These facilities are popular and represent a useful tool for consumers to effectively manage their exposure to the harms associated with gambling.
Operators should be required to offer customers an opportunity to set voluntary limits on their wagering activities. Limits should cover a range of options, including betting and deposit limits.
South Australia currently mandates the use of voluntary pre-commitment options, including a requirement that users are prompted every two years to confirm whether they would like to impose or review their limits. This should be a feature of the national policy framework to ensure all users access voluntary pre-commitment.
Recommendation 5
Operators should be required to offer customers an opportunity to set voluntary limits on their wagering activities. Consumers should be prompted about setting or
reviewing limits on a regular basis.
Credit or deferred settlement betting
The provision of ‘credit’ or deferred settlement betting received attention in submissions.
Those concerned about the impact of problem gambling highlighted the ease of access and unsolicited nature of offers. At the same time, gambling operators noted that the availability of credit from illegal offshore operators would act as an incentive for some Australians to wager offshore if deferred settlement facilities were made less
readily available.
In part due to the absence of any interest charged on this type of transaction, a number of existing consumer protection measures in relation to credit do not currently apply to deferred settlement facilities. The application of such measures would help reduce risks to consumers (as they do in other areas where credit is involved).
Two options available to address this situation are to either:
• apply the National Credit Code to online operators; or
• adopt similar provisions to those currently applying in the Northern Territory.
Recommendation 6
Operators should be required to apply additional consumer protections where ‘credit’
or deferred settlement betting is available.
Additionally, concerns were raised about the links between online operators and payday and other lenders – whether by direct agreement or through advertising on the operators’ websites. These links should be discouraged.
Recommendation 7
Links between online wagering operators and payday and other lenders should be discouraged.
Activity statements
Stakeholders have identified that it can be difficult to access a clear and simple record of a consumer’s gambling history making it harder to self-identify at-risk gambling behaviour. The Review considers it important that users are readily able to access this information.
The national policy framework should ensure that users are regularly sent online statements detailing their wagering activity including total wagered, winnings and losses. These statements should also be readily accessible to the customer through the operator’s website.
Recommendation 8
Users should be regularly sent online statements detailing their wagering activity including total wagered, winnings and losses. These statements should also be readily accessible through the operator’s website.
ID checking
At present, operators are required to verify the identity of users within 90 days of registration with an online operator (45 days in the Northern Territory). Industry and non-industry stakeholders alike indicated that it is possible to reduce the time necessary to complete this process.
As part of the national policy framework, the verification period should be set at a maximum of 45 days.
However, the suggestion by at least one stakeholder that this time could be further reduced to as little as seven days should be investigated.
Recommendation 9
As part of the national policy framework, the current 90 day verification period should be reduced to at least 45 days.
Staff training
At present staff training requirements are inconsistent across the States and Territories.
In particular the roles of staff required to participate in mandatory training varies between jurisdictions.
The national policy framework should ensure that all staff involved with online users have undertaken appropriate training in the responsible conduct of gambling provided through an accredited provider.
Recommendation 10
All staff involved with online users must undertake appropriate training in the responsible conduct of gambling – provided through an accredited provider.
Advertising
Advertising of online wagering is a key concern of most industry and non-industry stakeholders.
Advertising of online services is covered by both Codes and State and Territory regulations. Industry stakeholders are concerned about the costs associated of complying with differing State and Territory regulations.
Given that advertising of online wagering services is one of the competitive advantages of being a licensed operator, and recognising Australia’s national media market, it is strongly desirable that consistent, enforceable rules for advertising of online gambling be included in the national policy framework.
Recommendation 11
That the national policy framework include consistent, enforceable rules about advertising of online gambling.
Existing guidelines, including Codes or State/Territory regulations, do not cover digital or social media in the same manner as other media.
The Review was informed that, as a result both offshore and online operators were using social media and other digital platforms to actively promote services and products.
Given support for existing restrictions applying to other media, the omission of a Code or enforceable rules relating to digital or social media should be remedied.
Recommendation 12
The national policy framework should ensure that advertising of online services using social or digital media platforms is subject to similar regulatory controls as other media.
Standard responsible gambling messaging
At present, the anti- or responsible-gambling messages provided to consumers are inconsistent across jurisdictions. There are a range of messages, presented in a variety of ways.
The Review heard that greater consistency about such messaging was more likely to support the considerable efforts jurisdictions invest in harm minimisation and consumer protection initiatives.
The national policy framework should provide for the development and use of nationally consistent and standardised messaging to assist efforts to ensure responsible gambling.
Recommendation 13
The national policy framework should introduce a system to allow for the
development and use of nationally consistent and standardised messaging to assist efforts to ensure responsible gambling.
Access to gambling counselling advice
Equally, at present there are multiple websites and telephone services, including Gambling Help Online (a national 24-hour helpline and web portal), that offer help and advice to people seeking assistance with gambling problems.
A more uniform approach to accessing gambling counsellors and advice would improve the ability of consumers to access the services funded and support by governments across Australia.
Recommendation 14
The current single national telephone number and web portal – Gambling Help Online – should be refocused to operate more consistently across all States and Territories, and provide a stronger pathway to other support services for problem gamblers and their families.
Restrictions on betting
The Review heard complaints from a number of individuals that onshore operators had slowed and/or reduced their bets or, in some instances, stopped them from holding betting accounts, because, it was claimed, they were ‘too successful’. They cited this as a reason for some Australians to wager offshore and urged the implementation of minimum betting rules similar to those adopted by Racing NSW.
Industry stakeholders contested the magnitude of this problem.
In the absence of independent analysis, it is unclear whether Racing NSW-style
minimum bet requirements could remedy the situation and provide greater incentive for users to stay onshore.
Recommendation 15
Further research should be undertaken on the impact of betting restrictions on illegal offshore wagering and the identification of options to improve the situation.