At last, it's a win on the pokies

Australia -- THE statewide cap on poker machines will be reduced by 5000 and individual clubs and pubs will not be able to increase the number of machines under a surprise gambling crackdown by the NSW Government.

The Gaming and Racing Minister, Graham West, will announce today that he plans to lower the ceiling from 104,000 to 99,000 - a second slap to the powerful hotel industry after its recent defeat in the fight over liquor law changes opened the way to more small bars.

The changes follow months of pressure on the Government and revelations of the grip gambling has on the state, with more than $5 billion being poured into gaming machines in pubs and clubs every year. Recent figures from the Office of Liquor, Gaming and Racing showed NSW lost an average of $750 per head of population on poker machines last year.

Mr West - a non-gambling, non-smoking teetotaller - denied he was a wowser, saying he was listening to what people wanted.

"I certainly wouldn't say I'm a wowser - people enjoy these things but we need to balance that against some of the problems these products cause."

Asked about how much pressure from the Herald and other media had played a role in his decision, the minister said: "I think it's the role of government to respond to the community. We have an overwhelming majority of people who gamble and drink responsibly but they have asked us to address … aspects of it and that's what we're trying to do."

Mr West says the Government will move to reduce the cap even further over time, since under the present system a hotel has to forfeit one machine each time it on-sells three machine licences. The moves will also target problem gambling areas, requiring a new "local impact assessment" to restrict poker machine increases in local government areas with a high density of machines. These areas include Bankstown, Canterbury, Ashfield, Auburn, Fairfield, Marrickville, Burwood, Albury, Wyong, Newcastle, Wollongong, Kogarah and Penrith.

Credit card cash withdrawals will also be banned from automatic tellers and EFTPOS facilities in venues. The existing limit of 30 machines per hotel and 450 per club will remain, after a review of the Gaming Machines Act.

But the Government has left the door open for one change to placate the hotel industry, saying it will wait until mid-next year - after an independent study is conducted - before making a decision on the shutdown of gaming machines between 4am and 10am. The Premier, Morris Iemma, has indicated he is reluctant to change the shutdown period.

The Herald understands the move to reduce the cap came from the minister and his team at the Office of Liquor, Gaming and Racing and was approved by Mr Iemma and cabinet.

The policy will mean the only gambling organisation to benefit from extra facilities of late has been Star City, for which 140 extra gaming tables have recently been flagged, after negotiations over an exclusivity licence concluded with the Treasurer, Michael Costa.

Lowering the cap will not reduce the actual number of poker machines operating in NSW because there are slightly fewer than 99,000 operating at present. But it is likely to mean the hotel industry will never have the capacity to increase the number of machines.

The Opposition Leader, Barry O'Farrell, said the change involved a "sleight of hand", because the actual number of machines would not be reduced.

The Australian Hotels Association and Clubs NSW declined to comment until they saw the detail.

The move is a blow to the hotel industry, which has donated millions to Labor. Pubs have benefited, however, from being granted access to Keno and lax rules on outdoor smoking areas.

In a sign that the AHA is trying to remake its image, it will appoint its first female chief executive. Sally Fielke, 33, a lawyer who recently headed the Northern Territory branch of the association, will begin work from early next year.

News Added: 06 December, 2007

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