Over the last decade, online gambling regulations in Australia have become markedly stricter.
Since the National Consumer Protection Framework (NCPF) was first introduced in November 2018, Australian-based gambling sites have had to abide by an increasing number of rules. However, there has been good reason for this.
These gambling reforms have been designed to keep online gambling practices safe and secure for both the bettor and the provider.
Online Casinos and Pokies are Banned
It is illegal for an Australian-based gambling firm to offer online casino services to Australian residents. This has been part of Australia’s gambling regulatory framework since the passing of the Interactive Gambling Act (IGA) of 2001.
Under the IGA, it is also an offence for Australian websites to support online slot machines (better known as “pokies”).
However, there’s nothing to prevent Australian bettors from using offshore casino sites to play pokies or table games.
These sites are offshore in the sense that they are based and licenced in another country, so don’t have to abide by Australia’s gambling regulations – i.e., they’re allowed to support online poker games and casino-based gambling.
According to Read Write, there are lots of new, high-quality offshore casino sites that are worth trying out. These sites also feature other benefits unavailable in Australia – such as financial incentives for opening an account.
It’s worth noting here that the IGA didn’t outlaw every form of online gambling. For example, online lotteries and sports betting are still legal in Australia in 2024 and can be done at locally-licenced sites.
Strict Verification Rules
Recently, it has become mandatory for all Australian-based online gambling sites to implement stricter verification rules.
The main change is that all new players must be sufficiently verified – i.e., undergo customer identification procedures (ACIP) – before placing a bet. Unverified players can no longer access parts of domains that involve betting money.
Before, new bettors had a window of time in which they could wager money on sites without having their identification confirmed. This level of freedom was often taken advantage of by money launderers and committers of other illegal activities.
In fact, it was the Australian Transaction Reports and Analysis Centre (AUSTRAC), Australia’s anti-money laundering regulator, who brought about these tighter verification rules.
The rules were first introduced on 29 September 2023. They’re not yet fully imposed. However, by September 29th, 2024, all Australian-based gambling sites must comply.
Not only do the new rules prevent money laundering, but they also stop those who have signed up to BetStop – the National Self-Exclusion Register from gambling.
BetStop
BetStop was introduced by the Australian Government on the 21st of August 2023. It’s a self-exclusion scheme designed to prevent those who want to take a break from gambling from accessing online betting services.
Upon signing up for BetStop, you can choose how long you exclude yourself. The site has a 3-month exclusion minimum and an unlimited maximum exclusion period length.
By October 2023, almost 10,000 Australians had signed up for BetStop.
Although successful in terms of popularity, it has been unclear whether or not the scheme has helped people stop gambling. This is because Australian-based gambling websites weren’t initially obliged to prevent BetStop members from using their services.
The government has since made it essential for all licensed betting and wagering platforms to abide by the terms of BetStop. This means that they can no longer legally permit those registered on BetStop to gamble on their site.
This new rule not only applies to online gambling sites but also to other forms of interactive wagering such as telephone-based operators.
Gambling sites must now also stop sending marketing material to those registered with the scheme.
The National Consumer Protection Framework
Since 2018, the Australian Government has gradually been rolling out the National Framework. This framework consists of consumer protection measures that are specifically designed to make online gambling safer for bettors.
It is a legal obligation for Australian-based wagering sites to abide by this framework and to offer consumer protection as part of their service.
These consumer protection measures include:
Prohibition on lines of credit – Online wagering sites cannot operate like a bank. They should not provide credit to site members, unless under very rare exceptions.
Payday lenders – Small amount credit contracts – also known as “payday lenders” – should not be offered to be spent on online wagering sites. Payday lenders provide applicants with a fraction of their pay early, which is to be paid back with a high-interest rate come payday.
These risky loans often leave bettors in debt.
Inducement restrictions – Incentives cannot be offered to attract new customers. For example, gambling sites in Australia cannot offer a free bet to all new site members. They also cannot offer referral bonuses.
Account closure instructions – Betting sites must prominently display how to deactivate or delete accounts. Account closures must also be acted upon promptly upon request from the site member.
Deposit limits – All licensed gambling sites must offer deposit limits that cannot be altered on the spot.
Activity statements – Bettors must be provided with activity statements to inform them of how much they’re spending on gambling.
Final Thoughts
Since 2018, there have been lots of measures introduced by the Australian government aimed at protecting online gamblers. These measures include more rigorous sign-up procedures, restrictions on sign-up inducements, and BetStop abidance.
These regulations help to make online betting in Australia a safe and secure activity.