Asia Pac

PAGCOR rallies against prohibition calls with new measures

The status of online gaming in the Philippines is once again under the microscope as PAGCOR vowed greater regulation in the face of prohibition calls.

The regulator’s Chair and CEO, Alejandro Tengco, unveiled plans to explore a complete ban on gambling advertising, after already implementing a TV and radio ad blackout during ‘primetime’ – between 5.30pm and 8.30pm.

“Radio and TV stations are asking if they can still show the ads during dead slots, mainly for advertising revenue. But for us, if it’s possible to completely ban them, that’s what we want to enforce,” said Tengco.

PAGCOR, alongside a number of other government agencies, faced questioning from anti-gambling campaigners, including Senator Sherwin Gatchalian and Senator Erwin Tulfo.

Gatchalian has proposed several measures to further regulate the sector, including a minimum betting age of 21 and a minimum deposit requirement of P10,000 (£129).

Not present at the meeting of the Committee on Games and Amusement was Senator ..

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Regulator reveals Tabcorp and others failed with BetStop obligations

Six operators have been hit with enforcement actions for breaching self-exclusion compliance rules in Australia.

The investigations conducted by the Australian Communications and Media Authority (ACMA) affect operators Tabcorp, LightningBet, Betfocus, TempleBet, Picklebet and BetChamps.

All compliance failures were related to people registered on BetStop, Australia’s national self-exclusion scheme, varying from allowing self-excluded persons to access wagering services, to targeting such individuals with marketing. All breaches occurred in 2024.

The largest operator in Australia in terms of retail presence, Tabcorp, has accepted a penalty of AU$112.7k (£57.5k), in addition to a Federal Court-enforceable agreement to conduct a third-party review of its customer verification processes in place and further staff training on self-exclusion.

Betfocus, LightningBet and TempleBet have been given remedial directions by the regulator, which obligates them to conduct an independent audit of their player safety checks and follow through on any resulting recommendations – with further compliance failure leading to potential civil penalties.

A formal warning has been issued to BetChamps, while the ACMA is in the process of finalising the enforcement action against Picklebet.

Carolyn Lidgerwood, ACMA member, commented: “The national self-exclusion register is designed to help people who are trying to avoid gambling services and stop gambling, but self-exclusion only works if wagering providers follow the rules.

“These rules have been in place for more than two years and wagering providers should be taking their responsibilities seriously.

“When people decide to self-exclude themselves from online and telephone gambling, they trust the system to protect them from gambling harm. These investigations have found that these companies broke that trust and let people down.

“All licensed wagering providers need to be aware that the ACMA is investigating compliance and enforcing the rules. Gambling companies must have effective systems in place to ensure self-excluded people cannot gamble with them.”

Launched in 2023, BetStop is currently undergoing a statutory review expected early 2026, which aims to assess the effectiveness of the register and address critical operational deficiencies such as some BetStop-registered players still receiving gambling marketing.

This review ties in with ongoing debates on wider reforms in the Australian gambling legislature, namely the still-to-be implemented 31 recommendations from the Murphy report, devised by the late Peta Murphy.

The document suggests that a unified gambling regulator is created to end the current supervisory fragmentation of the Australian market, with the sole entity taking charge of the national problem gambling projects such as BetStop as well.

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Macau accelerates momentum in tackling illicit gambling networks

Authorities in Macau have thwarted a counterfeit chip scheme that defrauded gamblers of tens of thousands of dollars.

According to local media, four arrests were made in total by the Judiciary Police after suspicions arose following the discovery of fake chips in three casinos operated by the same company in Cotai and NAPE.

The suspects were alleged to have targeted gamblers near casino premises, offering to exchange counterfeit chips for cash.

In one example, a suspect allegedly attempted to exchange seven HK$10,000 ($1283) chips with a male gambler in Cotai, while further investigations revealed 18 more chips in circulation across the three casinos.

In total, the scammers are alleged to have defrauded gamblers out of HK$210,000 ($26,900).

All four claimed that they were hired by a crime syndicate and were promised a minimum of US$2,800 if the scam was successful. They have been charged with involvement in a criminal organisation and large-scale fraud.

Not a new problem

Given Macau’s status as Asia’s largest gambling hub, it is not surprising that the region has been targeted by criminal activity.

In January 2025, a trio of suspects were accused of defrauding a Macau casino of $75,000 through distributing fake chips.

More recently, gamblers lost HK$330,000 ($42,370) after being deceived by money changers.

Though only relatively small sums, this activity will still represent a cause for concern for authorities in Macau heading into 2026, as the jurisdiction looks to build on the positive momentum gathered in the second half of 2025.

The Gaming Inspection and Coordination Bureau reported full-year gross gaming revenue of $30.8bn, up 9.1% from 2024 and beyond the government’s target of $29.9bn. The figure also represents 85% of pre-pandemic levels of gaming.

After a slow start caused by a number of challenging conditions, including the Super Typhoon Ragasa, the early months of the year experienced single-figure revenue growth.

However, fortunes turned a corner in May when the jurisdiction reported a 19% year-on-year rise in GGR to $2.6bn.

This surge was further backed by similar double-figure growth in the remaining months of 2025 – except for September. Macau closed the year with a 14.8% YoY rise in December, recording GGR of $2.6bn.

Setting a fraud-fighting trend

Meanwhile, in mainland China, President Xi Jinping has also spearheaded efforts to crack down on wider fraud and ensure that illicit activities aren’t able to take place in the country.

China elevated its strategy to tackle the significant amount of illicit funds within illegal gambling, a large chunk of which was being funnelled through crypto payments.

This action included the extradition of She Zhijiang, a Chinese national who is alleged to have been the mastermind behind a major illegal gambling network in Southeast Asia.

He was extradited from Thailand back to China, underpinning a level of collaboration across the continent when it comes to thwarting the leaders of illicit gambling networks.

Furthermore, as regulatory frameworks in neighbouring markets continue to shift, expect a number of syndicates to be targeted during 2026 as China and Jinping laser in on the illicit gambling activities taking place across the continent.

The latest efforts by China to detect and prosecute the counterfeit chip game aren’t an isolated case and may well set a trend for future action from China in ensuring that illicit gambling activities and fraud are detected and sanctioned.

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Turkey to overhaul penal code with zero tolerance on illegal gambling

President Recep Tayyip Erdoğan’s demand for a complete ban on illegal gambling has prompted Turkey to undertake a major overhaul of its penal code, with sweeping changes set to take effect by 2026.

The reforms will sharply increase penalties for illegal gambling, online betting and participation offences, forming the backbone of Erdoğan’s wider “Action Plan to Eradicate Illegal Gambling.”

The directive was confirmed through a circular released by Justice Minister Yılmaz Tunç, who reaffirmed the government’s full commitment to the President’s zero-tolerance stance.

“Each new loophole that allows these networks to operate within our country is being closed,” Tunç said. “Nobody, whether organiser or participant, can get away with digital anonymity or lax penalties from here on out.”

11th Judicial Package

The penal code reform stands as the centrepiece of Erdoğan’s 11th Judicial Package, described by the Ministry of Justice as a nationwide effort to dismantle the financial and digital infrastructure of unlicensed operators.

Tunç outlined that the package will grant prosecutors expanded powers of seizure, suspension and prosecution, while updating the Turkish Penal Code to raise prison terms and financial penalties for both individuals and organised groups.

Under the proposed reforms:

Organisers of illegal gambling networks will face longer prison sentences, with enhanced penalties for crimes involving minors or cross-border coordination.

Participants and intermediaries will face greater fines and asset confiscations, including the freezing of bank and digital payment accounts for up to 48 hours pending investigation.

Proceeds of crime can be seized immediately, without prior reporting, and returned to victims where ownership is proven.

Banks and payment processors will be legally required to provide data to prosecutors or courts within 10 days — failure to comply will trigger administrative or criminal sanctions.

“It no longer has to be a marginal issue,” Tunç continued. “Illegal betting is a coordinated, organised activity that takes advantage of our youth, destroys families and transfers money abroad. It is a national threat — and we will view it as such.”

Enforcement on Payments

The 11th Judicial Package will also tighten control over electronic payments and telecommunications systems that have enabled illegal operators to reach Turkish consumers.

All accounts at electronic payment institutions will require biometric or chip-ID verification. GSM line subscriptions will demand full electronic ID validation to prevent the use of false or deceased identities.
The compliance measures form part of Erdoğan’s demand for “direct results” by 2026, with the President warning that agencies will be held accountable for any failure to act.

“We cannot live with a shadow economy built on human weakness,” Erdoğan said during a recent cabinet session. “Every lira lost to illegal gambling is a lira stolen from our nation’s future.”

All agencies mobilised

The Erdoğan government has ordered all state agencies — including MASAK (Financial Crimes Investigation Board), the BTK (Information and Communication Technologies Authority), and the state lottery Milli Piyango — to cooperate in enforcement.

Milli Piyango has already submitted a detailed report to MASAK identifying 239,000 domains in direct violation of Turkish gambling laws.

Chairman Ekrem Candan, Milli Piyango official, described the problem as “unprecedented”, adding: “We are witnessing industrial-level targeting of Turkish citizens via the internet. This is not a handful of rogue operators — it is a coordinated ecosystem that must be dismantled.”

Turkey has also warned Cyprus, Malta, Georgia and North Macedonia that they could face diplomatic and economic retaliation if they continue to shelter or license gambling operators targeting Turkish citizens.

Minister Tunç concluded that the revised penal code will establish a zero-tolerance framework for gambling offences in 2026 and beyond.

“Illegal betting breaks apart families, traps young people in debt and disrupts public order,” he said. “The Republic will make no compromises and will take all necessary action to destroy the apparatus that exploits our citizens and threatens social peace. This will be a hard, stalwart fight — and it will be won.”

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Why PAGCOR must steady the ship after a turbulent 2025

The latest corruption allegations couldn’t have come at a worse time for PAGCOR’s leader, Alejandro Tengco, as the organisation seeks to steady the Philippines’ regulatory ship heading into 2026.

Accusations centre around a conflict of interest involving the family company of Tengco, have come at an unfortunate time for the organisation as it seeks to steady the Philippines’ regulatory ship heading into 2026.

Tengco has vehemently dismissed any suggestions from the media that he had influence on his family’s construction company, Nationstar Development Corporation, winning government contracts.

However, media investigations revealed that Nationstar, which was founded by Tengco in 2015 and is currently owned by his children, has secured more than 14 government contracts valued at Php 7.1bn (£90bn) since 2022, when he began his role with PAGCOR.

Tengco emphasised that he divested his interest in the construction company upon assuming leadership of the Philippines’ gaming regulator, having begun transferring ownership to his children as early as 2019.

“My position as Chairman and CEO of PAGCOR has no direct or indirect influence in the awarding of public works contracts to Nationstar,” said Tengco through a statement posted on PAGCOR’s website.

“There is no conflict of interest because under the Anti-Graft and Corrupt Practices Act (RA 3019) and the Code of Conduct of Government Employees (RA 6713), conflict of interest occurs when a public official has direct or indirect financial or pecuniary interest in any business contract or transaction in which they must intervene in their official capacity.”

Tumultuous 2025

The story closes out what has been a turbulent year for the Philippines’ gaming industry, as lawmakers in the country have repeatedly attempted to bring down regulated online gaming.

At the time of writing, the country’s Senate is still considering several bills that have called for a total ban on online gaming – citing the “silent epidemic” of gambling addiction in the Philippines.

In response, PAGCOR has been forced to defend the merits of supporting regulated iGaming, highlighting the significant income it generates for the Philippines’ government, while also warning that any prohibition “will only drive players to illegal operators and result in loss of revenue and jobs”.

“PAGCOR is committed to strengthening regulation and enforcement to ensure that only legitimate and properly monitored operators are allowed to operate,” said Tengco, speaking at a conference hosted by Light & Wonder.

“These illegal sites not only deprive the government of much-needed revenues but also expose Filipino players to numerous risks.”

Among the new regulations in the country is a mandatory decoupling of online gambling platforms to mobile wallets and payment applications, as well as a new accreditation requirement for iGaming service providers.

Although the former has been linked to a dip in revenue for leading operators such as DigiPlus in the third quarter of the year, the changes have been viewed as a vital step to renew trust in the industry.

“The delinking of e-wallets resulted in a short-term decline in activity toward the latter part of the quarter. However, these measures are vital to protect players and ensure secure, transparent transactions,” said Tengco.

Cautious optimism

Looking ahead to 2026, the fact that the bills above were submitted in July and there has been no action as of yet suggests that the momentum behind the push to ban online gaming has lost significant momentum.

However, any rumours of impropriety within the sector risk renewing conversations surrounding its position within the Philippines’ society.

The coming months represent a critical period for PAGCOR as it seeks to stabilise and push for the growth of an industry that has been touted as having the potential to cement itself as Southeast Asia’s second-largest gambling market behind Macau, as revenue is forecast to surpass $7bn in 2025.

Central to this action has been PAGCOR’s commitment to fighting the black market.

In October, PAGCOR signed a memorandum of understanding to divert Php 50m (£639,125) in funding to the National Bureau of Investigation (NBI), the organisation charged with countering illegal gaming.

According to PAGCOR, there are approximately 12,000 illegal online gaming sites in operation, compared to just 77 licensed operators.

While stricter regulations may be viewed as a burden for licensed operators, in the long term, such measures are key to differentiating the legal market from the illegal market and should inspire confidence among consumers.

Keith McDonnell, Director of the KMI Group, previously told iGaming Expert: “What the Philippines needs most now is time to carefully consider how a regulatory framework and workable tax system can provide long-term benefits to the local economy while protecting the most vulnerable.

“Everyone knows an outright ban on [inland gaming operators] would drive things underground, leading to more social, economic and political problems.”

A knee-jerk reaction from any stakeholder within the conversation risks bringing down the sector, and PAGCOR must lead the industry’s future with a cool head to navigate iGaming through a crucial beginning to 2026.”

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New Zealand select committee pitches online casino bill changes

New Zealand’s Online Casino Gambling Bill has edged closer to its completion with the legislation passing through the government’s Select Committee.

The Governance and Administration Committee took into account more than 5,000 public submissions when considering potential adjustments to the bill. These submissions were made earlier this year from individuals and organisations, in addition to oral evidence.

Several changes to the proposed legislation have been recommended through the committee’s report, including 3,966 submissions raising concerns about community returns from gambling revenue.

Changes to the bill’s implementation have also been pitched by the committee, including when legislation will begin and when the market will only be available to operators that have a licence.

Minister of Internal Affairs, Brooke van Velden, welcomed the committee’s report on the bill, marking it as a “crucial step forward” to protect New Zealanders from gambling harm.

Community funds

To provide community funding returns, offshore gambling duty will rise in the bill from 12% to 16%, with this 4% increase ringfenced for community returns. It is estimated that community returns could reach between NZ $10m and NZ $20m in the first year (approximately €4.9m to €9.9m).

However, this is dependent on how much total gross gambling revenue the licensed online casino market generates. The Lottery Grants Board will be responsible for the community funding distribution.

“Many groups were concerned that more gambling online would mean less gambling on pokie machines, and therefore a decrease to the level of funding returning to community groups,” noted van Velden.

“Submissions clearly showed New Zealanders want community returns from online gambling activity to ensure communities continue to get the funding they need. Cabinet agreed to provide these returns, and the committee supported that decision.”

Other concerns raised within the submissions for the report included that online casinos’ regulation could result in the normalisation of gambling and a greater potential for gambling harm, as well as potential gambling harm from advertising.

Van Velden stated that the concerns have been accounted for, adding that the bill will put regulations in place with the intention to reduce harm, “a significant improvement from the status quo where there are no safeguards to protect Kiwis gambling online”.

“We will review online casino gambling’s impact on pokies revenue after two years to ensure that community returns are still providing adequate funding for community and sports groups,” she added.

“This is an important piece of legislation that will bring online casino gambling under New Zealand law for the first time. I look forward to seeing it progress through the House,” says Ms van Velden.

Timeline updates

The Select Committee report’s recommendations also included changes to the timeline of the legislation’s implementation.

From earlier this week, we already know that the date of 1 December 2026 is now in the diaries of all stakeholders interested in the New Zealand market, as this is the date when online casino licences will start.

Other dates that have been added to the calendar include 1 May 2026, which will be when legislation begins, including a total prohibition on online casino advertising. Any operator currently providing an offering in New Zealand may continue doing so until 1 December.

At which point, only operators that have applied for a licence will be allowed to continue to operate, with all other operators forced to exit the market. Operators will be able to advertise under strict rules once they are licensed.

The final date to remember is 1 June 2027, as only operators who hold a licence will be allowed to operate in the New Zealand online casino market after this date.

New Zealand’s government is expected to deliver another update on the legislation later this month, as the Online Gambling Implementation team is now working on how the bill’s implementation will be impacted by the new proposed timeline.

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Korean study shows ChatGPT and other AIs can develop gambling addiction 

New research reveals large language models can exhibit human-like gambling addiction behaviours and shows they even possess internal “risk circuits” that can drive them toward bankruptcy. A new study from South Korea’s Gwangju Institute of Science and Technology presents the strongest evidence to date that popular large language models (LLMs) – including GPT-4o-mini, GPT-4.1-mini, Gemini-2.5-Flash,…

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New Zealand gov sets formal timeline for online casino market

The countdown has officially begun for New Zealand’s online casino market, as a date has been set for when the country plans to launch its online casino licences.

New Zealand government’s Minister of Internal Affairs, Hon Brooke van Velden, has released the cabinet paper and associated materials for the online casino gambling bill, which has been in motion since being introduced to parliament in June.

Other important updates were contained within the release for interested parties to take into account, but the date of 1 December 2026 will now be added to the diary of all stakeholders as the date for when online casino licences will start.

The wheels are now speeding up for New Zealand’s online casino market, as the government also stated in an email update that detailed regulations for licence holders are expected to be finalised by mid-2026.

“It is our intention to give the sector time with these finalised regulations before running the licensing process,” said Trina Lowry, Programme Director – Online Gambling Implementation, in an email update.

Draft regulations that have recently been issued to the cabinet for approval include areas covering harm prevention and minimisation, consumer protection and record-keeping, advertising and marketing, as well as fees, levies, or charges for cost recovery.

Lowry added that the government hopes to provide another update with detailed information on the regulatory decisions taken before the end of the month.

Community funding changes

Community funding returns have also been introduced in the bill, with offshore gambling duty rising from 12% to 16%, with this 4% increase ringfenced for community returns.

As a result, it is estimated that community returns could reach between NZ $10m and NZ $20m in the first year (approximately €4.9m to €9.9m), although this is dependent on how much total gross gambling revenue the licensed online casino market generates.

New Zealand’s government noted that the community return option “does not seek to replicate the not-for-profit Class 4 model” and that the most relevant comparison would be to land-based casinos in the country since they are for-profit entities, in comparison to Class 4 or Lotto, whose profits must be used to benefit communities.

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What we know about a new era for Sri Lanka gambling regulation

Sri Lanka sits on the cusp of a new regulatory framework that is likely to usher in widespread changes for the country’s gambling sector.

The country’s government confirmed that the Gambling Regulatory Authority remit to oversee all gaming operations will begin on 1 December.

The date will mark the culmination of an extensive process after Sri Lanka’s Cabinet approved a draft bill in February 2025 before it was officially presented to parliament in June – but how will it actually evolve the country’s gambling ecosystem – remains to be seen.

Time for change

The Gambling Regulatory Authority Bill moves to unify Sri Lanka’s currently fragmented gaming landscape and repeal the Gambling Ordinance, Casino Ordinance and Horse Racing Betting Ordinance.

Supporters of the change point to the outdated nature of the current legislation. The Gambling Ordinance was drafted in 1887 while the laws relating to casinos and horse racing betting were implemented in 1988.

By moving to close loopholes and clarify overlapping regulation, the Sri Lankan Government hopes to “promote tourism, employment and economic development through the regulated operation of gambling activities”, alongside improving tax collection and fighting against the undercurrent of Sri Lanka’s black market while encouraging iGaming expansion.

The new regulator will function “as the sole independent regulator with a broad and overarching scope on operations in the gambling industry”, including online gaming and offshore gambling activities on ships in the port city of Colombo.

This includes issuing and renewing gaming licences, enforcing the guidelines associated with the licence and collecting tax revene.

As of yet, no Director-General or Chairperson has been named for the regulator. The board will be made up of the Secreatry of the Ministry of Finance, Commissioner General of Indland Revenue, Head of the Financial Intelligence United and the Inspector General of the Police.

Three extra members of the board with knowledge of gambling regulation will be appointed by the Finance Minsiter, one of which will then be appointed as Chair. The board will also select the regulator’s Director-General.

Anyone found offering, promoting or taking part in unlicensed gambling may be fined, sentenced to up to two years in prison, or both.

A new Macau?

Sri Lanka is already home to seven casinos, and one of the country’s latest additions has high hopes to turn the nation into a destination for gaming for its neighbours.

Upon the opening of the $1.2bn City of Dreams Sri Lanka project, Melco Resorts & Entertainment’s Chair, Lawrence Ho, set out his aspiration that “Sri Lanka can be to India what Macau is to China”.

“Macau is by far the biggest gaming market in the world. Colombo is the closest destination to India, and an integrated resort like this gives the city a lot of potential,” he told local media.

Macau’s gross gaming revenue topped $28.35bn, so even emulating this on a much smaller scale would represent a sharp financial boost for a country that is still looking to bounce back from an economic crisis that triggered a bailout from the International Monetary Fund in 2023.

Although Ho cited neighbouring India as a key target market, Sri Lanka may also hope to garner visitors from Thailand, where efforts to implement casino regulation hit a legislative brick wall due to significant political turmoil.

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ACMA hopeful self-exclusion figures will support BetStop review

The Australian Communications and Media Authority (ACMA) has stated that self-exclusion leads to improvement in quality of life, but it remains to be seen whether the figures carry the needed weight for a wider impact.

Results were showcased in an ACMA-commissioned report conducted by market research firm ORIMA between May and June, from a pool of 381 participants. Given that 12,876 participants were invited, the final sample size represented a 3% response rate.

Responses were taken from users who evaluated their experience with Australia’s national self-exclusion register BetStop. Results showed that four in five people (77%) who self-excluded themselves from online and phone wagering for a period of time witnessed an improvement in their overall quality of life.

A total of 79% of those 381 said they’ve experienced improved mental health, while 69% of the whole pool reported better relationships with friends, family, and partners.

What’s more, 81% of all surveyed said they’ve completely stopped betting on sports or racing events, while 15% reported a decrease in their betting activity after self-exclusion.

Carolyn Lidgerwood, ACMA member, said: “We know online gambling causes a great deal of harm for too many in our communities. It is wonderful to see that the national self-exclusion register is having a positive impact. The stories shared with us are both moving and compelling.

“We want to make sure everyone who uses phone or internet gambling in Australia is aware of their options for self-exclusion. It only takes five minutes to register, and this could change your life.”

BetStop has been operated by Dataworks Group on behalf of the ACMA since the register’s launch in August 2023. Under Australian law, the register became the subject of a statutory review after 12 months of operations, which is still ongoing.

The ACMA believes that the results will help inform the review in question, but again – whilst self-exclusion is in fact proven to help those suffering from problem gambling, it remains to be seen whether the report itself will have a significant impact on the review given its small sample size.

Tie-in with wider Australian reforms
There is currently another ongoing debate around gambling on the highest political level, quite fierce at that. It revolves around the implementation of the Murphy report – a series of recommendations laid out by the late Peta Murphy in a multi-party parliamentary inquiry into online gambling harm.

Whilst the BetStop statutory review is a separate matter, it is entirely possible that the actions of current Australian PM Anthony Albanese’s cabinet in regards to the Murphy report will also reverberate over to the self-exclusion registry.

As there’s currently no single national gambling regulator in Australia – gambling matters are usually handled either by the ACMA for media complaints/violations and AUSTRAC for anti-money laundering obligations, the Murphy report supported the creation of a national body to end the fragmented governance of Australian gambling, spread across six territorial states.

Within its 31 recommendations, the report suggested the creation of a single national regulator that would supervise all gambling-related licensing, advertising, data collection, penalty enforcement and harm prevention initiatives such as BetStop.

Research, treatment and education funding has also been touched upon in the report, with Murphy suggesting a levy for online wagering service providers that would secure a constant finance stream for gambling harm infrastructure – potentially supporting BetStop’s operations as well.

Albanese himself has recently found himself under significant pressure by the opposition, which has accused him of delaying the report’s implementation in the interest of the gambling sector.

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