Playing with the pokies

We love to gamble, although we might prefer to call it a flutter.

That sounds so innocuous.

A flutter on the horses, a raffle ticket, a dream about winning millions on Lotto, or maybe a visit to the casino.

It is all good fun, until it isn’t.

And maybe because gambling is so pervasive in our society, much like alcohol, we do not talk much about its harm.

A high-profile case such as that involving former All Black Zac Guildford might capture our attention momentarily.

In passing, we might feel sorry for him and his family and wonder about how he got to that place. But then we move on.

Data released by the Department of Internal Affairs shows spending on all types of gambling increased in the 2020-21 financial year by almost 17 percent from the previous year, totalling $2.625billion, the highest it has been in five years.

The Problem Gambling Foundation says this spending amounts to $730 for every adult in the country.

Spending on the pokies (electronic gaming machines), outside casinos, increased by 23% from the previous year to a staggering $987 million.

The Government’s consultation document out this month, Reducing Pokies Harm, includes some bleak facts about the damage being caused by what is our most harmful form of gambling.

One in five pokie players are considered at-risk gamblers. As at last September, there were 14,704 pokies, in 1051 venues.

Kiwis spent $978 million on pokies in the 2020-21 financial year. ODT FILES
Kiwis spent $978 million on pokies in the 2020-21 financial year. ODT FILES
There are limits to how many machines a bar can have, between nine and 18, and local authorities must have policies on where they are and may place restrictions on the numbers.

They can impose caps on the number of pubs, clubs and TABs where pokies are allowed, or adopt a sinking lid policy whereby once a venue with pokies closes, they will not issue anyone else a licence to replace that venue.

This has had some impact, with numbers of pokies reduced from a high of more than 25,000 in mid-2003.

Whether that is enough is arguable, and the consultation document does not enter into that argument as any changes in this area would presumably require changes to the Gambling Act which are out of scope.

The Government is arguing that beefing up harm minimisation regulations from next year is the fastest way to effect change.

Some may seek to justify the ubiquity of pokies on the grounds the owners of the machines are required to return at least 40% of their profit to the community.

However, the consultation document says this community funding system is widely regarded as inequitable.

Much of the community funding comes from gambling losses in the poorest neighbourhoods and from people experiencing gambling harm.

Also, community funding from pokies does not always go back to the areas where the money was lost from gambling.

The document says these systemic issues are to be addressed in further work on the gambling system but for now the focus is on the best way to reduce gambling harm in pubs and clubs.

The options given in the consultation document for measures include better identification of problem gamblers, improved record-keeping, increased staff training, changes to machines designed to limit harm and possible new penalties.

It is difficult not to be sceptical about how adequately any resulting changes might be monitored, particularly given recent media coverage of what appeared to be a lack of action from the Internal Affairs Department over ongoing issues at the country’s biggest casino, Sky City. If such an organisation can get away with breaking the rules, what does that say to smaller players?

We need to talk about gambling.

We need to decide if the odds are stacked so far against problem gamblers and their families whether tinkering with the existing gambling set-up will achieve enough.

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