Australian Penthouse

Despite the economy, casinos continue to profit. So when will our government wake up to regulation, asks James Potter?

This tough economic climate has heralded an interesting time for Australia’s poker industry. There are a few markets that flourish in difficult times while otherwise solid businesses flounder: alcohol and cigarette sales go through the roof as consumers look for short-term pleasures, and the gaming industry cashes in on people looking to make a quick buck (as happened during the Great Depression, when governments legalised and encouraged some forms of gambling to stimulate the sluggish economy).

Today, politicians publicly condemn the social ills of gambling while secretly embracing it for the massive revenue earner that it is. Poker, however, is in a class of its own, in that it doesn’t generate income for the Australian Government (apart from the taxation it receives from casinos).

So, until the government finds a way to get its hands on some of the loot, poker sits on a knife-edge. It could also become an easy target because it’s not entrenched in society in the same way as horse racing or slot machines.

Pub poker has been both a blessing and curse; the operators make money through ‘entertaining people’ via a game resembling poker. I have no problem with this, but let’s cut the bullshit and call a spade a spade: these operators are trying to make money, not further the game of poker. The laws are different from state to state, and people will continue to push the boundaries where they can. But it won’t be long before the government works out a way to regulate and make cash from pub poker as a gaming activity. Either that or they’ll shut it down completely.

The grey area suits everyone at the moment; the government doesn’t have to think of the regulation implications of taxing the industry, and the operators can continue with their high-profit ventures with tightly crossed fingers.

However, if regulation is imposed, then casinos will begin to feel the pinch, and nobody is quite ready to rock that boat just yet.

Internet poker is another difficult area. Firstly, the government hates it because it doesn’t make money from it, and can’t yet figure out how it might. Secondly, do-gooders find it an easy mark by suggesting that there are hordes of porn- and gambling-addicted 14 year olds ruining their lives in front of the screen. The reality is that sites such as 888poker.com provide adults the freedom to play the game they love from the comfort of their homes in an industry-regulated environment. It will be very interesting to see how the government approaches this sleeping giant in the future.

Undoubtedly, poker will continue to thrive in casinos; our gaming meccas are well regulated, professionally run, and offer the public a safe, controlled environment. Let’s face it, people will always gamble, so the government should control and tax it, because it creates jobs and provides a service to the vast majority of voters who enjoy a flutter. Casinos are not all about poker, but they have certainly created a home for the game.

We have some of the best casinos on Earth, such as Melbourne’s Crown Casino—truly a world-class complex. People go to these places to socialise and enjoy themselves, not just gamble. Some minority groups preach that we shouldn’t be allowed to gamble; I find it abhorrent that a bunch of strangers should want to dictate what we should or shouldn’t do. Poker is a skills-based game where good players can make good money.

I believe regulation will help poker grow in Australia. You need only look at the sport and racing industries, where things have never been better for the average punter. The TAB was forced to fight for its dollars when licensed bookmakers were given the green light to attack markets that were traditionally out of their reach. What did that mean for you and me? Better service, better prices, and a competitive market place that is fair for everyone. As poker players and consumers, we hope the government will be proactive and choose to make the game better for everyone.

Related articles

• Interview: Jonathan Karamalikis, Aussie poker star
• Pet Project
• Patriotic Poker
• Poker… Blow up the Pokies
• Poker… 21 Again