Page: 2646
Ms HAY: My question without notice is to the Minister for Gaming and Racing. What is the Government's response to community concerns about the United Kingdom betting operation known as Betfair?
Mr McBRIDE: I have been concerned for some time about the operation of betting exchanges in Australia, in particular the Betfair model from Britain. I believe this type of betting poses a great risk to both punters and the racing industry. Currently we have access to what is arguably one of the best and safest wagering services in the world. The Carr Labor Government has worked hard to maintain the integrity of betting in New South Wales. We have a system that is internationally acclaimed. I am not convinced that betting exchanges, like the United Kingdom-based Betfair operation, is in a position to match the high standards set by the New South Wales wagering system. I have concerns about granting potential operators a license in Australia.
I am also concerned that betting exchanges will not contribute significantly to the New South Wales racing industry. They could undermine its integrity and reduce revenue. Betting exchanges make little, or no, contribution to the local racing industry. In turn, this will affect the number of jobs and services provided to New South Wales punters by our local racing industry. Currently, 50,000 people are employed in the New South Wales racing industry and, as Minister, I want to see it grow and improve, not suffer. I am not the first Minister to express reservations about betting exchanges. My colleagues in France, Hong Kong, Japan, the United States of America, Denmark and the Netherlands have concerns about betting exchanges.
The United Kingdom has been the only country to embrace such exchanges, but many there are now starting to have second thoughts. Betting revenue for this year in the United Kingdom is forecast to fall significantly. I will discuss my views with my State counterparts when the report from the interstate task force is released. We need a united approach to ensure that we send a clear message to potential operators that their financial interests will not come ahead of our industry in New South Wales. I stress also that the Government will not endorse any proposal that would result in a major expansion of gambling in New South Wales. As Minister I will consult the community and industry groups before considering any major change to wagering in New South Wales.