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Pokies: An anti-gambling group’s fight for sinking-lid policies

Funding sources

Amidst the backdrop of community funding debates, a quiet battle has been unfolding in New Zealand’s courtrooms. An anti-gambling lobby group, Feed Families Not Pokies Aotearoa, has been doggedly pursuing legal avenues to reduce the prevalence of pokie machines around the country, aiming to shrink their presence. The group has celebrated a significant victory in the Court of Appeal.

The case revolves around what they allege is a loophole: the Department of Internal Affairs (DIA) permitting Class 4 gaming machines to be relocated to new premises through a workaround that bypasses local councils’ bylaws, a policy termed the “sinking lid” policy. This policy is meant to reduce the number of machines and is meant to ensure that, when a license expires, that number is reduced as part of any new application.

According to David Hay, the chairperson of Feed Families Not Pokies Aotearoa, this practice has rendered local councils’ sinking lid policies largely ineffective for decades. “These relocations are undermining the very policies communities have put in place to address the harms of gambling,” Mr. Hay said in a recent interview.

Mr. Hay, previously involved in pokie policies, explained how, under the Gambling Act 2003, every local authority must have a policy on Class 4 venues, reviewing it every three years. However, this relocation workaround has allowed gaming machine operators to circumvent the intended consequences of these policies. The Court of Appeal decision confirmed that the DIA was complicit in gaming relocation permits.

According to court documents, in 22 of 24 relocations tested, at least 18 pokie machines remained active for each venue.

Another case working its way through the courts challenges the DIA’s extension of licenses beyond their legal time frame, further undermining local councils’ policies.

The use of a 2013 precedent set by the Waikawa Taven in Invercargill case to facilitate pokie relocation, has prompted Feed Families Not Pokies to fight this in the courts.

According to Feed Families Not Pokies, this led to DIA, in a document they found, saying the precedence can stand, even alongside other amended acts, if the word relocation is disregarded. They presented this to the judge when going to the high court.

According to the chair person, there were 36 applications to permit relocated gaming machines. 25 of these were granted. 24 were in conflict with sink-lid policies and 22 of those were for venues with 18 gaming machines.

Supporters of pokies argue that the gaming machine provide funding for community services, which may be impacted.

The chairperson has said, however, that there are “better ways” of funding these sorts of community events.

Mr. Hay argues that pokies disproportionately target poorer communities, causing more harm than any other form of gambling.