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Australia – Victorian Gambling Commission cracks down on club sponsorship deals

By - 1 September 2023

The Victorian Gambling and Casino Control Commission (VGCCC) is aware that some online wagering providers are entering into sponsorship agreements with sporting clubs to induce their members to create accounts with the provider by linking financial incentives to each member of the club that signs up. Clubs are sometimes given additional incentives based on the spend by their members.

The VGCCC demands wagering service providers cease promoting their products in this manner as they may be in breach of legislation by doing so, in addition to being inconsistent with their social license to minimize harm.

Under Section 4.7.10 of the Gambling Regulation Act 2003, providers are prohibited from offering any credit, voucher, reward, or other benefit as an incentive to open an account or refer another person to open an account.

The Commission stated: “The VGCCC doesn’t just hold gambling providers to the minimum letter of the law – but their social license as well. Sporting clubs need to be mindful of community expectations around incentivizing members, and potentially junior members, to gamble. We encourage sporting clubs to refrain from entering into such sponsorship deals which may harm members and may constitute illegal behavior by the wagering provider.”

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