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Labor's Gambling Reform Bill Faces Major Rewrite as Senate Support Slips

August 6th 2026, 1:16pm, By: Heath Chick

The Albanese Government's proposed gambling reforms are facing an uncertain future after opposition from the Coalition, Greens and key crossbench senators left the legislation without a clear path through Parliament.

The Interactive Gambling Amendment (Gambling Reform) Bill 2026, introduced in July, is currently before a Senate inquiry due to report later this month. While the government says the legislation represents a significant step towards reducing gambling harm, critics from across the political spectrum argue it does not go far enough.

The growing pressure follows this week's Senate inquiry hearings, where former NRL player Luke Bateman made serious allegations about VIP gambling practices, including claims he was offered illicit drugs while being encouraged to continue betting. Gambling reform advocate Tim Costello also raised allegations about the treatment of another high-value customer. Sportsbet and Tabcorp have denied the allegations and said they would investigate if provided with evidence.

Rare political agreement

One of the most striking developments has been the unusual alignment between the Coalition and the Greens.

Although the two parties disagree on many issues, both have indicated they cannot support Labor's legislation in its current form. Their criticisms differ in emphasis, but both argue the package leaves important gaps in Australia's gambling advertising and consumer protection framework.

The Greens continue to push for reforms closer to the recommendations made in the Murphy Review, including significantly stronger advertising restrictions and tighter controls on inducements.

Meanwhile, Coalition communications spokeswoman Sarah Henderson has argued the legislation fails to adequately address betting inducements and still allows gambling advertising in situations where children may be exposed.

With key crossbench senators also seeking stronger measures, Communications Minister Anika Wells is now reportedly considering amendments in an effort to secure enough support for the legislation.

What the current bill would do

The government's proposal includes several significant reforms designed to reduce exposure to online gambling advertising and strengthen consumer protections.

Among the measures are:

- Restrictions on gambling advertising during live sport and in sporting venues.
- New limits on online gambling advertising.
- A ban on gambling companies using influencers, celebrities and other notable figures in sponsored promotional content.
- Measures to strengthen BetStop, Australia's national self-exclusion register.
- Increased enforcement against illegal offshore gambling services.

However, critics argue the package falls well short of the broader reforms recommended by the Murphy Review.

Inducements have become the new battleground

While gambling advertising has dominated the public debate for the past two years, this week's inquiry shifted attention toward bookmaker VIP programs and customer inducements.

Evidence presented during the hearings has intensified calls for tighter regulation of incentives offered to high-value customers, although the allegations remain contested and have not been proven.

If the legislation is strengthened during negotiations, inducements could become one of the biggest areas of change.

Potential areas that may attract greater scrutiny include:

- VIP account management programs.
- Bonus bets and promotional incentives.
- Hospitality and event invitations.
- Affordability checks for high-value customers.
- Internal responsible gambling escalation procedures.

Exactly which measures might ultimately be adopted remains uncertain while negotiations continue.

What it could mean for bookmakers

For Australia's licensed bookmakers, the outcome of negotiations could influence how they acquire and retain customers over the coming years.

A stronger bill could reduce the range of promotional tools available, place greater obligations on VIP management programs and increase compliance requirements around advertising and customer engagement.

Industry groups have also warned that excessive restrictions could encourage some consumers to migrate toward unlicensed offshore operators that are not subject to Australian consumer protection laws.

What it could mean for BYB readers

For punters, any changes are unlikely to affect the availability of fixed-odds betting itself.

Instead, the biggest impacts are more likely to involve how betting products are advertised and promoted, particularly around live sport, social media and VIP customer programs.

If the bill is amended before passing Parliament, readers could also see changes to how bookmakers present offers, interact with customers and promote wagering products online.

What's next?

The Senate inquiry into the legislation is due to report later this month, after which the government will decide whether to amend the bill before attempting to pass it through Parliament.

With the Coalition, Greens and several crossbench senators all calling for changes, Labor appears likely to face a choice between substantially revising the legislation or risking the package stalling altogether.

For Australia's wagering industry, bookmakers and betting affiliates, the coming weeks could shape the biggest regulatory changes to gambling advertising and promotions in years.

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