Australian Lottery Giant Backs Gambling Bill Targeting Foreign-Matched Lotteries

The Lottery Corporation, Australia’s dominant provider of licensed lottery products, has voiced its support for the Albanese government’s gambling reform bill, backing measures that would force foreign-matched lottery services and certain rewards-club promotions out of the market.Wayne Pickup, the company’s managing director and CEO, was giving evidence to the Senate Environment and Communications Legislation Committee, which is considering the Interactive Gambling Amendment (Gambling Reform) Bill 2026.The bill includes sweeping restrictions on wagering advertising, but also proposes banning online “foreign matched” lotteries and keno-style products, as well as tightening an exemption that has allowed some subscription businesses to run lottery-like promotions.The Lottery Corporation operates, under licences issued by state and territory governments, a range of lottery brands including Powerball, Oz Lotto, TattsLotto, Gold Lotto, X Lotto, Weekday Windfall, Instant Scratch-Its, Set for Life and Lucky Lotteries. It also runs online Keno, which would be outlawed by the bill.While expressing his company’s support for the bill, Pickup said its concern was “not one of competition,” noting the reforms would also ban one of the Lottery Corporation’s own products—online Keno.“Our concern is consistency. Consistency means that a product sold to Australians as a lottery should carry the obligations of a lottery. Australia’s lottery market is regulated by design to protect consumers, to safeguard integrity, and to return money to the community,” he said.“A licenced lottery operator carries real obligations: responsible gaming, security, auditing, probity, guaranteed prize funding, and public returns. That is the price of a licence, and it is why people trust a lottery ticket.”No Customer Protection in Offshore LotteriesIn contrast, a foreign lottery—offered by online operators licensed in the Northern Territory—has no such safeguards, he said. Examples include U.S. Powerball, U.S. Mega Millions and EuroMillions.“Here is what they [Australian customers] are not told. They are not told which U.S. state the ticket was bought in. They are not told who holds the ticket. Keep in mind, the Australian is not the owner of the ticket, and that matters greatly,” Pickup said.The CEO also highlighted the risks associated with prize payouts when Australian customers win foreign lotteries.“The advertised jackpot in the United States is a 30-year annuity. U.S. federal and state taxes come out before the money is collected, and every state taxes differently, which rules apply depends on where the ticket was bought, and the customer is never told,” he said.“And the terms are explicit: there is no obligation to pay the Australian customer. No Australian has ever collected a first division jackpot with this model—that is when the model will be truly tested.”The Lottery Corporation levelled a similar complaint at rewards-club trade promotions, which it said could resemble public lottery products while relying on rules originally designed to promote genuine goods and services.Where entry was driven mainly by membership fees or subscriptions, it argued, there were legitimate questions about whether the usual protections and community returns still applied.The Committee is due to report on Aug. 17, with several members signalling they believe the bill does not go far enough. If passed, the reforms are scheduled to take effect from Jan. 1, 2027.In 2024, a group of prominent Australians called for a total ban on gambling advertising by 2027. Among the 60 signatories to the open letter were former prime ministers, state premiers, serving MPs and senators, and people with backgrounds in unions, sports and faith.A year later the Albanese government promised action on the issue but stopped short of agreeing to a complete ban.A 2025 study by the Australia Institute found nearly one in three children aged 12 to 17 had gambled, with the proportion rising to almost half among those aged 18 to 19.