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New South Wales to Crack Down on Influencer Gambling Sponsorships
Hospitality and Racing Deputy Secretary Tarek Barakat said such gambling sponsorships could increase the risk of gambling harm by blurring the line between entertainment and marketing
Liquor & Gaming New South Wales, the gambling regulator in the Australian state, outlined its plans to regulate social media influencers who have ties and sponsorship to gambling entities.
NSW Regulator to Crack Down on Influencers Promoting Gambling
Hospitality and Racing Deputy Secretary Tarek Barakat said that with the rise of social media influencers promoting gambling, it was important for businesses, including online bookmakers and gaming machine operators, to understand the law and their responsibilities. Barakat stated that gambling operators were being put on notice that a key priority for this year would be examining their marketing and customer-retention practices. This also includes the use of social media personalities for promotion.
Barakat said operators should be cautious about any affiliate or partnership arrangements, as they would be held responsible for the advertising of their products. He explained that authorities were targeting practices such as paid and unpaid promotional partnerships with wagering and gaming machine operators. Influencer content that normalises betting behaviour or glamorises gaming products, and the use of such platforms, will also come under scrutiny.
Barakat added that these practices could increase the risk of gambling harm by blurring the line between entertainment and marketing and by exposing at-risk groups to persuasive promotional content. He also said that Liquor & Gaming NSW would require social media content creators to demonstrate that their social media and website content complied with legal requirements.
Gambling Influencers Operate In a Gray Area
Under the Betting and Racing Act 1998 (NSW), advertisements that offer inducements to gamble are prohibited. The law also bans any content that is false, misleading, or deceptive, including claims or suggestions that participating in gambling will guarantee a win.
Operators are further restricted from implying that gambling can be used as a way to generate financial gain. Companies that breach these rules can face fines of up to AUD 110,000 (about $77,000), while social media influencers involved in such promotions may be fined up to AUD 11,000 (about $7,700).
The regulations extend beyond the promotion of bonuses or special offers. For example, influencers who film themselves gambling at venues and share this content on social media may also be found in violation of state legislation and could face the same penalties.
Social media is only one of the areas that Barakat plans to address as part of his regulatory responsibilities in 2026. He added that other key priorities include reviewing operators’ marketing practices across both direct and indirect advertising. Furthermore, Barakat aims at strengthening casino governance and integrity measures, assessing VIP and loyalty programmes, and examining the obstacles players may encounter when attempting to close their gambling accounts.
In other gambling news regarding New South Wales, this week, police arrested a man suspected of committing various offenses related to gambling fraud. The suspect has allegedly stolen around AUD 14.8 million ($10.5 million) from businesses and trust funds to fuel his gambling habit.
Stefan Velikov is an accomplished iGaming writer and journalist specializing in esports, regulatory developments, and industry innovations. With over five years of extensive writing experience, he has contributed to various publications, continuously refining his craft and expertise in the field.