NSW's ‘cashless poker machine’ experiment collapses over distrust
A 12-month trial of cashless poker machines in New South Wales, also known as NSW, has been labelled a failure after attracting very few users. However, officials say the experience has still provided essential lessons as the state weighs up future gambling reforms.
The trial, conducted across nearly 2,500 machines in pubs and clubs, was expanded from an initial 500 machines but drew limited interest from patrons. Of the 243 people who registered, only 14 became regular active users.
“The numbers were not what we wanted, but the trial has given us real insight into community concerns,”
– Chris Minns, Premier of NSW
Premier Chris Minns was blunt in his assessment, calling the initiative ‘largely ineffective’, while Gaming Minister David Harris acknowledged public reluctance to embrace the system. He argued that a lack of trust in governments, coupled with concerns about privacy when handing over personal details, discouraged many punters from participating.
Trust and privacy concerns
Customers have often expressed concerns that using the technology could expose them to increased monitoring and compromise their anonymity. Harris admitted these worries had created barriers but stressed that understanding them was crucial for shaping future reforms.
An independent panel set up to review the trial also suggested that “cashless gaming” may have been poorly branded. It recommended shifting the language to “account-based gaming”, which it said better captured the technology’s intent and could soften resistance among players.
The panel’s report, released nine months ago, advised the government to move towards account-based systems with a phased rollout beginning in 2027 and full adoption by 2028. It argued such a system would be vital for tackling money laundering while also providing tools to minimise gambling harm.
Other policy options are already in play. Since July 2023, withdrawal limits on gaming machines have been slashed from AU$5,000 (€3,050) to AU$500 (€305) across nearly half of venues. The government is also considering facial recognition technology to detect criminal behaviour in gambling establishments.
Harris said industry consultation is ongoing, but the state Cabinet will determine any final path. He stressed the need to balance technology adoption, economic consequences for regional venues, and regulatory enforcement.
Slow adoption draws critique
The slow pace of reform has drawn criticism. Opposition gambling spokesman Kevin Anderson branded the process a shambles and described the trial as ‘an A-grade flop’. He said the government’s failure to respond formally to the panel’s roadmap after nine months showed a lack of commitment.
Harm-reduction advocates also warn that delays are leaving problem gamblers exposed to risks that stronger safeguards could already be addressing. Harris has resisted committing to a pre-election timeline, saying the government will take a cautious approach to ensure reforms are workable and effective.
For now, the future of cashless or account-based gaming remains unclear. The government insists it is committed to reform, but technological change, industry pressures, and social responsibility remain. With public trust fragile, opponents critical, and the Cabinet yet to make a decision, the debate over poker machine reform in New South Wales is set to intensify in the years ahead.
