Northern Territory Bill Proposes Ban on Gambling Inducements and VIP Schemes

Legislation Targets Player Incentives

Independent Member of the Legislative Assembly (MLA) Justine Davis is introducing a bill in the Northern Territory that seeks to ban gambling inducements and VIP schemes. The legislation, scheduled for introduction in Parliament on Wednesday, 21 October 2026, also imposes age-based deposit limits and significantly increases penalties for non-compliance.

The primary focus of the bill is the restriction of player incentives. It specifically targets bonus and VIP schemes, which are commonly used by operators to attract and retain customers. In addition to banning these inducements, the legislation introduces monthly deposit limits for younger adults. Players aged 18 to 21 would be limited to AU$500 per month, while those aged 21 to 24 would face a limit of AU$1,000.

Penalty Ceiling Jumps to $10 Million

A critical component of the proposed legislation is a substantial increase in disciplinary penalties for operators who fail to adhere to the new rules. Currently, the ceiling for disciplinary penalties in the Northern Territory is $194,000. The bill would raise this maximum penalty to $10 million.

The legislation also proposes an alternative penalty structure based on the operator’s financial size. Under this provision, the maximum penalty could reach 10% of an operator’s annual revenue. These financial measures are intended to ensure strict enforcement of the new restrictions on marketing and deposit limits.

Federal Context and the Murphy Report

The introduction of the Northern Territory bill follows federal reforms introduced by Australia’s Labor government in August. Prime Minister Anthony Albanese’s administration implemented stricter marketing rules, including a whistle-to-whistle advertising ban and restrictions on sports sponsorship. However, critics have argued that the federal reform package does not fully align with the recommendations of the 2023 Murphy report, authored by the late Labor MP Peta Murphy.

The Murphy report called for a complete ban on gambling advertisements and the establishment of a new regulator. In response to the proposed state-level changes, Davis stated, “We now are in a real position where we can actually show some leadership in the Northern Territory and say, ‘Here’s some simple changes that we can make.’” She added that the measures are targeted at harm reduction rather than prohibition, noting, “The changes are not going to stop gambling, but they are going to prevent harm being done to people, both here in the Territory and across Australia.”

Political and Advocacy Support

The bill has attracted support from a broad coalition of advocacy groups. Thirty-three advocacy groups and leaders have co-signed an open letter supporting the legislation. In the political arena, Shadow Racing Minister Chansey Paech reportedly told Davis that the Labor party will support the bill.

The legislation applies to the online betting market in the Northern Territory, where 50 online bookmakers are currently licensed. Major brands operating in the Australian market, including bet365, SportsBet, and Ladbrokes, are among the top four biggest brands as ranked by Blask. The bill’s provisions on inducements and deposit limits will directly impact these operators’ marketing strategies and customer engagement programs in the jurisdiction.