PM defends gambling ad curbs, ASX stocks react

The prime minister defended his proposed online gambling ad reforms as exceeding the recommendations of a Labor-led report that called for a total ban. His plan would impose a phased total ban on online gambling ads over three years, a step further than the report's framework, he said.

ASX-listed gambling companies moved higher on the news. Investors had braced for tougher measures, including mandatory pre-commitment systems or credit card bans. Neither appeared in the government's proposal. The reforms target advertising, not operator licensing or customer limits.

Sports broadcasters face a different outcome. Seven West Media flagged a revenue hit of up to $42 million per year if the ad ban takes full effect. That is roughly 10% of group revenue, the company said in a market filing. Seven shares fell after the announcement.

The prime minister said he was "not against a punt", softening the tone of the policy. The reforms will be introduced through legislation later this year. A parliamentary committee is expected to examine the bill before a vote.

Analysts described the outcome as a relief for Tabcorp and other wagering operators. The feared crackdown on player spending did not materialise. Instead, the burden falls mainly on broadcasters, which rely on gambling ad revenue during live sports.

The changes could accelerate a shift already underway. Sports bodies have begun signing direct sponsorship deals with betting companies, bypassing traditional TV slots. That trend may continue if the ad ban pushes spending into other formats.

For now, the market reads the policy as balanced. Gambling stocks held their gains through the session. Seven West Media remained under pressure, down more than 5% by the close.