New legislation is reportedly rapidly being written by the Tasmanian Government to ban lottery betting on the island state off Australia’s south coast.

In what has been reported as a move to protect the $30 million in lottery taxes the Tasmanian Government receives annually and the livelihood of some 92 registered retailers of TattsLotto tickets, the executive authority of the island state looks to join Western Australia and New South Wales in the sprint to outlaw lottery betting sites.

Local newspaper The Mercury reports the decision by the Government to write legislation banning online synthetic lotteries, such as digital competitor Lottoland, was applauded by newsagents. According to reports, the majority of Tasmania’s 92 outlets that are registered to provide lottery sales are newsagencies.

Also known as synthetic lotteries, lottery outcome betting is an online gambling model where rather than purchasing lottery tickets, players bet on an official lottery’s outcome.

Ben Kearney, Australian Lottery and Newsagents Association Tasmanian General Manager, reportedly said there was widespread concern by the sector regarding the rapid increase of online bookmakers and their effort to gain customers from registered lotteries already in place.

However, CEO of Lottoland, Nigel Birrell, says that there isn’t any evidence that they are significantly impacting sales in Australia or Europe. “For example, in Australia, Lottoland accounts for less than 1% of Tatts’ overall revenue. In the United Kingdom, both the Government (DCMS) and the Gambling Commission have both publically stated that there is no evidence to suggest that Lottoland is having an impact on the National Lottery or Good Causes – our sales account for less than 0.1% of Camelot’s revenues,” Birrell said.

Rather than hastily banning the business, operator Lottoland says, a point of consumption tax on the lottery business should be introduced by the Government.

The Mercury reports that Lottoland’s Australian Chief Executive Luke Brill said, “Over the next five years we estimate we will pay taxes in the realm of $50 million across Australia, some of which could flow back to Tasmania.”

Brill further stated, “Lottoland want to make a long-term contribution to the state and its people and is calling on the Government to introduce a tax framework that makes this possible.”

According to the report, about 800 Tasmanians are active users of synthetic lotteries.

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