TV networks, worried about lost revenue if a gambling advertising ban is implemented, have reportedly met with communications minister Michelle Rowland to ask that spectrum fees be eliminated.
According to the Australian Financial Review (AFR), the government has proposed extending a ban on gambling advertising to an hour before and after live sport, introducing a cap of two ads per hour on free-to-air TV until 10pm, and a blanket ban on ads on social networks and other digital platforms.
The AFR also reported that media networks, along with major sporting codes and gambling companies, met with Rowland’s office late last week and signed non-disclosure agreements.
Spectrum fees, introduced in 2017 to replace broadcast licence fees, are charged by the government for the use of frequency spectrum for commercial broadcasting.
In a document released at the time of its introduction, the Department of the Communications and the Arts said that commercial broadcasters had up until that point been paying a "very small amount" compared to the value of the spectrum they actually use – about $75,000 per year.
"Under the Commercial Broadcasting (Tax) Act 2017, broadcasters will pay for the spectrum they use at a level more reflective of its value. The broadcasters will pay for each spectrum transmitter they use. Higher value transmitters will attract a higher fee," the paper said.
"In total, the sector will pay around $40 million per year for spectrum use."
A gambling advertising ban has long been in the works, with a federal parliamentary inquiry last year recommending a phased ban over three years on advertising urging gamblers to place bets.
Industry body Free TV hit back at any further restrictions, saying that such moves would have a "significant impact on the revenue" of free-to-air broadcasters.
"The revenue from gambling advertising currently funds the production of trusted news, live and free sport and local entertainment and drama programming," said Free TV CEO Bridget Fair.
The IAB similarly expressed hesitation, as did Commercial Radio & Audio.
Research from the ACMA found that two-thirds (68%) of spend by gambling advertisers was on free-to-air TV markets ($133m on metro and $29m on regional) between May 2022 and April 2023.
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