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NSW Government Mandates Facial Recognition Technology and Bans VIP Gaming Programs in Poker Machine Reforms

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NSW Government Mandates Facial Recognition Technology and Bans VIP Gaming Programs in Poker Machine Reforms

TL;DR — NSW will require facial recognition at gaming rooms and launch a statewide exclusion register in 2028, alongside a VIP gaming ban and higher machine forfeiture rates. The reforms respond to the 2024 survey showing 3.1% moderate-risk and 0.9% high-risk gambling rates, funded by AU$95.2 million from harm minimisation sources and fee increases.

SCCG Take — Operators must budget for technology upgrades and tighter marketing rules as machine numbers fall, shifting focus from volume to compliance in a more controlled NSW market.

The NSW state government has announced gaming reforms requiring all pubs and clubs to install mandatory facial recognition technology at gaming room entrances and banning VIP programs related to gaming. The package also creates a statewide exclusion register, raises the forfeiture rate on machines taken out of circulation, and prohibits unsolicited direct marketing.

The measures target harm minimisation. The NSW Gambling Survey 2024 found 3.1% of the state’s adult population experiences moderate risk gambling and 0.9% high risk gambling.

Facial Recognition and Statewide Exclusion Register

The government noted that current voluntary self-exclusion agreements are enforced by individual venues. The new NSW Statewide Exclusion Register will replace this with a single framework backed by mandatory facial recognition technology, so exclusions apply across venues. Both the register and the technology launch in 2028.

The Centralised Monitoring System will receive upgrades over the next two years to enable account-based play. Reforms will also ban gambling advertising on government and council assets, require express consent for direct marketing calls, emails or texts, and impose transparency requirements on affiliates and influencers.

Machine Reductions, Funding and Industry Support

The changes will reduce the 87,000 gaming machines operating across 2,100 clubs and hotels. The forfeiture rate on traded entitlements rises from one in three to one in two, with a new sinking cap accelerating the decline in the statewide total.

AU$95.2 million will be invested over four years, sourced from remaining funds in the state’s AU$100 million gambling harm minimisation fund plus higher licence fees. David Harris, Minister for Gaming and Racing, said these are “common sense reforms that have been developed alongside industry, harm minimisation groups, stakeholders and privacy experts to address gambling harm while supporting the industry and protecting the livelihoods of the many people it employs.” He added: “Our government will continually explore and implement emerging technology to ensure NSW has the most up-to-date safety measures available built into our gambling industry.” As reported by Inside Asian Gaming, the reforms combine new technology, stronger exclusion tools, strengthened regulation and increased funding for harm reduction.

Reporting: Inside Asian Gaming

Generated by SCCG’s automated editorial system from published source reporting. SCCG Management holds editorial responsibility.

Steve’s read · SCCG Intelligence

This is the new baseline for land-based gaming: compliance infrastructure isn't optional, it's the cost of market access.

We've partnered across every regulated market and watched tech mandates reshape ops. NSW is leapfrogging voluntary models with forced biometrics and unified exclusions — clubs and hotels face capex spikes, tighter marketing rails, and shrinking machine counts. Operators who treat this as a compliance box-tick will hemorrhage efficiency.

SCCG angle: SCCG connects operators to the compliance tech stack — biometric vendors, CMS integrators, responsible gaming platforms — and the legal and policy advisors who've navigated phased rollouts in 30+ markets. We help you budget, build, and stay ahead of the 2028 line without guessing.

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