RWA warns NT tax hike risks undermining investor confidence in wagering sector
Online wagering industry criticises lack of consultation ahead of cap increase as Racing Review remains incomplete.
Key points:
– The Northern Territory Government has doubled the annual bookmaker tax cap for licensed online wagering providers
– Responsible Wagering Australia (RWA) says the move could damage the NT’s reputation as a stable licensing hub
– RWA highlights $150m in FY23 industry contributions to the NT economy and calls for consultation
Responsible Wagering Australia (RWA) has criticised the Northern Territory Government’s decision to double the annual tax cap on licensed online Wagering Service Providers (WSPs), warning the measure could threaten investor confidence and undercut the Territory’s position as a wagering licensing jurisdiction.
The tax increase was announced as part of the Northern Territory’s 2025–26 Budget. RWA says the move was made without industry consultation and ahead of the final report of the government’s own Racing Industry Review – a review intended to guide long-term financial and regulatory settings for the sector.
RWA CEO Kai Cantwell said: “This decision, made before the Review has had a chance to lay that strategic vision, has blindsided WSPs and materially undermines any outcome of the Review.”
Figures from FY23 indicate the Australian-licensed online wagering sector contributed over $150m to the NT economy. This included $47.7m in taxes and levies, $46m in local wages and $2.5m in direct product fees to the Territory’s racing industry.
Good to know: RWA noted that approximately 600 Territorians are directly employed in high-skilled roles by WSPs headquartered in the NT, with the total workforce rising to over 1,000 when factoring in all licensees
The announcement mirrors earlier concerns raised by RWA in Queensland, where the government initiated its own Racing Industry Review amid concerns that higher taxation had reduced wagering activity and jeopardised long-term sector viability.
RWA has repeatedly cautioned against excessive taxation across jurisdictions, arguing that it can deter investment, reduce wagering activity and lead to lower funding for racing and community programmes.
The organisation has also raised concerns about the rise of illegal offshore operators as a consequence of over-regulation.
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