One of the benefits of being an operator in New Zealand’s online gambling market is that you can rest assured that your profits are going to a good cause. This is because the country’s gambling laws dictate the gaming clubs and operators must donate a portion of their profits to not-for-profit organizations and charities across the country. These charities include sports organizations, arts programs, health and education programs, contributing to an enriched, healthy and educated society.
In New Zealand, gaming clubs and operators must provide 7% of their profits to local charities. As such those that rake in more money from slots are able to spend more money on betting the local community with arts, education and social programs.
For example, one of the most profitable clubs in New Zealand is the Lion Foundation. In 2011, the club operator donated $53 million to local charities. The most money was awarded to sports organizations, which received $20 million in funding while other social programs received $16 million. Since the Lion Foundation was founded in 1985, it has paid out over £590 million to charities across New Zealand.
Another example of this is Pub Charity. This organization allocates funds from gaming club operators to local charities. In 2011, Pub Charity provided community programs across New Zealand with $24 million, gathered from the profits of club owners. Sports clubs and community programs received $7 million while health and education received $3 million and $4 million, respectively.
While online slot jackpots may be more lucrative, land-based slots contribute to the overall well-being of the country. The only online gambling operators that are regulated by the government (and therefore are able to provide local organizations with funding) are the NZ Lottery Commission and TabCorp.
However, should online slots and online gambling become regulated by the local government, they too would contribute to local community programs. The government would be able to tax operators based on their earnings, contributing a portion of the total to the same charities and organizations that land-based slot machines and gaming clubs contribute to. The implantation of this may not be far off, as the local government is currently reviewing its online gambling laws.
It is a fantastic thing to see gaming club owners and operators using their profits to do good for the community. You would normally think that the gambling market is selfish, but it seems that simply is not the case in New Zealand, where gambling companies spend a significant portion of their profits improving the local community.
