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RWA urges further consultation on Queensland racing funding model

RWA says Queensland's decision not to progress a recommended review of the Point of Consumption Tax has left key questions unanswered, warning that current settings may undermine long-term racing funding.

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Key Points
RWA calls for renewed discussions on Queensland's racing funding framework
Industry body says the current 20% POCT risks reducing wagering activity and tax receipts
RWA argues that recent declines in tax collections show the need for reform

Responsible Wagering Australia (RWA) has called for continued consultation with the Queensland Government following its formal response to the independent Racing Review.

The industry body said the current funding model requires further consideration to ensure long-term stability for prize money, clubs and racing infrastructure across the state.

The review recommended a reassessment of Queensland's Point of Consumption Tax (POCT), but this was not adopted in the government's response. RWA Chief Executive, Kai Cantwell, said the omission leaves an important issue unresolved.

Cantwell said: "While the Review identified the need to reassess the Point of Consumption Tax settings, it is unclear why this recommendation was not progressed. Reducing the current 20% POCT rate remains an important opportunity to strengthen industry funding."

Under the existing structure, 80% of POCT revenue is directed back into the racing industry. RWA argued that this creates volatility, as softening wagering activity results in immediate declines in returns to racing bodies.

Cantwell said: "We know there is a tipping point where taxation becomes counterproductive as WSPs have to pull back on customer value with lower odds and less investment. That reduces wagering activity, shrinks the tax base and results in less money flowing to racing."

RWA pointed to trends in both Queensland and the ACT, where previous POCT increases were followed by lower total tax collected.

The organisation said it hopes further discussions will help establish a long-term framework that better supports investment, competitiveness and industry growth.

The body also emphasised that racing funding is linked to broader economic outcomes.

Cantwell commented: "This is not just about wagering. It's about jobs, community racing, regional communities and major infrastructure projects which need guaranteed funding."

The organisation says all members are committed to ongoing engagement with government and Racing Queensland to help design a funding model that delivers stability, sustainability and long-term returns for the state's racing ecosystem.

Earlier in November, RWA released research estimating that Australians lose around AU$3.9bn ($US2.59bn) a year to illegal offshore gambling, warning that unregulated sites divert both consumer spend and product fees away from domestic sport and racing.

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RWA members include licensed operators such as bet365, Picklebet, PointsBet, Sportsbet, Betfair and Unibet

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