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Review of the Registered Clubs Industry in NSW - Clubs NSW

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3 Understand<strong>in</strong>g <strong>the</strong> social contributions <strong>of</strong> <strong>the</strong> registered<br />

clubs <strong>in</strong>dustry<br />

<br />

whe<strong>the</strong>r clubs make a negative difference <strong>in</strong> <strong>NSW</strong> by compar<strong>in</strong>g data on total<br />

gambl<strong>in</strong>g expenditure, <strong>the</strong> <strong>in</strong>cidence <strong>of</strong> problem gambl<strong>in</strong>g and gam<strong>in</strong>g mach<strong>in</strong>e<br />

expenditure <strong>in</strong> <strong>NSW</strong> and o<strong>the</strong>r states.<br />

IPART found that <strong>the</strong> clubs <strong>in</strong>dustry appears to play a role <strong>in</strong> contribut<strong>in</strong>g to higher<br />

levels <strong>of</strong> participation <strong>in</strong> two sports (golf and lawn bowls) <strong>in</strong> <strong>NSW</strong>, and <strong>in</strong> provid<strong>in</strong>g<br />

a broader range <strong>of</strong> facilities than are available <strong>in</strong> o<strong>the</strong>r states. In addition, registered<br />

clubs provide some services that might o<strong>the</strong>rwise be provided by government or by<br />

<strong>the</strong> private sector. Fur<strong>the</strong>rmore, while <strong>the</strong> clubs <strong>in</strong>dustry is a significant contributor<br />

to <strong>the</strong> operation <strong>of</strong> gam<strong>in</strong>g mach<strong>in</strong>es <strong>in</strong> <strong>NSW</strong>, <strong>the</strong> evidence does not show that this<br />

leads to a higher <strong>in</strong>cidence <strong>of</strong> problem gambl<strong>in</strong>g <strong>in</strong> this state, compared with states<br />

where <strong>the</strong> operation <strong>of</strong> gam<strong>in</strong>g mach<strong>in</strong>es is on a significantly lower scale. IPART’s<br />

view is that, on balance, clubs make a positive contribution to <strong>the</strong> community that is<br />

sufficient to justify <strong>the</strong> level <strong>of</strong> support <strong>the</strong> <strong>in</strong>dustry receives from government.<br />

3.3.1 Do registered clubs make a positive difference <strong>in</strong> <strong>NSW</strong>?<br />

Anecdotal evidence from IPART’s roundtable discussions <strong>in</strong>dicated that <strong>the</strong><br />

registered clubs <strong>in</strong>dustry <strong>in</strong> <strong>NSW</strong> makes a more significant contribution to <strong>the</strong><br />

provision <strong>of</strong> sport<strong>in</strong>g facilities <strong>in</strong> this state than clubs <strong>in</strong> o<strong>the</strong>r states. Specifically, one<br />

participant 51 commented that clubs <strong>in</strong> Victoria focus on contribut<strong>in</strong>g to <strong>the</strong> provision<br />

<strong>of</strong> facilities related to <strong>the</strong>ir core purpose (for example, football) but do not assist with<br />

<strong>the</strong> provision <strong>of</strong> o<strong>the</strong>r sport<strong>in</strong>g <strong>in</strong>frastructure, such as bowl<strong>in</strong>g greens and golf<br />

courses.<br />

In Australia, sport<strong>in</strong>g <strong>in</strong>frastructure is typically provided through a comb<strong>in</strong>ation <strong>of</strong><br />

fund<strong>in</strong>g sources:<br />

<br />

<br />

<br />

government fund<strong>in</strong>g at a federal, state and local government level<br />

private enterprise (for example, commercially-operated fitness centres and golf<br />

courses)<br />

amateur sport<strong>in</strong>g clubs and, <strong>in</strong> <strong>the</strong> case <strong>of</strong> <strong>NSW</strong>, registered clubs.<br />

Ideally, IPART would have liked to exam<strong>in</strong>e <strong>the</strong> sources <strong>of</strong> fund<strong>in</strong>g for sport<strong>in</strong>g<br />

facilities by state to establish <strong>the</strong> relative contribution made by <strong>the</strong> clubs <strong>in</strong>dustry <strong>in</strong><br />

<strong>NSW</strong>. However, data with this level <strong>of</strong> disaggregation are not currently available.<br />

Therefore, IPART held discussions with national and state peak bodies and obta<strong>in</strong>ed<br />

what data it could to help it understand whe<strong>the</strong>r clubs make a positive difference <strong>in</strong><br />

<strong>NSW</strong>. In particular, IPART compared <strong>the</strong> <strong>in</strong>cidence <strong>of</strong> bowl<strong>in</strong>g and golf clubs, <strong>the</strong><br />

rates <strong>of</strong> participation <strong>in</strong> sport<strong>in</strong>g and physical activities, <strong>the</strong> rates <strong>of</strong> RSL club<br />

membership, and golf clubs’ contributions to charity revenues <strong>in</strong> <strong>NSW</strong> with that <strong>in</strong><br />

o<strong>the</strong>r states where clubs have historically been much less significant. IPART found<br />

that clubs <strong>in</strong> <strong>NSW</strong> have a small positive impact on <strong>the</strong> rates <strong>of</strong> participation <strong>in</strong><br />

sport<strong>in</strong>g and physical activities, and make more significant contributions to charity,<br />

51 Moama Bowl<strong>in</strong>g Club, Wagga Wagga roundtable, 14 September 2007, p 7.<br />

54 IPART <strong>Review</strong> <strong>of</strong> <strong>the</strong> <strong>Registered</strong> <strong>Clubs</strong> <strong>Industry</strong> <strong>in</strong> <strong>NSW</strong>

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