William Hill Considering Exiting Australian Market
In light of possible changes to taxation and new credit bans, William Hill had announced it is reviewing their Australian operations.
Federal and State governments had agreed last year to ban gambling companies from extending credit to customers which William Hill believes will affect their business in a negative way. Currently William Hill has 284,000 customers down under and believes the combination of higher taxes and ban on extending credit will cut its profits to a point where in no longer becomes attractive for them to operate in Australia.
In a statement William Hill said,” Given the credit betting ban in Australia and the likely introduction of a point of consumption tax in a number of states, it is clear that profitability will increasingly come under pressure.”
Well know anti-gambling proponent Nick Xenophon welcomes the pending changes and has been pushing for credit bans for years. The ban which will come into effect next month will according to Xenophon stop gambling companies from offering “ free” bets to customers when they run out of money. He went on to blame William Hill for their threats to withdraw from Australia and said,” The fact that they are thinking of moving out of Australia because of this very reasonable and well overdue ban on credit betting indicates how greedy and desperate they are.”