More than $53 million has been poured into gaming machines in southern pubs and clubs in the past year, a figure which could increase as economic conditions worsen, agencies helping problem gamblers say.
Non-casino gaming machine expenditure in New Zealand was $938.3 million in the year to June 30, a decrease of 1%, but up 6% in the last quarter from $218.5 million to $231 million.
Problem Gambling Foundation southern regional manager David Coom, of Christchurch, said as the economy headed towards a recession, more people would be tempted by the prospect of easy cash.
"For problem gamblers, when money gets tight they get more desperate to chase winners. I think we will see an increase in the number of people gambling."
Dunedin, Invercargill and Queenstown-Lakes District had all experienced notable increases which was "a concern given the current economic condition", he said.
New electronic monitoring of non-casino gaming machines became operational in October 2007, enabling the Department of Internal Affairs to produce an accurate record of pokie expenditure for the first time.
In the April-June quarter, $5,568,011.98 was spent in Dunedin - an increase on the previous quarter of $221,892; in Invercargill $4,442,157.48 was spent - an increase of $315,442, and in Queenstown-Lakes District $774,960.36 was spent - an increase of $57,902.
"These are large amounts to be taken out of the community," Mr Coom said.
Central Otago, Central Otago and Waitaki reported a fall in gambling expenditure for the last quarter.
In Dunedin and Invercargill, a large percentage of gaming machines were in lower socio-economic areas, and contrary to what people thought, expenditure on each machine did not return to that area, Salvation Army Oasis Centre for Problem Gambling manager Glen McLennan said.
"This is a poor form of tax, and an inefficient way of distributing money."
More than $24 million was collected in the last year from gaming machines in the Dunedin area, often from people who could ill afford to gamble, he said.
Problem gamblers accounted for a large percentage of gambling expenditure, and people who gambled three times a week were potential problem gamblers, Mr McLennan said.
Minister of Internal Affairs Rick Barker said yesterday the department was a strong and effective regulator of the gambling industry.
When asked if he was concerned expenditure on gaming machines increased by 6% in the last quarter, Mr Barker said fluctuations were "to be expected within any 12-month period".
Gaming expenditure decreased 1% in the year to June 30, with the number of gaming machines decreasing by 162 to 20,000 and "the amount of funding available to communities has stayed relatively stable at over $300 million", he said.
Gaming machines
Expenditure in the country's 1600 pubs and clubs to the year ending June 30, 2008, totalled $938.3million.
Central Otago $4,221,972
Clutha $2,066,532
Dunedin$22,879,274
Invercargill $17,086,649
Queenstown-Lakes $3,110,030
Southland $3,889,303 Waitaki $4,212,601
Total $53,676,361
Source: Department of Internal Affairs (Figures exclude casino gaming machines)
