Constructive engagement with the NSW Government significantly reduced the planned raise, giving Star Entertainment much-needed breathing room. However, the operator stood firmly against the envisioned rapid levy increase, noting that such measures could jeopardize thousands of jobs in NSW. Star Entertainment and the NSW government made an in-principle arrangement in August to provide enhanced certainty for both parties. Star Entertainment Group had vehemently opposed this drastic raise, labeling it unsustainable and flawed due to its implementation without prior consultation. The newly inked agreement follows a proposal from the prior state government to significantly increase the duties imposed on electronic gaming machines at the Sydney casino, reaching over 60% of average poker machine revenue. The Operator Is Yet to Regain Its Footing
However, the planned duty rate hikes will further strain Star Entertainment’s efforts to recover from the wake of its money laundering scandals and regain the trust of consumers and regulators. Talks between the beleaguered operator and the NSW Government concluded in a compromise, significantly reducing the originally envisioned levy increases.
