The distribution of non-casino gaming machine profits in New Zealand

The distribution of non-casino gaming machine prof…
01 Sep 2012
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The distribution of non-casino gaming machine prof…
01 Sep 2012
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Gaming machines in New Zealand are operated by non-club gaming societies who operate gaming machines in commercial venues, and clubs that typically operate gaming machines in their own premises. This report presents information on the allocation of non-casino gaming machine profits to community organisations in New Zealand in 2011. It is based mainly on data published by the non-club gaming societies. It is the fourth in a series of similar reports produced by the Department of Internal Affairs since 1996.

How much is allocated

Using the New Zealand Standard Classification of Non–Profit Organisations (NZSCNPO), this report describes the allocation of approximately $252 million by non-club gaming societies to community organisations. The report is based on the last full 12 months of data gaming societies had available as at April 2012.

Where the funding goes

Sport

Sporting organisations received $121 million, almost half (48 per cent) of the total allocation of all funding by public societies in 2011, similar to the proportion received in 2005. As in 2005, rugby union received the largest proportion (18 per cent or $22.3 million) of grant funding allocated to any single sporting code in 2011. The five sporting codes receiving the largest amounts of grant funding from gaming machine profits in 2011 were the same as those in 2005: rugby union, horse racing, soccer, cricket and netball.

Social and community services

Social and community services (Education & Research, Social Services, Health, and Development & Housing) together received 41 per cent of the total funding allocated by public societies ($104.4m), compared to 38 per cent in 2005.

Comparison to 2005

The distribution of the total funding available across categories has, very broadly, stayed much the same in 2011 compared to 2005. Funding to Emergency & Relief organisations is the exception, with this category increasing from four per cent of all funds available ($11.4m) to seven per cent ($17.2m). This may reflect funding given to Canterbury earthquake relief groups. However, there was less money available overall so while the proportion received has stayed the same, the dollar amount received by groups in these categories has declined compared to 2005.

Clubs’ allocations of gaming machine profits

In 2011, approximately a fifth of the non-casino gaming machines were operated by clubs (chartered clubs, RSAs and sports clubs) in their own premises. Clubs allocated $50.6m in gaming machine profits to authorised purposes in 2011. This is typically for their own authorised purposes (club operating costs). It is likely that a small percentage of this money was distributed in the form of grants to the wider community (in 2005 clubs distributed 3 per cent of their gaming machine profits as grants). As this data is not specified in all clubs’ published annual accounts, it has not been captured in this report.

Page last modified: 15 Mar 2018