The ACT TAB’s move into Vanuatu is a smart deal all right, at least in the short term.
In the long-term, however, it could be the beginning of the end of cosy government monopolies that extract 15 per cent from every mug punter who wanders into a TAB and in the long-term threatens the nice little earner the Australian racing industry gets from the TAB.
Indeed, the real VITAB story is more about inter-state relations and international competitiveness than about shadowy underworld figures making mega-bucks, though the potential is there for the latter, even if there is no hard evidence for it at present.
This is not a story about racing. It is a story about money. To put it into perspective about $9 billion a year goes through Australian TABs. That is a fraction shy of what the Federal Government spends on defence. NSW gets the lion’s share at $3.2 billion and Victoria gets $2.3. The ACT is small fry at $90 million.
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