Government to ban credit card use in online gambling

Betting companies will be forbidden from using credit cards while gambling online under a plan from the federal government.

Communications Minister Michelle Rowland and Social Services Minister Amanda Rishworth announced the proposed ban today, which will apply to all Australian licensed wagering services.

It's not known when the new rule will be implemented, but legislation is set to go before parliament later this year.

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The ban will bring online gambling rules in line with existing betting services in pubs, clubs, casinos and other venues.

It won't apply to lotteries.

"It's as simple as this: people should not be betting with money they do not have," Rowland said.

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The government's figures show Australia's gambling losses per adult are among the highest in the world, reaching about $25 billion annually.

The ban will be enforced through identifying Bank Identification Numbers to block credit cards, a method used in casinos and poker machine venues.

A parliamentary inquiry is underway into online gambling and will release its recommendations later this year.

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