ACTTAB Review

About the ACTTAB Future Options Feasibility Study

The Future Options Feasibility Study was commissioned because of growing concerns about ACTTAB’s ability to operate in an increasingly competitive market.  The Government is interested in ensuring that the business is well placed to meet the challenges of the future, to minimise the business  risk to the Territory and maximise the long-term sustainability of the business.

As the smallest TAB in the country with a limited market share, ACTTAB operates in a market with intense competition from corporate bookmakers and new forms of gambling products and channels.

The four options examined in the study were:

• Maintaining the status quo;
• Forming a joint venture with a suitable private sector organisation;
• Retaining government ownership and contracting out the management, and
• A trade sale.

In undertaking the Feasibility Study, PricewaterhouseCoopers (PwC) had discussions with the ACTTAB Board and senior management, the local racing industry, the ACT Gambling and Racing Commission, Clubs ACT, the United Services Union and the Australian Hotels Association.

The Study says the financially declining business is too small to keep up with a rapidly changing industry.  While the decline could be slowed, the investment would need to be significant and would deliver relatively low returns.  It also suggests that new ownership could offer more for the  business and its customers.

Before any decisions are made, the Government will consult with staff, unions and industry about a possible sale.  The Government is committed to ensuring that we hear their thoughts and concerns in relation to a potential sale.

The Government will also be considering how the proceeds of a sale could be re-invested back into the community.