Decades ago the only option for a punter wanting to legally have a bet on a horse was to attend a race meeting and bet with a bookie. There was no off-course betting permitted. This offered a lucrative trade for what became known as the " SP Bookie " - a freelance operator who took bets on races and offered starting price odds. Of course, this was totally illegal - but it was rare to find a pub or a club on a Saturday that did not have an SP Bookie operating in a quiet corner - and attracting a steady stream of customers.
The government objected because these people were part of " the black economy " and paid no tax. From time to time the police would conduct raids - but mysteriously there always seemed to be lesser people in charge - and the next week the SP bookie was back offering business as usual. Money changed hands to protect this lucrative trade and eventually the government decided it would be impossible to eradicate SP bookmaking by force.
So - they adopted the maxim - " If you can't beat them - join them "!
They formed the TAB - a legal off course betting organization that set up TAB betting shops in most suburbs - and produced a river of tax money for the state treasury.
The TAB was private enterprise owned by shareholders and some years later it got greedy. It found that it could reduce costs by closing TAB suburban agencies and transferring the business to clubs and pubs. These organizations welcomed facilities on their premises because it attracted new customers and improved general profits.
Now we are seeing another re-think. The TAB is reducing the number of outlets in clubs and pubs based on turnover. The idea seems to be to reduce costs by eliminating the gaming machine allocation to only large turnover sites.
There have been vigorous protests. The TAB facilities for smaller pubs and clubs have become an integral source of custom. They may not make much in the way of income, but they support beer and food sales and keep the establishment profitable.
If the move to disenfranchise smaller pubs and clubs goes unchecked there is a very real liklihood that we may see a return of the SP bookie.
Withdraw betting facilities and you open the door for the entrepreneur to step in and tap into the law of supply and demand - and as the government realised decades ago - law enforcement is no match for a popular service that is prepared to grease palms to stay in business.
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