Tabcorp, which has seen its dominant position in Australia's $20 billion-plus wagering market come under attack from foreign operators including William Hill and Sportsbet, said its rivals may have pushed the boundaries too far. "I think it's been a very competitive market and in competitive markets boundaries can be stretched," Mr Attenborough told Fairfax Media. "I think its good to see the government actually providing clarity on where those boundaries will be set going forward. And what's important in competitive markets is you need to have clear boundaries so all players can operate within those boundaries." Tabcorp's closest competitor, the Irish-owned Sportsbet, lashed what it described as a short-sighted decision by the government which would benefit rivals Tabcorp and Tatts Group. "I think its a win for the lazy, traditional monopoly wagering operators in Australia who are more interested in protecting their monopoly than giving consumers what they want," said Sportsbet chief executive Cormac Barry. "It is a sad day for Australian consumers and I think the big winners today are the illegal offshore operators who will be able to continue to operate uninhibited." The crackdown on credit betting is also expected to have a negative impact on international wagering operators, with sources estimating up to 30 per cent of some operators' sales are derived from credit.

The system works by providing larger punters with lines of credit which are generally required to be paid back to the bookmaker within seven days. Mr Barry said he could not provide a figure for Sportsbet's credit betting in terms of sales, but admitted the ban would have an impact on its business. "Certainly it [credit betting] is used by a reasonable number of people, but if a level playing field is created then ultimately the industry will move on," said Mr Barry. "We'll consider that over the coming days and weeks." International bookmakers have been furiously lobbying the government to relax its ban on in-play in Australia, claiming punters are already widely using the service through illicit overseas bookmakers. Major sports codes including Cricket Australia and the AFL have also been barracking for in-play to get the green light, saying it would improve integrity in the sports betting market.

But the government on Thursday said it would not cave in to calls for online in-play to be legalised, citing figures showing the rate of problem gambling is three times higher when wagering is conducted online. "The government does not intend to further expand the online betting market in Australia by legalising online in-play betting," Social Services Minister Alan Tudge said. "We think there's enough problems with gambling already, before giving people the ability to bet on every moment of every sport across Australia from your living room." Mr Tudge indicated he expected operators offering online in-play betting via click-to-call to halt the service immediately. "I would hope they cease today because we have made clear they are at least operating against the spirit of the law, if not against the actual law," he said. However, the Australian Wagering Council, which represents online bookmakers such as Sportsbet, William Hill, Betfair and Bet365, could not confirm if its members will withdraw the in-play service immediately.

"Wagering operators will of course continue to work constructively to address legitimate concerns as they emerge in the legislative process," the AWC said in a statement. The ban on online in-play was included in a response to a review of Australia's online wagering sector written by former NSW premier Barry O'Farrell. It followed calls for the dated Interactive Gambling Act (IGA), created in 2001, to be overhauled to allow for changes in the way punters use technology to place bets. Canberra has accepted 18 of the 19 recommendations in full or in principle, as foreshadowed in March. These include fresh protection for gamblers such as a national self-exclusion register, a voluntary pre-commitment scheme and a ban on online wagering companies offering lines of credit. It will also move to strengthen the IGA and give the Australian Communications and Media Authority the power to issue civil penalties against agents who facilitate gambling with illegal offshore sites.

The government appeared to admit quantifying the scale of betting with offshore operators remained challenging, noting the O'Farrell review estimated somewhere between $64 million and $400 million was gambled with illegal providers. The government will introduce a framework model to minimise problem gambling within 12 months with state and territory governments, industry bodies and law enforcement agencies. The ban on in-play is a big win for incumbents Tabcorp and Tatts Group, which have been fighting against allowing their overseas rivals to offer the service, and also the horse racing industry, which was concerned liberalising sports gambling would hit its turnover. Tatts chief executive Robbie Cooke welcomed the government's response to the wagering review. "The government should be congratulated for not bowing to the extreme pressure applied to it by multinational corporate bookmakers by fundamentally and indefinitely rejecting the introduction of online in play sports-betting," said Mr Cooke.

Citi analyst Rohan Sundram said the levelling of the playing field was a positive for both Tabcorp and Tatts. "We view the federal government's proposed actions on click-to-call betting as a mild positive for Tabcorp/Tatts, as we believe that click-to-call has enabled various corporate bookmakers to accelerate their share gains at the expense of Tabcorp/Tatts over the last 6-12 months," Mr Sundram said in a note to clients. It's also a win for clubs and pubs that lobbied against relaxing rules around in-play for fear the move for more punters to bet online could jeopardise revenues from its bricks and mortar venues. "The decision to maintain the prohibition of 'online in play' gambling will be welcomed by the vast majority of Australians," said Australian Hotels Association chief executive Stephen Ferguson. "The foreign-owned corporate bookmakers should cease the practice immediately."