File image. Photo: RNZ
State-owned betting agency TAB has applied to vary the authorisation of its arrangements with Tabcorp as it is set to come under the control of a British betting giant.
The agency is about to come under the operational control of British firm Entain, which operates the well known Ladbrokes chain, for 25 years after a 2018 review recommended the need for a strategic partnership to guarantee the agency's future.
The Commerce Commission said under its authorisation, TAB and Tabcorp were able to restrict take-out rates from commingled pools, or betting rules provisions, and the rebates or commissions that TAB and Tabcorp paid high volume customers.
That authorisation would expire in August 2025.
TAB has now applied to the Commerce Commission to have this authorisation varied to apply to Entain, though TAB was not seeking any other amendments to the authorisation.
TAB has submitted that its strategic partnership with Entain is a material change of circumstances that warrants the commission amending the 2016 authorisation.
The commission said it was now seeking submissions on the request, with submissions to close on 24 May.