NSW Introduces Facial Recognition Code of Practice to Reduce Gambling Harm
The New South Wales Government has released a code of practice to guide pubs and clubs that choose to use facial recognition technology, setting minimum expectations for its responsible operation. Approved under existing gaming legislation, the code is intended to reduce gambling harm and support enforcement of exclusions while addressing privacy and data protection risks. The initiative forms part of a broader, evidence-based reform agenda targeting high-risk gambling and related financial crime across the state.
The guide was announced by the Minns Labor Government and is available through an official NSW Government release. It has been approved by the Minister for Gaming and Racing under section 48 of the Gaming Machines Act 2001 and applies to hotels and clubs with gaming machines that are already using, or considering using, facial recognition technology.
Purpose and scope of the code
The code of practice is designed to help venues identify excluded patrons and prepare for future legislative changes that may mandate facial recognition once a statewide exclusion register becomes operational. It also aims to mitigate risks associated with money laundering and other illicit activity linked to gambling venues.
Given the sensitivity of biometric data, the code places particular emphasis on governance, privacy safeguards and accountability. It provides guidance for venues on meeting regulatory expectations while navigating complex obligations under privacy and gaming laws.
Consultation and oversight
The government developed the code following consultation with a wide range of stakeholders, including gambling harm advocates, health experts, industry representatives and technology providers. Oversight bodies such as the Office of the Australian Information Commissioner and the NSW Privacy Commissioner were also involved, reflecting the importance of aligning harm minimisation objectives with data protection standards.
The code is published on the Liquor & Gaming NSW website and is intended as a practical resource for venues seeking to implement compliant systems ahead of further regulatory reform.
Facial recognition within a wider reform agenda
The introduction of the code sits alongside a broader package of gambling reforms being pursued by the NSW Government. These measures include changes to venue operating hours, limits on cash inputs for new gaming machines and reductions in the overall number of gaming machine entitlements over time.
Key elements of the reform programme include the removal of exemptions that allowed gaming machines to operate during shutdown hours, with more than 600 venues required to close all gaming machines between 4am and 10am each day by 31 March 2026. Other measures focus on strengthening responsible gambling oversight within venues and restricting gambling-related advertising in public spaces.
Alignment with national digital and AI governance
The NSW approach reflects growing attention across Australia to the governance of advanced technologies in the public interest. Recent developments such as Australia’s updated policy for responsible AI in government and the APS AI Plan 2025 highlight the need for clear standards, capability building and public trust when deploying data-driven systems.
Within this context, the facial recognition code can be seen as part of a wider effort to ensure that digital investments in regulation and service delivery deliver public value, consistent with principles outlined in work on managing digital government investments.
Ministerial perspective
“I’m pleased to launch a NSW-first code of practice for venues operating facial recognition technology to help pubs and clubs negotiate the complex landscape to best support the identification of excluded patrons.” — David Harris, Minister for Gaming and Racing, NSW Government
The minister said the government would continue to pursue evidence-based reforms aimed at reducing harm while recognising the economic contribution of the hospitality and gaming sector. Ongoing collaboration with industry and regulators will be central to ensuring that any future expansion of facial recognition technology meets legal, ethical and operational expectations.
