Prime Minister Anthony Albanese has overridden Minister Michelle Rowland's proposed restrictions on gambling advertisements, a move aimed at avoiding conflict with media and sports leaders ahead of the upcoming May 3 election.

Rowland had dedicated over a year to negotiating with gambling companies, sports organizations like the AFL and NRL, and harm-reduction advocates before her proposal was ultimately shelved.

Costello criticized Albanese for undermining Rowland's efforts, accusing him of prioritizing corporate interests over necessary reform in gambling regulations.

Critics, including former foreign minister Gareth Evans, interpret Albanese's decision as reflective of his cautious governance style, which some Labor MPs hope will evolve if the party gains a larger majority in the upcoming election.

This incident marks the fourth occasion on which Albanese has intervened against senior ministers regarding controversial policies, including those related to environmental laws and hate crime legislation.

Her proposal sought to implement measures such as capping TV gambling ads and blocking them during live sports events, though it stopped short of advocating for a complete ban.

The cabinet was divided on the gambling ad reforms, with left-wing ministers pushing for stronger regulations while right-wing members favored maintaining revenue streams from media and sports.

In defending his decision, Albanese cited the complexities of the proposal and expressed concerns about potentially harming local betting markets by driving Australian punters to offshore bookmakers.

Albanese's intervention was significantly influenced by growing opposition from key figures, including NRL chief Peter V’landys, who criticized the proposed reforms as 'nanny state ideology.'

Both the AFL and NRL have warned about the risks associated with offshore betting in their submissions, although these concerns have been disputed by harm-reduction advocates like Tim Costello.