The Government will carefully consider a convention centre deal with SkyCity, a gambling conference has been told.
The fourth International Gambling Conference began in Auckland yesterday and associate Health Minister Tariana Turia opened the conference by acknowledging SkyCity's expansion was the "elephant in the room".
Economic Development Minister Steven Joyce and SkyCity are negotiating a deal which would see the company build a $350 million national convention centre in downtown Auckland. In return, SkyCity wants to be allowed to have hundreds more gambling machines and tables.
Ms Turia said problem gambling was "one of the most serious hazards facing communities" but would not criticise the deal specifically.
Ms Turia said she had been assured by Mr Joyce that the economic benefit of the deal would need to outweigh any negative impacts of an expansion.