The increase in pokie machine numbers at SkyCity, should its international convention centre deal with the Government go ahead, will effectively reverse two years of declines in machine numbers nationwide under councils' sinking lid policies, Prime Minister John Key says.

Public watchdog the Auditor-General will this afternoon release a report on how SkyCity's offer to build an international convention centre at its downtown Auckland site in return for gambling law changes was selected by the Government over rival bids.

SkyCity is understood to be seeking law changes allowing 300 to 500 additional pokie machines and wider use of technology which would increase gambling revenue in return for building the $350 million facility at no cost to the taxpayer.

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