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gambling industry news
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Source:
ArriveNet
Another
Government Cave in to get Gambling Bill Through
The UK
government has caved in to opposition pressure and agreed to
allow only one super-casino to be built under the new
gambling legislation. Ministers were forced to make the
concession in order to ensure they could get the legislation
on the statute books before parliament is dissolved for a
month-long election campaign. With Tony Blair calling an
election a year before he would have been forced to,
ministers have run out of time to get their controversial
gambling reforms through parliament.
The industry had already
resigned itself to a cut in the number of casinos from the
24 originally envisioned to eight, forced on the government
during the passage of the bill. The latest cut follows an
parliamentary agreement with the opposition to ensure the
Conservatives do not oppose the bill's progress. The
government has reserved the right to increase the number of
regional casinos in the next parliament, should it win the
election, although any rise would require a parliamentary
vote.
At this stage it is unclear
which location will be the winner, but industry analysts
believe the most likely beneficiary will be Blackpool. This
means plans for "regional" casinos at locations including
the Millennium Dome and the new Wembley stadium are likely
to loose out.
Tessa Jowell, the culture
secretary, whose department has overseen the bill's
progress, sounded a defiant note. "Protecting the public,
and children in particular, has always been my top priority
during the five years of debate about this bill,” she said
in Parliament. “So I am delighted we can now set up the
Gambling Commission and ensure that Britain has the most
robust framework of gambling regulation in the world."
"Its location should be a
leisure resort where the regeneration potential is
greatest,” added John Whittingdale, shadow culture
secretary. “The case for locating such a casino in Blackpool
is very strong." Rank
Group PLC said it welcomed the changes made in the UK gaming
Act and that it will be affected by the doubling in the number
of Category B gaming machines to be allowed in each existing
casino to 20.
It will also be affected by a four-fold increase in the level of
stakes and a doubling in the maximum prize for Category B
machines in casinos to 2 stg and 4,000 stg respectively.
"These amendments are welcome and have gone some way to
alleviate many of the concerns over possible damage to the
existing UK casino industry, had the Bill been passed without
amendment," the company said.
"The fact that there will be only one regional casino in the UK,
at least initially, is also sensible," it added.
The group said it will continue to lobby for comparable rights
between existing casinos and the new casinos.
"The Act represents a much improved and more balanced framework
than that put forward at the end of December 2004," said Rank
chief executive Mike Smith. |
