Special Report: The Gambling Bill

The Gambling Bill – revolution or damp squib? The Government’s plans for betting in the UK look exciting on paper… But will they ever come to fruition? Alex Toner studies the form.

When you think about putting the ‘bling’ into gambling, your thoughts probably turn to the chutzpah of the Vegas Strip, the suave sophistication of Monte Carlo or – if you’re a real high roller – the oriental mystique of Macau.

But have you ever thought about Blackpool? No, probably not – and why would you? Overseas, gamblers can find great weather, big action and sophisticated company. Blackpool, by contrast, is full of welders in ‘Kiss-me-quick’ beanie hats, having fights in a sticky-carpeted bingo halls as the drizzle comes down outside.

That, however, could all be about to change. The UK’s 40-year-old gambling laws are about to be put through the wringer.

The UK actually already has one of the most relaxed attitudes to gambling in the world – from frittering away your hard-earned on a pub fruity to laying the favourite at the 2.30 at Uttoxeter to National Lottery scratchcards, betting opportunities are manifold.

But the legislation that controls them dates back to the first moonwalk (that’s Neil Armstrong, not Michael Jackson) and the government wants to change it, largely for two reasons. First off, the Chancellor wants his slice of the action. Like it or not, the man recognises that gambling is a growth industry and when he’s facing a budget deficit, growth industries are the place he wets his beak.

Secondly, there’s the ‘problem’ of remote gambling, on the internet, through interactive TV or on your mobile phone. Of course, the ‘problem’ here isn’t for the customer. Internet gambling has proved a huge success, both for the operators and the punters. For the government, however, it’s a massive problem. They never saw it coming, and it sits in a grey area that can’t be regulated (read: taxed) and controlled.

The powers that be have been seeking to change that now for some time and last year saw the first fruits of their labour with the publication of the draft Gambling Bill. What this Bill suggests could change the face of gambling in this country for years to come – and it could come into effect as early as the summer of 2005.

So what does it mean for you, the punting public? To answer that question, let’s return to Blackpool. The Bill’s biggest innovation is the licensing of so-called ‘resort casinos’; huge complexes modelled on those to be found on the Vegas Strip. As you’re probably aware, it has been proposed that the first of these should be built in the bafflingly popular north west seaside resort.

These resort casinos could cover acres – when you consider that the vast majority of the country’s existing 135 or so casinos have a gaming area under 10,000 square feet that’s one hell of a shift. The idea is that they’ll follow the concept of a Las Vegas casino so closely you won’t be able to see the join. The casino will be the focus for a development encompassing hotels, shops, restaurants, bars and conference facilities.

One-stop shop
Like their Nevada cousins, you literally won’t have to leave the complex (and in Blackpool’s case that can only be considered a plus). There’s a limit to the number of resort casinos the country could handle, but another section of the Bill allows foreign companies to get involved and already the big hitters from the USA, Australia, South Africa and France are rushing headlong into something of a land-grab situation, to bag the prime locations.

Obviously, the Bill doesn’t concentrate totally on these gambling behemoths. Small casinos (those with a gaming area between 5,000 and 10,000 square feet) will be allowed to continue, as will larger ones with a gaming area exceeding 10,000 square feet. But the amount of competition the Bill could bring to the market could very well mean your local will be on its way out in the not too distant future, ousted by a bigger, brand spanking new venture opening down the road.

Another major initiative revolves around the gaming mix and slot machines. Currently, casinos are only allowed to site up to ten jackpot machines with a maximum stake of 50p and a prize limit of £2,000. The Bill states that casinos with more than 40 gaming tables will be able to operate any number of slot machines, with an unlimited stake and prize level and, just like in Las Vegas, the jackpots can be linked. So if the Bill is passed, expect to be confronted by banks of slot machines bleeping and chunking out coins in the hopes of luring you into their oily, metallic clutches. In order to show the government’s concern for kiddies, slots will also be banned from unlicensed premises. This is bad news for the kebab-retail and mini-cab industries, but need not concern us unduly.

More fat ladies?
As for the gaming mix, casinos will also be able to offer sports betting facilities, again like their Vegas counterparts, and, bizarrely, bingo. Sports books will have a definite appeal, particularly in the larger, more glamorous locations. Imagine being able to watch a World Cup match on a big screen in plush surroundings, with drinks delivered to your table and the ability to bet on anything from the total shirt numbers scoring to the number of creases on Pierluigi Collina’s head?

But bingo, as we know, is the domain of the blue rinse brigade and large casinos will have their work cut out to keep the various player demographics separate. Make no mistake, they’ll be eager to grab the grannies as fodder for the slots, but your average wrinkly is not going to enjoy hearing the sports punters’ considered opinion of Emile Heskey, if she happens to dodder into the wrong zone of the casino.

In the meantime, the Bill also want to scrap the 24-hour wait between joining a casino and being able to play. That’s probably bad news for inept punters who only get the urge to gamble after an evening of liquid refreshment, but good news for the rest of us. Advertising restrictions too will be relaxed, so casinos will be able to tell you where they are, what they’re like and what kind of special offers they’re promoting.

As for remote gambling, the only difference the average Joe is likely to see is more gambling sites, with some possibly operated by overseas companies. The Bill wants to get these guys regulated, so the State can take filthy great wedges of tax off of them.

You’ll see more advertising and, more importantly, you’ll see many more special offers and promotions as the newcomers grapple for market share.

Life’s also about to get more interesting for your local bookie – as if it wasn’t interesting enough, what with all the furore surrounding betting exchanges. The bookies have benefitted from the deal they struck with government over the operation of FOBTs, which, love ’em or hate ’em, bring in a huge amount of revenue.

But again the Bill wants more competition in the market and it proposes doing this by removing restrictions on where bookies can set up. The colloquial term for this was the ‘half-mile rule’, indicating a bookie couldn’t set up within half a mile of another unless he could make a strong case to the local authorities.

This seems innocuous until you realise that research has proved that punters who visit bookies have absolutely no ‘brand loyalty’. They couldn’t give a monkey’s if they’re betting in a Coral shop or a Ladbrokes. So, as with remote gambling, expect more deals and promotions aimed at building customer loyalty.

As for racecourses, the biggest change here is that they, like casinos, will be allowed to add more to their gambling mix. Already some courses have inked joint ventures with casino operators to create so-called ‘racinos’.

But will it actually happen?
So is it trebles all round for the gambling public? With more venues, more competition and therefore more value in the markets, it would seem so, but there are potential pitfalls. Government ministers with responsibility for gambling, like Culture Secretary Tessa Jowell and Gambling Minister Lord McIntosh are as prone to making statements about ‘protecting children’ and ‘preventing addiction’ as they are to calls for ‘greater customer choice’. If a general election were called in the near future, Tony Blair would be most unlikely to push through a Bill that Guardian readers are going to hate.

Additionally, there’s such a furore surrounding the Bill at the moment (none of the industry’s faces is entirely happy with it), the government may take the easy route and simply amend it to the Gambling Bill Lite, essentially waving through the remote gambling sector and leaving all the others to stew.

Let’s hope it goes through. I’m dusting down my tux for that weekend in Blackpool just in case…

For more info, click the ‘How To’ button.

Pin It

Comments are closed.