(2 years, 10 months ago)
Commons ChamberHappy new year, Mr Speaker. May I begin by congratulating the right hon. Member for Islington South and Finsbury (Emily Thornberry) on her new role? She is familiar with the position of shadow Attorney General. I look forward to working with her in the future. The Government committed to improving performance across the criminal justice system in the spending review. For example, funding for the Crown Prosecution Service will increase by more than £80 million a year by 2025, which will be used to drive improvements in the prosecution of rape cases and to help to tackle the court backlog.
I thank my right hon. and learned Friend for her answer. What assessment has she made of the way in which that funding will support the police uplift programme, which will in turn help to deliver safer streets in towns such as Blackpool?
The Government will not rest until we have improved public safety. The recruitment of 20,000 new police officers will cut crime and get criminals off our streets. My hon. Friend will be pleased to know that there are more than 300 new police officers in Lancashire, his own region, all working to keep our community safe. Of course, the success of those extra police officers will depend on corresponding increases throughout our criminal justice system, so that we have enough resources to deal with the increased workload created. That is why I am pleased that the CPS has recruited more than 300 more prosecutors since 2019, thanks to the Government’s funding.
(2 years, 12 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The hon. Lady will be aware that one of the recommendations made by my hon. Friend the Member for Chatham and Aylesford is a pilot programme, rather than a full, wholesale removal in one fell swoop. In responding to the report we will consider all the aspects that the hon. Lady and others have mentioned, because there are many stakeholders with views and opinions about that.
Blackpool football club has suffered greatly over much of the past 10 years because of the actions of an irresponsible owner. Thankfully, the club is now in much better hands under its new chairman Simon Sadler and success is following on the pitch. Will my hon. Friend join me in welcoming the new owners and directors test for clubs that the review outlines, which will hopefully help to avoid the situation we saw in Blackpool being widespread among other clubs?
My hon. Friend makes some important points. Without pre-empting our conclusions to the report’s recommendations, everybody is aware that the current owners and directors test has not fulfilled all of its expectations. Many issues and concerns have been raised about it, so my hon. Friend the Member for Chatham and Aylesford has made recommendations in the report that we will seriously consider. I praise the new owners because, as my hon. Friend the Member for Blackpool South (Scott Benton) has shown, a change of attitude and ownership can change a club’s position in its community overnight.
(3 years ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The hon. Gentleman is quite right to point to grassroots sport as the place where everything starts and the place where culture is set. I think the person he should meet is the sport Minister, my hon. Friend the Member for Mid Worcestershire (Nigel Huddleston); he is in Geneva today, but I will certainly pass on that request and I am certain he will readily agree.
This appalling case follows several high-profile examples of racism in other sports this year. The efforts to address racism in football, for example, through taking the knee have sadly met with a mixed reaction from fans. Although it is clear that we need a new anti-racism strategy across all sports, it is important that that strategy brings everybody with it. What steps have the Government taken to develop such an initiative across all sports?
In relation specifically to football, in response to what happened last summer, the scope of football banning orders was extended to cover not just racist abuse happening in football grounds, but racist abuse perpetrated by fans online. Quick and decisive action was taken there. The online safety Bill is designed to address racist abuse online more widely, and the hate crimes strategy and the race disparity unit are designed to fight racism in sport and across society as a whole.
(3 years, 2 months ago)
Commons ChamberI certainly do not want to see another lockdown, and I know that the right hon. Gentleman does not, because he was unenthusiastic about the ones that we had in the past. I do not want to get into the vaccine passport issue, but I agree strongly with what he said at the start, which is that we must tackle problem gambling. I bow to no one in my desire to tackle problem gambling, which I addressed when I was in the Department for Digital, Culture, Media and Sport. At the same time, however, many people enjoy a flutter, and a day at the races is an enjoyable experience that is enhanced for many people by gambling in a completely responsible and controlled way. The symbiosis between horse racing and gambling is important, and I would argue that gambling—especially gambling in person at a racecourse—is a much safer proposition than some of the modern electronic and online offers.
I want to come back to the point about the risk, because we are at a moment of peril—
I thank my right hon. Friend for allowing me to intervene, and I draw the attention of the House to my entry in the Register of Members’ Financial Interests. He will be aware of the recent increase in the number of drone pilots that have been spotted at horse race meetings. This practice creates opportunities to bet via the black market during live races. Indeed, recent reports have suggested that the amount betted online via the black market has doubled in recent years to £2.6 billion. This is a practice that the horse racing authorities are working to address. Will my right hon. Friend urge the Government to assist them in trying to stamp out the use of drones at horse race meetings?
Yes I will, and I can see the Ministers discussing exactly that question right now on the Front Bench. This is another issue that needs to be resolved. It is another loophole in how the sport operates.
Races are put on to allow people to bet on them—they are not only put on for that reason, but it is one of them—and it is therefore important that some of the funding should come back from the gambling to the racing, without which we could not have the gambling in the first place. It is a symbiotic relationship, and that is why there is a place for the Government in ensuring that it is all arranged properly. The problem at the moment is that while gambling revenues have increased during the pandemic, particularly from online gambling, the amount that is going into horse-racing is not sustainable. The risk is that horse racing will increasingly move overseas and that we will lose all these great benefits. That is why we must act.
This is not just about the statistics. This is real. The decisions of only a few significant investors to relocate their investment to other jurisdictions would significantly and permanently damage British racing’s leadership position. We have seen countries around the world, including Ireland, France and Australia, stepping up to back their racing industries more, and if we do not follow suit we will be overtaken as the home of racing. We must not let this happen. Just recently, Shadwell, a major multi-million pound racing and breeding operation, announced that it would be undertaking a review of its activities, with operations in the UK, Ireland and the USA to contract. The extent of any contraction in the UK would have serious implications for jobs, for the economy and, I believe, for our place in the world. This is not just about statistics. It is real. There is an urgency for action, and I know the new Minister is a man of action and ready to act.
In this country, we are in the fortunate position that our recovery is the strongest in the G7. I come not to ask for public funds—although I do not rule that out for the future—but to ask for policy, to ensure that racing gets its fair share from the industries it supports, notably through fixing loopholes in the horse race betting levy. So the Government have a decision to make: step up, save the horse racing industry and reap the rewards of prosperity, jobs, prestige and trade, or step back and lock the stable door after the horse has bolted. Racing is of course part-funded by the levy, which represents the value of horse racing to the gambling industry. The levy provides for the infrastructure of racing and, in part, for the prize money that attracts investors who are crucial to the sport. We must ensure that the levy meets the costs of the racing industry in providing a competitive, compelling betting product from which the bookies benefit. It is failing to do that now. At the time of the last review in 2017, the Department for Digital, Culture, Media and Sport confirmed that the levy would be reviewed by 2024, but earlier if necessary, in order to be
“responsive to future changes in the market”
and to ensure that the yield is meeting the levy’s statutory purposes.
It is clear that the levy’s yield has never met the level of costs envisaged in 2017. There will be an estimated £160 million shortfall in industry revenues between now and 2024. Given the pandemic, an early review is required to ensure the levy is providing an appropriate return both to meet its statutory objectives and to support an internationally competitive British racing industry.
Two changes are needed, and this is what I am asking for. First, the levy should be based on a percentage of turnover, not a percentage of profit. This would result in less volatile yields and remove unhealthy perverse incentives in the sport.
Secondly, and most urgently, the levy should apply to all horse racing globally that is bet on by British customers. Betting customers in Britain can safely enjoy and benefit from horse racing in a wide variety of countries, and British participants often compete in these international events, driving interest and UK betting turnover. However, British racing does not receive a return from betting activity on these races.
An extension of the levy to cover racing overseas would see the levy apply to all thoroughbred races held worldwide, rather than solely races run in Great Britain. This is how it works elsewhere, such as in France and Ireland. This second reform can be quickly and easily enacted and would generate around £20 million annually for British racing. Closing this overseas levy loophole is fair, right, good economics and based on historical and international precedent.
I close by inviting the Under-Secretaries of State for Digital, Culture, Media and Sport, my hon. Friends the Members for Croydon South (Chris Philp) and for Mid Worcestershire (Nigel Huddleston), to Newmarket to see racing in action, from behind the scenes and from the grandstand, so they can see for themselves the huge value of this remarkable sport. I invite them to meet the British Horseracing Authority so that we can work together on the detailed evidence and proposals that have been developed.
I pay tribute to the Government for their support for racing throughout the pandemic. I know the Minister has heard this heartfelt plea on behalf of a sport that so many love, and I will not be letting this drop, so I look forward very much to working with him to ensure British racing can thrive in the years ahead.
(3 years, 4 months ago)
Commons ChamberIt is a pleasure to lead this Adjournment debate on the review of the Gambling Act 2005. I refer Members to my entry in the Register of Members’ Financial Interests and to my position as chair of the all-party parliamentary group on betting and gaming. I thank the Minister for Media and Data, my right hon. Friend the Member for Maldon (Mr Whittingdale), for his engagement with the industry and the APPG on this issue. It would be remiss of me not to mention the Under-Secretary of State for Digital, Culture, Media and Sport, my hon. Friend the Member for Mid Worcestershire (Nigel Huddleston), as I know that he did the same when gambling fell under his ministerial remit.
Betting and gaming is a key part of the UK’s dynamic and diverse leisure and entertainment industry. Betting and Gaming Council companies alone support 119,000 jobs. The figure is even higher if we include wider bingo, adult gaming centres and arcades on seaside piers. The online sector in particular is responsible for a growing number of well-paid tech jobs. The Government desperately need those jobs and the tax revenue they bring as we rightly build back better from the pandemic.
I refer to my entry in the Register of Members’ Financial Interests.
Is there not also a very big supply chain for these outlets, and is the not the fact that the industry adds to the life of this country, and is one factor that makes us an attractive venue for visitor attractions, greatly to be encouraged?
The right hon. Member makes a brilliant point. It is not just about the jobs, directly and indirectly, and the taxation to the Exchequer; it is also about the contribution of the industry to the cultural fabric of our society. I appreciate that point and will refer to it later.
The industry’s contribution to the national economy and local economies such as mine in Blackpool must be taken into account during the upcoming gambling review, which provides a golden opportunity to upgrade much of the legislation in an area that is increasingly becoming analogue in a digital age.
There have been concerns that the Gambling Act is not fit for the digital age, as the hon. Member is saying. Does he agree that there is an issue with offshore gambling organisations, which are not illegal, and that a review of this legislation should look at the loopholes that prevent control of offshore gambling, which is equally dangerous to gamblers who have addictions?
The hon. Member makes a valid point about the so-called black market or offshore gambling. Billions of pounds of UK customers’ money is spent on black market websites every single year. Of course, the problem is that, unlike UK online gaming operators, those offshore operators are not regulated and the propensity for online harm for people who have a problem is much higher. I thank him for raising that important point.
The key decisions in this review need to be taken by Ministers and Parliament. It is vital that the Government hear the views of both the industry and those who have concerns about problem gambling. I stress that the review has to be grounded in the evidence rather than blind ideology. We must not lose sight of the enjoyment that millions of people get from gambling, with recent polling suggesting that seven in 10 people in the UK gamble every single year and that 73% of people see betting as a leisure activity. This approach cannot be compromised by what some perceive to be the perspective advocated by the Gambling Commission.
Questions have to be asked about whether the Gambling Commission has extended its role beyond that expected of a regulator. Over the years, it has been said that the commission has taken a stance similar to the personal feelings of its chief executive at any particular time. Although the commission is there to support businesses and enable them to operate within the guidelines, it has on occasion unnecessarily made negative comments, been overly critical of the industry as a whole and faced criticism for being obstructive to firms trying to engage with it.
There is a real risk that over-regulation and intrusive precautions could push people towards the black market. Indeed, a PwC study has estimated that the size of the active black market in the UK has doubled in the last couple of years, and over 400,000 customers were predicted to have used an unlicensed operator in the past year, with an estimated spend of around £2.8 billion. The existence and potential growth of the black market poses a significant threat in terms of lost tax revenue, lost jobs, limited player protections and fewer money laundering protections.
When appraising the opportunities for necessary changes in regulation, we must take proportionate steps to continue to protect the small number of people who do have problems with gambling. The estimated rate of those with a gambling problem is around 0.5% of the adult population and has been stable for the past 20 years—a very small number in comparison with rates reported in other nations around the world, which is testament to the safeguards already put in place by the sector here in the UK. However, we must ensure that the necessary support is offered to those people. Those I have spoken to in the industry have acknowledged the need for such protections and appreciate the importance of protecting problem gamblers and young people. Over the last couple of years, the industry has voluntarily taken steps to increase safeguards for vulnerable people, including increasing funding for GambleAware, reducing TV advertising and educating children on the risks of gambling, as well as investing heavily in technologies that better identify and interact with customers who might start to have problems.
Above what the industry has voluntarily committed for funding for research, education and treatment for problem gambling, a blanket levy across the industry has been mooted. The evidence would suggest that this is simply not necessary. The Gambling Commission’s report reviewing the research, education and treatment arrangements states that a plausible sum for annual requirements would be in the range of £21 million to £67 million. I understand that, in 2019, the largest members of the Betting and Gaming Council agreed to increase funding for RET by up to £100 million over the next four years and committed to giving 1% of gross gambling yield to RET by 2023, bringing the total funding within that required range. A blanket levy would therefore be unnecessary and not be of any additional benefit to consumers. It is worth bearing in mind that these funds are already given voluntarily by the industry over and above the billions of pounds paid in taxes and duties to the Exchequer.
I understand that the Gambling Commission is looking into a system that aims to restrict a customer’s gambling spend to a limit based on a person’s discretionary income —known as affordability—to try to protect gamblers. Inherently, without an incredibly invasive and cross-industry system in place, this is a deeply flawed concept. All it would require to circumnavigate the limit would be for the player to open an account with another operator. Without the individual’s spend with all operators being tracked, their affordability limit would thus instantly be doubled. Most regular gamblers already have multiple accounts. Instead, this would create an off-putting and burdensome process for customers who wish to place a few bets simply for fun. There is no evidence to suggest that this reduces problem gambling, only that it reduces gambling overall. It is also morally questionable—where would all this end? Should we place affordability criteria on other areas of peoples’ lives, perhaps limiting spending on fast food, alcohol or anything else that people deem to be potentially addictive?
Further questions would also need answering if this were to be implemented. It would be near impossible to ask all the land-based gambling sector, including betting shops and casinos, to manage this directive. Would they even fall under the same regulations imposed on online operators? If not, that clearly creates an unlevel playing field for businesses while undermining the whole affordability strategy. How would all this actually work in practice?
Understandably, the whole industry, from bingo operators to casinos to sports betting companies, believes this to be an ill-conceived, blunt instrument that targets all gamblers. Its only real consequence is to reduce gambling overall, rather than focusing on protecting those vulnerable people with a genuine gambling problem. It is right that operators intervene where harms are identified, and support must always be made available, but this completely ignores the demand for gambling and, if we are not careful, will turn people instead to the black market if they are asked to provide intrusive documentation such as pay slips.
Flutter, a leading operator in the industry, has developed its own “affordability triple step”, three layers of protection as part of a flexible risk-based approach, while Entain has developed the ARC—advanced responsibility and care—platform, which uses cutting-edge behavioural science to spot whenever someone’s play becomes problematic, so that an intervention can immediately take place. Such schemes are just a couple of examples of the industry proactively taking steps to protect customers without the need for an over-reactive and invasive approach that targets all customers. Market research suggests that 40% of customers would not comply with affordability checks, and three quarters of them would look to evade restrictions by opening other accounts, playing in various physical locations and turning to unregulated online gambling sites, as alluded to by the hon. Member for Strangford (Jim Shannon).
Also of concern, for many of the same reasons, is the so-called single view of the customer, a proposal for a national database that will contain the betting information of every single gambler, as well as any personal information on their betting behaviour and information gathered about their financial position. The industry has been looking at more appropriate options whereby it shares information about those who are most at risk and have been flagged as having problems. It is far less intrusive to focus on those who need support rather than on every single person who likes a bet. Although the legal case is uncertain under general data protection regulation legislation, the Gambling Commission is looking to implement the proposal unilaterally. As previously mentioned, such policy proposals must be considered only within the context of the Gambling Act review.
Advertising and sponsorship provide valuable support for sports throughout this country. Betting sponsorship of sports such as horse racing, football, rugby league, darts, and snooker amounts to more than £70 million per year. Many clubs in the English football league are adamant that they could not survive without the income that they gain from gambling operators, which would not easily be replaced.
Importantly, advertising plays a role in keeping consumers safe, allowing operators to distinguish their offers from unregulated websites and communicating safer gambling messages to drive awareness and usage. Sky Bet’s Three Simple Tools campaign resulted in a 69% increase in the use of cool-off periods; a 10% rise in customers setting deposit limits; and 83% of Sky Bet customers using the profit-and-loss tool. There is little evidence to suggest that gambling advertising leads to problem gambling. In any case, the industry has voluntarily introduced a whistle-to-whistle advertising ban during live sport; support for safer gambling campaigns; and the newly released code on Adtech to minimise under-25-year-olds’ exposure to gambling advertising. The cumulative effect of these measures should be considered when we look to place any further restrictions on this already tightly regulated area.
Although the number of reported issues is incredibly small, when problems arise the Gambling Commission does not deal with individual complaints from consumers. That helps to build a case for an independent consumer-redress system, such as an ombudsman, for regulatory complaints. That would improve the process and make it more consistent for those who raise concerns.
Finally, with regard to the main commercial operators in the gambling industry, there are several needs for land-based casinos in the gambling review, but I do not want to give my right hon. Friend the Minister a sense of déjà vu, so I shall just reiterate my thanks to him for his thoughtful and engaging response to the recent Westminster Hall debate on some of the asks from the sector, the review of a super-casino and the opportunities that one could bring to a town such as Blackpool.
Quite distinct from the industry’s commercial operators sits the successful charity lottery sector. Charity lotteries exist purely to generate funds for good causes across Britain, with advertising fundamental to their ability to deliver this funding. It is vital that Ministers recognise, as the gambling review progresses, the distinct contribution of charity lotteries and the positive role that advertising plays in helping them to support good causes. In Blackpool, for example, the People’s Postcode Lottery has funded small grants totalling over £100,000, supporting local organisations such as Donna’s Dream House and the Blackpool football club community trust. Given that lotteries are widely seen as being low-risk for any problem gambling, changes to policy must allow them to thrive so that they can continue to do more for the good causes they support throughout this country.
In conclusion, I welcome the Minister’s further engagement with this important review, and I look forward to his response to many of the key issues alluded to in this speech, both in this debate and before the review finally comes back to Parliament in the autumn.
To finish on a political note, my constituency and many more like it with significant working-class communities were hard-won by supporters of this Government. Betting, and the sports that depend on betting, are part of our national culture. What is more, many of these people are sick and tired of being told what they can and cannot do, so the Government must tread very carefully here. Completing the review will not be an easy task. I am fully aware that the Minister will have to weigh up competing viewpoints, but I hope he can progress with a rational and evidence-based assessment that takes into account the need to protect the small number of people who have a gambling problem with the huge economic and cultural benefits that the industry has across the UK. The voters will not thank us if we get the balance wrong.
(3 years, 4 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I remind hon. Members that there have been some changes to normal practice in order to support the new hybrid arrangements. Members attending physically should clean their spaces before they use them and as they leave the room. I also remind Members that Mr Speaker has stated that masks should be worn in Westminster Hall.
I beg to move,
That this House has considered the UK casino industry.
It is a pleasure to serve under your chairmanship, Mr Mundell. Before I begin, I refer the House to my declaration in the Register of Members’ Financial Interests.
People’s perceptions of casinos often fall into two categories, either James Bond at the Monte Carlo Casino or problem gamblers chasing their next win. For 99% of people, however, that is simply not the reality. Casino goers are just ordinary people enjoying time out with family and friends. They have budgeted an acceptable cost for an evening’s entertainment, which is no different from purchasing an admission ticket to the theatre or attending the football on a Saturday afternoon.
Casinos bring many benefits to local communities. In Great Britain, 13,000 people are directly employed in casinos, with thousands more additional jobs generated in their supply chains. More than half of those working in the gambling industry are under the age of 35, a far higher proportion than in the wider economy, demonstrating the importance of the industry in providing entry-level jobs for young people looking for experience in the workplace.
Hundreds of people in Blackpool are directly employed in the three casinos across the town, as croupiers, waiters, security and chefs. Casinos offer long-term, year-round employment in my constituency, in what is otherwise a tourism-focused and therefore seasonal local economy.
Casinos also make a substantial contribution to the Treasury. In the financial year 2019-20, 128 casinos were operating in this country, paying a total of £213 million in gaming duty. Their contribution to the national economy and the job opportunities created in many towns, therefore, must be taken into account in the upcoming review of the Gambling Act 2005. The review has to be established on the evidence, not on preconceived ideas and ideology.
The hon. Gentleman may give me the answer that I wish to hear, and I hope that the Minister will endorse it when he responds. I have a real problem with some people in my constituency who are worried about gambling addiction. Will the hon. Gentleman confirm that for casinos overall—I know we do not have them in Northern Ireland—there will be protection for those with a gambling addiction? If they enter a casino, will that protection be in place, with the help they need to prevent them spending the money they should not be spending? I am very concerned about people with gambling addictions and need that reassurance.
The hon. Gentleman makes a valid contribution. I am sure that many people across the country share such concerns. I have visited a number of casinos, including the ones in my constituency, and I can honestly say that the safe gambling practices they have in place are second to none. I am sure that the Minister will address that point further in his remarks.
The gambling review needs to allow for the casino sector to implement much-needed modernisation and allow the industry to provide the services and experiences that its customers desire. Thankfully, I know that the Government’s objective is to ensure that the legislation is fit for the modern day, while of course committing to player protection and safer gambling measures, to which the hon. Member for Strangford (Jim Shannon) just alluded.
Legislation for casinos should have been updated in the 2005 Act. That in effect introduced an experiment for the sector: it legalised two new types of casinos, eight large and eight small, in predetermined areas. However, the truth is that that experiment has stalled. Fewer than half the 16 permitted casinos are now open but, crucially, an evaluation of the changes introduced by the 2005 Act has not occurred, meaning that there has been no consideration whatever of how the vast majority of other casinos, still governed by the 1968 legislation, would be modernised. Now is the time to do exactly that.
The outdated rules are exemplified by the number of gaming machines allowed in casinos. The 2005 Act allowed a maximum of 80 gaming machines on the premises of the small licence category casinos and 150 for the large licence category casinos, but the rest are limited to just 20 machines, regardless of their size. Most casinos across the world have thousands of machines. Let us take, for example, Belgium and Denmark, which have up to 140 times as many gaming machines per customer compared with casinos in Great Britain.
I draw the House’s attention to my entry in the Register of Members’ Financial Interests. Does my hon. Friend agree that if restrictions are too stringent, there is a great danger that people will play on the black market? PricewaterhouseCoopers, in a recent report, estimated that the value of people’s gambling on the black market had increased from £1.4 billion in 2018 to £2.8 billion just two years later. Is that not a worrying trend that we need to be careful of?
My hon. Friend makes a very valid point. Of course, many people will be concerned about some of the Gambling Commission’s proposals on affordability and the extent to which they could drive people into the arms of black-market operators. I know that that will be tied up in the gambling review, and the Minister will potentially address those points—if not today, then as the review continues on its way to the autumn.
I thank the hon. Gentleman for drawing attention to regional casinos, but does he, like me, find strange the Government’s lack of desire to improve and upgrade the legislation? It is especially stranger given that casinos are part of the tourist attraction offer not only domestically, but internationally, particularly in London, with high-value visitors, and that that is an enormous contributor to national revenue through gambling tax—let alone some of the changes that are taking place, such as the disappearance of cheques. Is there not an urgent need to recognise this industry’s importance for the Treasury, but also for the wider ecosystem that makes Britain a desirable destination?
Absolutely. I thank the right hon. Gentleman for his valid points. I hope that, as part of the review that is ongoing, those points can be addressed. Over the last 14 years or so, it would have been hoped that the experiment that I just alluded to from the 2005 Act would have allowed ordinary casinos to be updated, in terms of their practices and regulation. Disappointingly, that has not happened, but the review offers a golden opportunity to now do exactly that.
I was talking about the number of machines operated in some ordinary casinos. The Hippodrome in Leicester Square is restricted to just 20 machines. That in effect means that during busy periods there can be up to 75 customers in the building for every one gaming machine, which is incredibly perverse. Of course, there is little, if any, evidence to link problem gambling to the number of slot machines available. Gamblers can only play on one machine at a time. And there have not been any such issues from the casinos licensed under the 2005 Act that have substantially more machines. Instead, the lack of available machines means that potential customers face long delays to play and, when they finally are able to play, they feel uncomfortable, knowing that others are waiting to do so as well. In fact, it stops people leaving their machines, through fear of losing their spot—counter-intuitive to safer gambling practice.
Introducing a machine-to-table ratio would relate the number of machines to the size of the casino. That would ensure a suitable number of machines for the size of premises and stop ridiculous scenarios such as that at the Hippodrome. Rank Group, which operates 52 casinos, has suggested starting with a five-to-one ratio to cater for customer demand. The size of a casino, and therefore the number of machines, would be for local authorities to decide during planning applications, which would enable them to ensure a suitable local offering.
Existing laws also limit the choice for customers using gaming machines by restricting electronic versions of casino games to those based on physical events. In effect, that restricts casinos to offering only electronic roulette, as games such as blackjack are much more difficult to offer electronically with the necessary physical event. That makes little sense as there is no identifiable reason that a customer is safer or receives any additional protections from a random physical event rather than a random number generated game. [Interruption.]
Order. I do not intend to suspend the sitting for the Division in the House because both you, Mr Benton, and the Minister have proxy votes. Let us continue.
Thank you, Mr Mundell. Legislation fit for the modern-day customer would also enable casinos to offer a wider range of casino games via electronic terminals. That would allow gamblers to play at much lower stakes than on live tables.
A second inconsistency between the 2005 Act and the 1968 Act relates to the ability to offer sports betting. The new legislation allows for sports betting at the casino, yet the historical legislation does not. There is a relatively small number of casinos in the UK compared with the thousands of licensed betting offices. Therefore, any change to legislation to allow sports betting in casinos would have little effect on the betting offices sector. Casinos would not become the favoured place for sports betting, yet they would be able to offer a complementary service to the casino floor. It is archaic and puzzling that casinos cannot offer sports betting when casino customers can simply pick up their phone, open an app and make a sports bet online. There have been no reported issues from casinos that can offer that facility. Yet again, internationally that means we are lagging behind, because that is normally a standard offering in a casino.
It is not just placing bets that people increasingly do electronically. Society is rapidly moving away from using physical cash in all transactions, with electronic payments estimated to be used in up to 80% of transactions in the retail industry. Yet the majority of payments in casinos remain cash-based. No doubt accelerated by the pandemic, in many situations across the UK it is impossible to pay for goods or services with cash. As such, it is scarcely believable that restrictions would bind an industry to cash payments only.
Casinos need to be able to offer a cashless option to keep up with changing customer expectations. The controls on cashless opportunities in casinos are detrimental to business and restrict customer choice. There would be no additional risks to customers, as operators would continue to ensure that safeguards were in place to prevent people from spending beyond their means. That could be similar to the measures casino operators have in place elsewhere.
Other credit issues relate to high-end casinos in Mayfair, which bring in incredibly wealthy individuals from around the globe. Those casinos can accept cheques from players to facilitate the transfer of funds from abroad. However, the future of cheques is constantly in doubt, and some countries have already stopped their use in favour of electronic payments. Without the ability somehow to accept payments from those individuals, casinos would close overnight. Jobs and the significant contributions to the Treasury in gaming duty would be lost, along with the indirect investment and spending brought by those gamblers when they visit the UK. Electronic payments and permitting those casinos to give credit for gambling to high net worth individuals, with robust anti-money laundering controls in place, would make it possible to continue offering that service.
No part of the betting and gaming industry has been as severely affected by the pandemic as land-based casinos. These are small asks that would future-proof the sector while safely increasing what it could offer to consumers. Refusing to bring legislation into the 21st century, and ignoring the demand for gambling by over-regulating the industry, will only see casinos left behind, unable to compete and match the modern-day expectations of customers, which in turn will lead to a decline in jobs and tax revenue, and the sector’s contribution to economic growth. I hope the Minister will address those issues in the review, and I look forward to his response to those points.
The 2005 Act allows for one regional casino, or super-casino as it is sometimes known. A regional casino is defined as having a minimum total customer area of 5,000 square metres, and will be permitted to have up to 1,250 gaming machines. Paul Ward, a hotel operator in my constituency, has experience of working in a large casino abroad, and he has said:
“A super-casino isn’t just about gambling. I worked in a casino in Perth, Western Australia for a while. The employment opportunities were incredible… it created jobs for 1,500 people. The tourism it generated on top was amazing.”
The Government of the time agreed with that assessment and expected that a regional casino would be a major development, offering clear potential for regeneration and bringing in major investment and providing accommodation, as well as conference facilities, restaurants, bars, areas for live entertainment, leisure attractions and, of course, a premium gambling experience.
The primary criteria laid down by the Secretary of State at the time were to ensure that any chosen location would satisfy the need for the best possible social impact, and focus on areas needing regeneration. In a 2019 study comparing 32,000 neighbourhood areas across England, the Ministry of Housing, Communities and Local Government looked at income, employment, education, health and a few other factors. All the neighbourhoods were then ranked against each other. The sad result of the study was that eight of the top 10 most deprived neighbourhoods in England are based in Blackpool—a shocking statistic that clearly underlines the desperate need for substantial regeneration in my constituency.
There is widespread support across town for a regional casino. Ian White, a director of the approved hoteliers’ group, StayBlackpool, has said:
“A super-casino, bringing in dynamic investment would stimulate and support a truly year-round economy that the resort needs.”
Following the introduction of the 2005 Act, local authorities could bid for small, large or regional casino licences. Blackpool, of course, was a clear frontrunner to be awarded the regional casino. However, somewhat surprisingly, the panel recommended that it should be awarded to Manchester. Partly owing to that, a statutory instrument that was required to approve its location was defeated in the House of Lords in 2007. The issue has since been swept under the carpet, ignored and never returned to.
The Select Committee on Culture, Media and Sport looked at casinos in its 2012 report on the Gambling Act, as I am sure the Minister recalls. On regional casinos, the report said that there was
“a general reluctance to discuss the development of regional casinos”.
Perhaps now, 14 years later, the time has come to re-examine the issue. Allow me to share the words of Amanda Thompson OBE, owner and managing director of the Pleasure Beach:
“The creation of a super-casino in Blackpool would herald a new powerful tourism brand for the resort and create a new holiday experience that would be a catalyst for inward investment, supporting growth, development and prosperity across all sectors.”
Although there is clearly no silver bullet to change Blackpool’s fortunes, a super-casino would create many jobs in the town, from contractors working on the site initially to staff at the premises once completed. There would also be a significant boost for local companies that could offer goods and services to the casino, its staff and its customers.
Will the Minister commit himself to reviewing the case for a regional casino during the gambling review and assess the significant positive economic impact that a regional casino could make to a town such as Blackpool, which would be the obvious location to host such a casino?
(3 years, 5 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
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As I have said previously, we are well aware of the sector’s concerns and the uncertainty with which it is living. That is precisely why we are trying to get as much open as soon as possible. The sector needs to have confidence to reopen and do what it does best: getting out there, entertaining people and enabling people to enjoy themselves at sporting events and so many other things. The Secretary of State did say to the Select Committee that we are aware of the concerns about indemnity and looking at options.
Thanks to the brilliant events research programme, thousands of people have been able to enjoy events including the FA cup final and Euro 2020 fixtures at Wembley. Following the programme’s success, does my hon. Friend agree that there is no reason why we should not be able to open up football stadiums at full capacity from the start of the new season in August?
I absolutely share my hon. Friend’s hope and aspiration. That is precisely why we conducted the programme. Despite the cynicism we have heard from Opposition Members, the events research programme is important not just for its scientific learnings but in helping to lift the mood of the nation. The fact that we have been able to watch football with crowds in stadiums again has been fantastic. We will shortly see other events such as Wimbledon, with centre court again at full capacity. Life is getting back to normal, and that is something we should be celebrating.
(3 years, 8 months ago)
Commons ChamberMay I begin by congratulating the Government on the truly remarkable success of the vaccination roll-out and the extraordinary progress made so far? More than 20 million vaccines have now been delivered, with 27,000 of my constituents receiving their first jab. It is, of course, imperative that we maintain this progress and continue to drive down infection rates so that we can meet the key tests set out in the Prime Minister’s road map.
The road map is rightly cautious and led by data rather than dates. We are leading the world by providing a pathway out of restrictions. For businesses in my constituency, this provides an opportunity to look towards operating close to normal this summer. Until businesses in Blackpool can reopen, the financial support provided so far simply must continue. As a Government, we have stood by businesses throughout this pandemic, and it is vital that businesses are provided with the right conditions to prosper when they can reopen. I have been told by so many businesses how crucial the VAT reduction has been. By extending it for a further 12 months, we will give them the breathing space to drive forward the economy and protect livelihoods long after the furlough scheme has ended. The same can also be said for extending the current business rates freeze.
The overall package of support for businesses from the Treasury has been truly remarkable. In particular, the £1.6 billion investment in UK culture through the culture recovery fund has gone a long way towards securing the future of significant venues in Blackpool, such as the Tower Circus and the Grand Theatre, which will of course be delighted to hear that significant additional support for the arts and culture sectors will be included in tomorrow’s Budget.
Not only do Blackpool’s historic visitor attractions employ hundreds of local people directly, but they entice holidaymakers to Blackpool, to the benefit of all businesses. For example, the winter gardens, a beneficiary of the culture recovery fund, attracts 1.1 million unique visitors per year, who spend money throughout Blackpool, thereby supporting other outlets.
It is fantastic that a second round of culture recovery grants are currently being administered; hopefully, this will include other local venues, such as the world-famous cabaret bar Funny Girls. Blackpool is of course renowned for its LGBT entertainment venues, and in that regard it would be remiss of me not to mention Basil Newby, who opened some of Blackpool’s first gay venues 40 years ago and whose bars and clubs have been a mainstay of the LGBT community ever since. At the end of LGBT History Month, his contribution to the community deserves particular recognition, and I look forward to joining him in May when Funny Girls reopens.
(3 years, 11 months ago)
Commons ChamberThe hon. Gentleman will be aware that the Government are considering action on the broader issue of online harms and the role that social media companies play in that. That work will be undertaken alongside this review, as well, and we will certainly work together. I will work with colleagues in the rest of the Department to make sure that we are very much aligned.
Some 200,000 customers used an unlicensed gambling operator last year, resulting in an estimated £1.4 billion in turnover. What discussions has my hon. Friend had with online platforms to tackle this black market in gambling?
Like several other Members, my hon. Friend raises the important issue of the black market. As I have said, that will be considered as part of the review. We welcome evidence and suggestions from all stakeholders, in helping to scope not only the size and scale of the black market, but what further actions could be taken to tackle it.
(4 years ago)
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In late September, a number of football league clubs demonstrated that they could welcome fans back safely into stadiums in several trial games. I was fortunate enough to be at Bloomfield Road to see Blackpool beat Swindon in one of those successful and safe pilot games.
Football league clubs have excellent crowd control due to pre-existing regulations. Working with the Sports Grounds Safety Authority, they have developed guidance for the safe, socially distanced return of fans. Of course, that brings challenges—fans must follow the spectators code of conduct that is issued to them before games—but from what I witnessed, fans abided meticulously by the planned safety measures.
A survey asking fans whether they had adhered to restrictions following the pilot games suggested that more than 98% thought they had. The measures that had been put in place, including wearing face masks, using hand sanitiser, following one-way systems and staggering entry and exit to the stadium, were conducted in an exemplary manner.
About 1,000 fans were at Bloomfield Road, which has a maximum capacity of more than 17,000. In my opinion, the attendance could easily have been increased to between 25% and 35% of the total capacity with no impact on the safety of those attending. That is important, because although the clubs that took part in the trial games, including Blackpool, were delighted to do so, the cost of opening stadiums for such a small number of fans was excessive and would not be commercially viable on a regular basis. If we are going to see fans back in stadiums, of course that has to be done safely, but it also has to be done at a level at which it is viable to operate in the short term.
Before the new national restrictions were introduced, cinemas, theatres and other indoor venues had allowed audiences back. Football stadiums are obviously better ventilated and, at about 30% capacity, would be operating at a lower proportion than the indoor venues that were allowed to open in October. Most clubs can also provide enough car parking spaces for that level of attendance and did so cost free at the trial games. That resulted in more than 90% of fans travelling by car or on foot and reduced the risk of transmission from journeys before and after games on public transport. It is not just the fans who are suffering; it is the clubs directly. Their finances are at breaking point. I implore the Government to get fans back into stadiums as soon as possible.