Perplexing Proposals Leaves Regional Casinos As Heavyweights
The Department of Culture Media and Sport, the body responsible for gambling in the UK, has delivered its latest set of guidelines for the modernisation of the sector. And by paving the way for a new regional definition of resort style UK casino, UK government has put a hearty block on the hopes of all but the largest of operations, as they, and only they, will be able to operate unlimited jackpot category A machines.
No Uk casinos will be allowed unlimited numbers of slot machines with the government wanting these machines to be introduced gradually to allow close monitoring of their effect on consumer behaviour.
The new definitions make for interesting reading. Small casinos will need a minimum table area of 500m2 (the rounded metric equivalent of 5000 square foot). Small casinos will also require a minimum non-gambling area available to customers of 250m2. Operating on a 2:1 slot to table ratio they will be allowed a maximum of 80 category B jackpot machines, and will also be allowed to to provide betting, but not bingo.
Table areas in the large UK casinos must be 1000m2 along with a minimum non-gambling area available to customers of 500m2. The ratio jumps to 5:1 category B machines for each gaming table available for play, running to a maximum of 150 machines. They will also be permitted to provide betting and bingo.
Regional casinos will require a minimum area exclusively for casino table games of 1000m2 and a minimum additional gambling area of 2500m2. They will also require a minimum non-gambling area available to customers of 1500m2. They must operate a minimum of 40 table games and will operate on a ratio of 25 category A machines for each table, with a cap of 1250. Regional UK casinos will be allowed to provide both betting and bingo.
As the preserve of the newly categorised 'regional casinos' whose ancillary function will be to act as economic engines for urban regeneration programmes, the body blow by the limitations on unlimited jackpots has left many in the UK casino sector somewhat against the ropes.
John Kelly of the 32 UK Casino strong Gala Group pulled no punches in his appraisal, saying that the proposals were disappointing and failed to provide a level playing field between incumbent operators and overseas investors. "We are perplexed by the proposals and will be asking the government what the rationale behind these proposals is", he said.
Brian Lemon, general secretary of the Casino Operators Association, took the blow on the chin: "The US industry essentially runs on slot machines in vast numbers and they want them immediately", he said. "This would introduce in the UK an an expansion in a form and style of gambling hitherto unseen in Britain, which at the same time introduces further unnecessary risk because of the 'big bang' approach".
With foreign investment now likely to focus on regional rather than large casinos, it could be argued that these latest recommendation bring a greater degree of grandfather protection.
