High street betting shops and their importance to the local economy continue to be championed by the Betting and Gaming Council (BGC), as future advancements of the sector come under enhanced scrutiny under the UK Government’s Pride In Place program.
High street betting shops provide knock-on support for local businesses and tax payments, the standards body said. But local authorities have been given greater say over where new land-based gambling firms can be built.
The effect of Pride In Place on gaming licensing
Pride In Place is aimed at providing local government with greater decision-making powers and access to funding for projects that can assist revitalize high streets, public spaces and local heritage.
The program includes decision making on ‘Cumulative Impact Assessments in gambling licensing’. This will decide where gambling outlets are situated and how many of them there are in local communities.
The program includes: “ Under section 97, this will allow local authorities to make data-driven decisions on premises licences, particularly in areas that have been identified as being vulnerable to gambling-related harm.
“This will give local authorities the ability to better shape their high streets and neighborhoods and ensure a healthy mix of premises in their town and city centers.
This will have implications for the future of betting businesses on UK high streets, with local governments previously raising worries over towns being swamped by ‘24 hour slot shops’.
Calls were even made to alter the Gambling Act with 36 councils and two mayors calling for reform to the framework in a letter written by Brent Council leader Muhammed Butt to DCMS Secretary Lisa Nandy.
The letter said: “Communities such as Brent are witnessing a surge of land-based gambling operators spreading across our high streets, seemingly targeting areas of higher deprivation to increase profits. The shocking concentration of these facilities is often met with intense community opposition, as well as concerns from public health and community safety professionals.
“But despite this common opposition among residents, police and politicians, councils have found themselves effectively powerless to intervene. The existing legislative ‘Aim to Permit’ requirement severely limits a council’s authority to stop the development of more gambling venues, even where the community clearly objects.”
One of the most prominent voices for change is Andy Burnham, the Mayor of Greater Manchester, who has been tipped in the run-up to the Labor Party’s annual conference to make a push to become the next Labor leader.
BGC: Local business supported by betting shops
In response to the Pride In Place program guidance on land-based gambling operations, the BGC has pointed out the tax contributions made by high street betting shops and the knock-on support they bring to local companies.
“The BGC is proud to support our members in their work to support Britain’s beleaguered high streets. Betting shops employ 46,000 people, pay approximately £1bn in direct tax to the Treasury and an additional £60m in business rates to local councils each year, while operating under the highest standards on player safety and age verification.
Crucially, research from ESA Retail shows that 89% of betting shop customers visit other nearby businesses when they go to the bookies, offering a welcome boost to high street retail. But the number of betting shops has dropped by 29% since 2019 - more than 2,300 closures in just five years, with thousands of jobs lost, and millions in tax revenue.
“Some 22.5 million people in Britain place a bet every month – in the lottery, in bookmakers, casinos, bingo halls and online – and the vast majority do so safely and responsibly. “The latest NHS Health Survey for England estimates 0.4% of the adult population are problem gamblers.”
Unknown future.
There is growing speculation that the UK's regulated gambling market could face a tax hike, with the UK Government expected to shortly exert major pressure on all sectors of the gambling industry.
BGC is not surprised to hear such a move, with a BGC representative saying: “We strongly oppose proposals to raise taxes on the regulated betting and gaming industry.
It would be a nearsighted decision that would damage jobs, investment and sports financing, and would not raise more income. BGC members already add £6.8bn to the economy, pay £4bn in taxes and support 109,000 employment. “Any additional tax rises on top of reforms that have already cost the sector more than £1bn threaten to jeopardize a responsible industry.
Every time the Treasury squeezes the regulated sector it just boosts the hazardous black market which pays no tax, offers no consumer protection and puts UK employment and growth at risk.
The annual conference of the Labor Party this week could give a clue to the UK Government's intentions for the gaming industry.
There are already plans that have been published that could effect the UK gambling business. For example, Digital ID will be obligatory for workers in the UK by the end of the current Parliament.
Capitalixe's Lissele Pratt told iGaming Expert that the Digital ID policy is daring and polarizing, but that it may be a huge danger if done badly.
