APPENDIX 4:DRAFT GAMBLING (GEOGRAPHICAL
DISTRIBUTION OF LARGE AND SMALL CASINO PREMISES LICENCES) ORDER
2008
Letter from Great Yarmouth Borough Council
1. I understand that the Merits of Statutory
Instruments Committee has recently examined the Draft Gambling
(Geographical Distribution of Large and Small Casino Premises
Licences) Order.
2. I wanted the opportunity to provide you with
some comments from Great Yarmouth Borough Council, as we are one
of the 16 local authorities proposed by the Order to award a large
casino licence.
3. We are hopeful that the removal of the regional
casino from the Order will allow the sixteen large and small casinos
to go ahead. We had been reassured by the apparent cross-party
support for the sixteen casino areas in last year's debates and
very little has changed in that time.
4. We have invested a great deal of time and
resource in the process over a long period. Our concern in Great
Yarmouth is that a rejection of the Order will severely hamper
our regeneration plans. The proposed large casino for Great Yarmouth
has very strong cross-party support at Great Yarmouth Borough
Council and is a major part of our regeneration strategy. In particular,
it will provide employment opportunities for local people and
help establish Great Yarmouth as a year round tourism destination.
5. We have had considerable interest from potential
developers wishing to provide a casino development but can assure
the Committee that no decisions have been made regarding sites.
We recognise the need for fairness in selecting a casino site
and support a competition process as the means of ensuring the
best development for local people.
6. We note the Committee's concerns regarding
traceability of impacts but the provision of other gambling facilities
(including on-line gambling) is common to every authority in England,
Wales and Scotland. However, the Committee raises an important
point regarding the need to test the social impact of the casino
and the Licensing Authority will establish studies to monitor
such impact.
7. Finally, the Licensing Authority takes its
responsibilities under the Gambling Act 2005 very seriously. We
attach great importance to the minimisation of harm and will ensure
that the licensing objectives of preventing crime and protecting
the vulnerable from harm are suitably reflected in the criteria
for the competition process.
Barry Coleman
Leader of the Council
8 May 2008
Letter from London Borough of Newham Council
1. I understand that the Merits of Statutory
Instruments Committee has recently examined the Draft Gambling
Order 2008.
2. I wanted the opportunity to provide you with
some information on Newham's position as one of the 16 local authorities
proposed by the Order to award a casino licence - in Newham's
case a large licence.
3. It will no doubt come as little surprise to
know that Newham is supportive of the geographical distribution
recommended by the Casino Advisory Panel. This view and support
for a casino in Newham has become more focused following two key
processes - review by an Independent Commission (chaired by Sir
Henry Brooke) and a citizen's jury held in the borough. I set
out those processes and key findings in the attached appendix
[not submitted].
Newham's position
4. As you will see, Newham has gone through an
intensive process of looking at the evidence, assessing the impact
locally, and understanding residents' views. As a consequence,
we support a casino in Newham because it will complement our regeneration
programme, including, crucially, providing employment opportunities
for local people.
5. Newham has the third highest rates of worklessness
in the country and DWP figures show us that that there are 18,000
in Newham who have never worked. Worklessness is the greatest
factor in high levels of poverty in the borough.
6. Combined with major developments such as Stratford
City - a mixed retail, business and housing development-the casino
will bring a range of employment opportunities including much
needed entry level jobs. We are of course playing our part in
making sure that residents are job-ready, including the provision
of the skills employers tell us they needs and ensuring that barriers
such as the benefits trap and child care needs are removed.
7. Developers understand the need to develop
a skilled workforce for their planned leisure facilities - the
regulatory and financial aspects of a casino would make this an
even greater priority.
8. The main potential operators all have recognition
with trade unions - the GMB or Unite. The trade unions themselves
believe that casinos can have a significant regenerative impact
and act as a base or catalyst for other leisure developments.
GMB locally have already publicly stated their support for the
development of a Casino in the borough a means of providing quality,
unionised jobs with training and development opportunities for
local workers.
9. I understand that you have highlighted three
key issues in evaluating the Order. Newham's response to each
of those issues is set out below. However, I should first note
that local authorities will take a significant role in ensuring
the public interest in relation to the legislation is served -
most notably measuring impact, ensuring benefits realisation,
preventing crime and protecting the vulnerable from harm. As Newham's
community leader and chief advocate I take this duty seriously.
Furthermore I believe that the application of a local gambling
policy and the premises licensing and competition processes provide
the tools to undertake that duty.
Extent to which the Gambling Act's licensing objectives
of preventing crime and protecting the vulnerable from harm had
been reflected in the selection criteria
10. I cannot comment on behalf of the CAP's decision
making process, but I believe that our submission carefully considered
these matters which continue to be central concerns in the process
going forward.
11. In common with the national picture, Crime
and ASB is already a major issue for Newham's residents. The Independent
Commission heard that the Metropolitan Police have found no correlation
between casinos and prostitution in the context of London. This
view is also reflected in the majority of research abroad.
12. The Metropolitan Police team who provided
evidence voiced the view to the Independent Commission that there
is no link between casinos and prostitution. Newham's Borough
Commander is of the opinion that a large supermarket would bring
more crime/anti-social behaviour than a casino. The Met also felt
that a casino would have a sufficient level of security in place
and a stringent enough admissions policy to ensure that crime
did not become a problem. Indeed, this would be a requirement
of our gambling policy and within the competition process. The
successful operator would also be subject to stringent monitoring
in this respect.
13. The evidence shows that problem gambling
is prevalent in forms other than in casinos. The British Gambling
Prevalence Survey 2007 found the problem gambling prevalence rate
was the same as it had been in 1999 (0.6%). Problem gambling growth
areas were focused on internet-based gambling and fixed odds terminals
in bookmakers. The highest prevalence of problem gambling was
found among those who participated in the past year in spread
betting (14.7%), fixed odds betting terminals (11.2%) and betting
exchanges (9.8%). There are links between problem gambling and
deprivation as well as amongst certain ethnic groups.
14. GamCare states that in many bookmakers, revenue
generated from fixed odds betting terminals (FOBTs) now exceeds
traditional over-the-counter gambling. Up to £100 can be
staked on an individual bet. Debit cards are accepted over the
counter. The Gambling Commission licences betting shops and LBN
cannot inspect them as we can for other licensed premises - for
instance we regularly operate test purchases for the sale of alcohol,
cigarettes and knives and undertake related legal action. It is
fair to suspect that oversight of FBOT machines by bookmaker staff
is not as focussed or effective as the oversight operated by casino
operators.
15. Thus problem gambling already exists within
Newham, with or without a casino. Local Authorities do not have
strategies for tackling problem gambling, but Newham is in the
process of developing a strategy including information sharing
and enforcement activities. In Newham we also have specific issues
with slot machine operators on the high street, illegal fruit
machines in fast food shops and illegal street gambling. I want
a casino operator who will not only deal effectively with the
problem in their casino but also help resource and support a sustained
campaign against the wider problem. Any operator would have to
satisfy conditions we lay down - including avoiding passive gambling
or causing cultural offence. I want those safeguards to be the
toughest in the country.
Freedom set out in the Order to issue a licence
for any site within that authoritys area - non-limitation to sites
proposed to the Panel
16. We support a competition process as the means
of ensuring the best development for local people. Thus we support
freedom within the Order to consider all applications in terms
of supporting an open competition process. Of overriding importance
is ensuring that the premises licence and competition processes
and outcome meet public expectations including realisation of
benefits, control of crime and antisocial behaviour and protection
of the vulnerable from harm. Adherence to such principles will
ensure that the licensed operator is sited in a location which
responds to the public interest.
17. Realistically, in an urban area, there is
a limit to the potential sites that could be developed as a casino,
and the sites set out within our original submission to CAP remain
the most likely applicants. Equally, the principles set out in
our submission to CAP hold true as the guidelines for the controls
and benefits within our policies and competition process. One
of the clear benefits of the licensing/competition process will
be our ability to lever the best possible deal in terms of employment,
regeneration, security and controls, from sites where the impact
can be highly controlled - and away from residential sites, schools
and the like as set out in our gambling policy.
18. The potential developers tell us that a casino
in Newham would be aimed and marketed at pockets of affluence
outside the borough - primarily Canary Wharf and the wider South
East - rather than local residents. Residents would have access
to the wider leisure and entertainment facilities as well as benefiting
from the employment and regeneration an entertainment complex
would bring.
19. The Newham licence is highly sought after
because of its location within the M25 and affords access to the
South East. Infrastructure, especially after 2012, would allow
operators to easily and effectively attract visitors from outside
the borough.
Traceability of social impact, particularly in
an urban context
20. The Committee raises an important point regarding
the need to test the social impact of the casino - benefits and
negative aspects - effectively and independently from other influencing
factors.
21. Newham has long invested in independent,
robust and longitudinal research as a means of measuring the impact
of what we do and guiding our policies and service provision.
22. We are the only local authority area outside
of Los Angeles to commission a Household Panel Survey, now in
its fifth wave. The survey allows us to trace the circumstances,
attitudes, well- being and lifestyles of households across the
borough on a longitudinal basis. We also commission surveys on
liveability (testing residents' experience of local areas and
services), young people, older people, resident satisfaction and
different communities living in the borough. In addition we undertake
service user surveys (such as our annual tenants and leaseholder
survey) and commission research to understand particular issues,
using tools such as focus groups, impact assessments and in-depth
studies of individuals' circumstance.
23. I am committed to understanding the effects
of a casino in Newham, not least because I want to ensure that
we will be meeting our objectives I am confident. that, such is
our expertise in research and evaluation, we will ensure a robust
assessment of the impact of a casino rather than measuring wider
regeneration or developments.
Sir Robin Wales
Mayor
2 May 2008
Letter from Scarborough Borough Council
1. Having recently read the Merits of Statutory
Instruments Committee report relating to The Gambling Order 2008
(Geographical distribution of Casino Premises Licences). Scarborough
Borough Council would like to take this opportunity to provide
you with some additional information and clarification on the
issues raised in the report and request your support in ratification
of the related Parliamentary Order.
2. As you are no doubt aware Scarborough Borough
was recommended by the Casino Advisory Panel (CAP) for a small
casino within the previously debated Order of 2007.
3. It is our consideration that the CAP process,
which spanned 16 months, was rigorous, transparent and fair and
that the criteria, based on the Governments National Policy Statement
announced in Parliament in 2004, were clearly defined and consistently
applied.
4. Scarborough is currently experiencing a significant
period of regeneration under its "Renaissance Programme"
however there remains much work to be done in order to maintain
the momentum gained and secure a sustainable future by embracing
and developing diverse opportunities for the future of the town
and its residents.
5. A new casino development in Scarborough, when
coupled with the associated regeneration opportunities, would
provide a greatly valued element to achieving this goal.
6. With regard to the 2005 Gambling Act Licensing
Objectives of preventing crime and protecting the vulnerable from
harm Scarborough has for a long time been host to casino's and
gaming in one form or another. There is no evidence to suggest
that such activity when properly regulated and managed has any
detrimental effect on crime and disorder.
7. We do acknowledge that casino gaming has the
potential to create additional opportunities for problem gambling
to occur. However, Scarborough is currently host to one casino
(not two as stated within the Merits Committee report) and a number
of amusement arcades, bingo halls and betting shops. Amongst the
local populous gaming is therefore part of the accepted culture
and economy. A new destination casino as proposed within Scarborough
would do little to change this culture or increase incidents of
problem gaming.
8. In addition, Scarborough Borough Council,
as part of its criteria for the selection of a casino operator
will stipulate that any developer proposing to build and operate
a new casino in Scarborough provide awareness, education and support
for the prevention and treatment of problem gambling, not only
within the new development but throughout the Borough and in association
with the other gaming providers within the town. Therefore the
development would provide an invaluable infrastructure to protect
the vulnerable, which doesn't currently exist.
9. In relation to the issue of traceability and
measurement of social impact and the perceived problems of differentiating
between the regeneration brought about from a new casino development
and the existing regeneration programme. As stated previously
Scarborough is currently undergoing a significant period of regeneration,
much baseline data on the Boroughs socio-economic profile has
been gathered. A great deal of the work undertaken within the
town has been with the financial support of external funding partners.
As a result, detailed records have and are being made to record
the socio-economic outputs resulting from Scarborough's existing
regeneration activities.
10. Additionally, we are committed to recording
and interpreting the impact of a new casino in Scarborough, in
line with the objectives of Government and at a local level to
ensure that the regeneration aspirations, objectives and well-being
of the town are being met.
11. The impacts of a new casino development will
therefore be readily differentiated from the existing regeneration
activities.
Tom Fox
Leader of the Council
8 May 2008
Letter from Southampton City Council
1. As you will be aware, Southampton has been
identified as one of the areas which, under the draft Order, would
be granted the ability to award a licence for a large casino.
2. The Council is aware that the draft Order
was debated by the Merits of Statutory Instruments Committee in
March of this year and has sight of the Committee's Fourteenth
Report.
3. We are very concerned that the Committee did
not seek to request further or updated information from those
authorities directly affected and sought to rely on the data and
evidence submitted by authorities during the original bid process.
Obviously, since those bids were submitted being nearly two years
ago, matters have moved on and accordingly some of the information
presented to the Merits Committee is outdated or, in some cases,
wholly irrelevant.
4. With regard to Southampton, in paragraph 24
of the Fourteenth Report, reference is specifically made to evidence
that the Committee sought last year during its previous consideration
as to how the competition for the licence could be fair in certain
situations. The information supplied by the Council at that time
was correct, but it was based on the Council's submission for
a regional casino. We do consider it very important that the current
position is placed before the House of Lords when considering
the draft Order.
5. It appears from the Merit Committee reports
that they were concerned about, or gave the impression of, partiality
and the fairness of any award competition when any Council had
previously entered into some form of exclusivity agreement with
a potential applicant.
6. From Southampton's perspective, we had never
courted, identified or appointed a preferred operator either at
that time or since. What we did have in place was a time limited
exclusivity agreement during the time of our bid for a regional
casino licence with an interested party. Subsequently, the Council
was not short-listed for a regional casino but has been awarded
a large casino licence. The operator party to the exclusivity
agreement terminated the contract and has, we understand, withdrawn
from the UK gambling market.
7. The Council does not have nor would it ever
seek to have any further exclusivity agreement or preferred operator
status being granted to any interested operator and will ensure,
as will all other authorities, that any competition process is
scrupulously fair and beyond legal challenge. I would not let
it be anything less.
8. The Council's bid was firmly based on the
unique regeneration benefits that the casino and related development
would bring to deprived areas of the city including an ambitious
but achievable aspiration to reclaim parts of the sea and significantly
extend Mayflower Park in the heart of the city and adjacent to
the Port of Southampton . Those aspirations still remain together
with the direct and indirect job creation that the development
would bring.
9. The Council, cross party, is also acutely
aware of the possible impact that a new casino could have on the
community, or certain parts of the community, and was extremely
open in its bid to the Casino Advisory Panel that it would seek
to place significant responsibilities on any operator awarded
a licence together with detailed and workable requirements as
a part the competition criteria to ensure that any operator granted
a licence would be contractually bound in addition to any licence
conditions attached to ensure that it fully met those responsibilities
together with the Council and other responsible authorities, the
Primary Care Trust, Gamcare and like bodies. However, it has to
be said that there are already three well established casinos
in the city and that they are very well run and have no discernable
negative impact on the community. It is fully appreciated that
any new style of casino would be larger than the existing ones
and accordingly this may attract those who may previously have
not been interested in gambling. We are fully ready to meet the
possible effects of this.
10. Accordingly, we would urge the House of Lords
to give its approval to the draft Order.
Mark Heath
Solicitor to the Council
9 May 2008
Letter from the City and County of Swansea Council
1. I am writing in respect of the above Order
which will be debated on 15 May, and which is of great significance
to the City and County of Swansea. If approved, the Order would
authorise sixteen local authorities (including Swansea) to license
the eight large and eight small casinos permitted by the Gambling
Act 2005. I hope you will allow me to make some comments in advance
of the debate.
2. Swansea is greatly encouraged by the Culture
Secretary's statement on casino policy to the House of Commons
on 26 February 2008. In this statement, he confirmed that there
was a consensus of views, including those expressed by Opposition
front bench and by their Lordships, calling for the sixteen local
authorities identified by the independent Casino Advisory Panel
to be incorporated into a fresh Order. In laying the new Order
before Parliament, the Minister has given both Houses the opportunity
to confirm their views and approve the Order. We were pleased
to learn that the Order was approved by the House of Commons on
26 March 2008.
3. We feel the Culture Secretary has also responded
positively to the concerns expressed by the House of Lords Merits
of Statutory Instruments Committee. In withdrawing the authorisation
of a regional casino from the fresh Order, he has addressed the
issues raised in the Committee's 13th Report of Session 2006-7,
which focussed on the sift for the regional casino. In relation
to the Committee's 14th Report of Session 2007-8, the Culture
Secretary has confirmed to the Committee that its concerns about
the minimisation of harm would be addressed by the new rules imposed
on all casinos, the extensive enforcement powers available to
the Gambling Commission and the local authorities, and by the
limited number of new casinos permitted under the Act. He also
indicated (and the Committee acknowledges) that the sixteen local
authorities represent a good range of types of areas and a good
geographical spread "in order properly to assess the impact
of the new casinos
", in line with the December 2004
National Policy Statement on casinos.
4. I can confirm that Swansea is fully committed
to the prevention of crime and the protection of the public from
harm. We will ensure that any application for the small casino
licence is considered on its consistency with the regulatory licensing
objectives, and is evaluated on the avoidance of harm as well
as the positive benefits the applicant's proposals could bring
to the public and the community at large. The Authority will use
its additional powers to ensure that gambling is stringently controlled,
both within a venue and across an area. We will continue our action
to remove gaming machines from unlicensed premises, and work with
the casino operators and our local strategic partners to ensure
that gambling activity is properly conducted and that vulnerable
groups are protected, and where necessary, supported.
5. We acknowledge the Committee's concern that
our application for licensing powers suggested a city centre site
for the potential casino development, and the opportunity that
may arise for casual problem gambling. I would, however, say that
Swansea has not confirmed any preferred site, and we would welcome
the opportunity of an open competition to consider the merits
of sites in any part of the Authority area coming forward that
can demonstrate the greatest benefit to Swansea, not only in terms
of the regeneration potential to our area, but also of the avoidance
of crime and harm.
6. We also note the Committee's reservations
about the traceability of social impact in relation to the casino.
Swansea's responses to the Casino Advisory Panel's indicated the
mechanisms and partnerships in place as well as some of the indicators
we would use to assess the social and economic impact of a new
casino. Whilst our comments were accepted by the Panel, we welcome
the Committee's additional comments and we will strive to create
a robust monitoring framework that will enable the impact of the
casino to be reliably and clearly determined.
7. Swansea is obviously anxious to secure the
regeneration benefits anticipated from the issue of the small
casino licence. At the same time, we are committed to the aims
of the legislation and the licensing objectives in relation to
preventing crime and disorder, protecting children and the vulnerable
from harm and exploitation, and ensuring that gambling is conducted
in a fair and open way. We are keen to maximise the benefits from
the licence and the legislation and to generate positive outcomes
in terms of prosperity and safety within our communities.
Paul Smith
Chief Executive
9 May 2008
Letter from Torbay Council
Torbay's Small Casino licence submission
1. I am writing following the publication of
the Committee's report on the Draft Gambling (Geographical Distribution
of Large and Small Casino Premises Licences) Order 2008 and ahead
of the imminent debate to set out Torbay's continued commitment
to deliver a high quality successful regeneration project using
the casino license as a way to attract much needed new investment
to the area.
2. Our submission to the Casino Advisory Panel
was made against the background of an economy depending heavily
on tourism and in need of a stronger product offer to attract
more and new visitors to Torbay. This position remains the same
and the development of casino with accompanying and complementary
facilities remains consistent with our Community Plan and Economic
Regeneration strategy.
3. I would also like to reaffirm the commitment
of time that officers, members of the Council and I have invested
in the process over a long period to ensure that the implementation
of a license in Torbay delivers the strongest regeneration benefits
for the area. I can assure you of our absolute commitment to the
minimization of harm. As you will be aware there are different
stages of the licensing process where we will be testing operator's
commitment to providing a positive benefit and minimizing harm.
To that end we have committed in our proposal to the Advisory
Panel that we would seek to establish a study to analyse risk
and potential harm from a casino.
4. In terms of the details of our proposal Torbay
has not specified a site in its submission and we have not engaged
in negotiations with operators to pre identify an operator. We
believe that this leaves us in a strong position to get the regeneration
benefits we require.
5. We were reassured by the apparent cross-party
support for the 16 casino areas in last year's debates and believe
that very little has changed in that time which should weaken
that support and would hope that the debate continues to reflect
that view.
6. You may not be aware that Torbay is now the
poorest area in the South West and in the absence of major EU
funding programmes such as in Cornwall we are looking at a range
of complementary regeneration schemes in Torbay. In conclusion,
Torbay is, and was, committed to the project and to the aims of
the Gambling Act to minimize harm and to maximize benefit, and
to the objective of enabling impact to be tested.
Nick Bye
Mayor
9 May 2008
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