DCMS Secretary Stuart Andrew has underlined the importance of modernising land-based gambling venues in a bid to secure their future heading into the new year.
It’s an incentive that was laid out by Andrew to an audience of British leisure and arcade stakeholders at the ‘Bacta Annual Convention 2023’, who were paying tribute to the trade body on its 50th anniversary.
The DCMS sec paid homage to the contribution of the sector as he revealed its significant impact in terms of employment and “producing a collective economic turnover of £1.6bn”.
The support comes at a challenging period for the space as it continues in a bid to bounce back from the pandemic and evolve into a digital age – whilst continuing to engage a wide range of demographics.
Andrew stated: “I recognise the commercial challenges you are facing, and I believe that the modernising measures we are taking will help to support the move towards a brighter future. Many of you here today will be keen to understand the progress we have made on the land-based gambling proposals set out in that white paper.”
Nonetheless, the strategy of the DCMS is diverse and looks to address the development of consumer demands when it comes to the sector.
Specifically, the Gambling Review’s White Paper will amend the 80/20 ratio governing higher to lower stake gaming machines to enable venues to better meet customer demands and save on energy costs.
Andrew added: “We fully recognise that you believe that this current ratio does not allow you to meet customer demand, and that this has led to the maintenance of large numbers of machines, which are underused but energy-intensive. This situation is undesirable for both businesses and the consumer.”
The White Paper guarantees a change of the 80/20 ratio, but Andrew has warned that venues must ensure consumers are catered for with a “genuine offer of lower-stake gambling opportunities in order to maintain a safe gambling environment.”
In terms of levies and ensuring fairness, he continued: “I want to see increased, independent, sustainable funding directed where it is needed most. This will ensure that people across our country can make informed decisions about their gambling and know where to turn for support should they need it.
“We have proposed a levy rate of 0.1 per cent to be paid by land-based arcades, which is less than the rate proposed for online gambling operators, betting shops, and casinos. We believe that this is a proportionate approach and should not place an undue burden on the sector.”
On land-based gaming, all proposed measures require secondary legislation, with implementation aimed for summer 2024. However, the timeline is subject to “parliamentary availability and procedures”.
“I hope that in my time as the Minister I have shown that my door is open, and it will remain open as we continue to deliver what I hope will be the right policies for a sustainable future.”
