Stakes raised for pub operators under new gambling regime

06 October 2006 by
Stakes raised for pub operators under new gambling regime

Pub owners will be able to raise the pay-out limit on fruit machines, following a concession from the Government.

The Department for Culture, Media and Sport (DCMS) has given the go-ahead to increase pay-out limits on fruit machines from £25 to £35, ahead of the Gambling Act next September.

DCMS announced the measure in response to lobbying from the main trade bodies in the sector, including Business in Sport and Leisure (BISL) and the British Beer & Pub Association (BBPA).

Brigid Simmonds, chief executive of BISL, said: "Working with the major trade associations who have an interest in this area, we convinced ministers of the hardship the industry was experiencing at this low-stake, low-price end of the market."

"As a result they have bought forward the changes to stakes and increased the prize for the ‘pub' machine to £35," she said.

A spokesman for the BBPA welcomed "the modest" change as a step in the right direction.

It should help soften the blow of next year's smoking ban in England and Wales for pub operators, which fear fruit machine revenues will be hit hard as smokers go elsewhere.

High-street operator JD Wetherspoon, which has pubs in Scotland and sites that have been smoke-free in England and Wales for almost a year, recently reported a fall in gambling revenues at its no-smoking pubs.

However, because the changes put fruit machines into a higher tax bracket, operators are unlikely to see benefits from the agreement until they are reclassified in next year's budget and the rate of tax is lowered.

Association warns more needs to be done to guarantee gambling law success

Give us a level playfield say casinos>>

27 local authorities fight for UK's single super casino licence>>

By Chris Druce

E-mail your comments to Chris Druce](mailto:chris.druce@rbi.co.uk?subject=Stakes raised for pub operators under new gambling regime) here.

Get your copy of Caterer and Hotelkeeper every week -

[Sudoku](http://www.caterersearch.com/Articles/Article.aspx?liArticleID=302619 "A new puzzle every day!") Join the craze and play Sudoku online!
[Newswire For the latest hospitality news, sign up for our e-mail news alerts.
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking