The gambling industry in the United Kingdom has been granted a lifeline by
the Brown government as it struggles to survive in the current credit crunch.
Even before recession hit the globe, UK gambling operators were imploring the
government to allow them to increase the maximum wager stakes and prizes, in an
attempt to increase revenue. Until now, these requests to change the gambling
laws were repeatedly turned down.
However, this week, the government finally consented to relaxing the gambling
laws somewhat so that gambling machines would essentially increase their maximum
stakes from 50p to £1 and top prizes from £35 to £70.
In its report, the Times said: "The relaxation of gambling rules is expected
to provide a boost to the industry in the downturn by generating an extra 20% in
revenue. The Treasury will benefit from an extra 27 million pounds a year in
VAT. However, critics fear that it will increase the levels of gambling
addiction."
Indeed, opposition voices have been heard ever since the announcement to
change the gambling laws was made, from church groups to problem gambling help
lines. "We would be concerned that any increase in stakes and prize limits might
be likely to increase the amount that people risk and the amount that they would
want to chase," noted a spokesperson for the Methodist Church. "People do chase
their losses on slot machines - they pump money in to get back 5, 10 or 20
pounds they have already spent. Britain has around a third of a million problem
gamblers according to GamCare and we wouldn't want that to increase."
However, Gordon Brown was adamant in his decision and said that it was
necessary if 'the economy is not moving.' The Gambling Commission also
reiterated its policy of protecting children and vulnerable people at all costs.
