In another blow to UK gambling groups, it has been announced that the
standard authority, Gambling Commission, will advise UK Culture Minister, Gerry
Sutcliffe to begin research into another aspect of problem gambling.
A couple of years ago, a report commissioned by the Gambling Commission
showed that nearly 10% of all players who enjoyed betting shop roulette machines
were deemed problem gamblers.
The Commission is thus going to advise Sutcliffe to perform further studies
in the area and, if need be, crack down on these machines that are considered
particularly lucrative revenue makers by high street betting shops.
UK gambling groups such as Gala Coral are now facing an uncertain future with
regards to regulatory matters, just as they were facing the huge hike in duty
for bingo halls and slot machines on their premises.
It is believed that Gala Coral will be particularly affected by any new
regulations. The group is already buckling under service debts worth £4.4 billion. All of the categories that Gala Coral services, whether its casinos,
betting shops or bingo halls, have been hard hit by multiple taxation, smoking
bans and government crackdowns on the gaming machines allowed in its
establishment.
Despite the fact that Gala Coral received £124 million from three of its
private equity owners (namely Candover, Cinven and Permira), it is unsure
whether the group will be able to meet an £80 million debt owed by September
this year.
The group has made deep budget cuts over the course of the year, even
cancelling its membership to trade groups such as the Remote Gambling
Association, the Bingo Association and the Association of British Bookmakers.
If the Gambling Commission is successful in getting UK gambling operators to
cut back on their roulette machines, it is not sure where Gala Coral will be
able to withstand the blow.
