Joint Committee on the Draft Gambling Bill Written Evidence


Memorandum from The Scottish Licensed Trade Association (DGB 2)

  The Scottish Licensed Trade Association welcomes the opportunity to submit the following comments on the Draft Gambling Bill and confines such comments to the issue of gaming machines and AWP machines in liquor licensed premises.

  The Association was formed in 1880, is the only body representing all sectors of the Licensed Retail Trade in Scotland and with 2,198 members, is recognised by many as the voice of the Licensed Trade in Scotland.

  The Association has three core functions—trade development, trade protection and trade liaison. The Association works with, and in many cases has representation on, various groups such as the Criminal Justice Forum; Excise Alliance; Local Authorities; Liquor Licensing Boards; Scottish Tourism Forum and many more. The SLTA has formed a close working relationship with The Scottish Executive and is consulted on all issues concerning the Licensed Trade in Scotland. A representative from the Association sat on the Nicholson Committee, formed to review the Scottish Liquor Licensing Laws and propose changes.

  The Association is still very much concerned that it would appear that public houses, "pubs", will be greatly disadvantaged and will see little benefit from the proposals, compared with other entertainment premises which could substantially benefit. In fact members of this Association are already experiencing a significant decline, up to forty per cent, in income from AWP machines. In our opinion this has been due to the extreme restrictive conditions and payouts imposed on public houses, when compared to licensed betting shops and registered clubs.

  This is extremely worrying, as many Liquor Licensed Premises depend on such income as an integral part of their business survival.

  AWP machines are a part of the traditional leisure facilities offered within the Licensed Trade. These premises have unjustly been singled out. To be thrown the meagre crust of "allowing pubs to keep what they have", with perhaps a few minor benefits, is no comfort whatsoever to the Licensed Trade. Casinos, bingo halls, and betting offices would appear to have the opportunity for widespread liberalisation of AWP machine facilities.

  This is anti-competitive and does not attract support from "pub" customers and the general public.

  Over the years, the services provided by the Liquor Licensed Trade have been "poached" by other establishments, and it is about time, the balance was redressed. For example, betting shops now have AWP machines and can serve food and soft drinks. How long will it be before they are permitted to serve alcohol?

  With regard to the protection of children, the Licensed Trade already operates in a very strict and controlled environment. The members of this Association do not perceive that there is a problem with under 18s playing AWP machines in Licensed Premises, but would suggest that Registered Clubs should have far stricter controls. Individuals under 18 can play in these premises, where the jackpot is far higher than that in Licensed Premises and very often there is little or no control over this. In fact, we would question that if a Registered Club is considered as "an extension of one's home", would one really have an AWP machine in his or her own dwelling.

  We would also suggest in fact, that if the current restrictions on AWP machines in Liquor Licensed Premises is maintained, the subsequent effects will not be welcomed by Local Authorities in Scotland. The Licensed Trade is one of only two groups that differ in the method of calculation of Local Authority Rates compared with other business sectors. Business Rates for Licensed Premises are calculated on turnover and all income, including that from AWP machines, is taken into account. By maintaining the restrictions on AWP machines in "pubs", which has already led to a significant drop in revenue, and curtailing the opportunity for extra revenue from these premises, the Government will in effect be reducing the income to Local Authorities through business rates.

  In the interests of fair competition and non-discrimination, we would advocate that the payout levels for AWP machines should be the same in "pubs", Registered Clubs and Licensed Betting Shops. Members of The Scottish Licensed Trade Association are simply asking for parity with other entertainment establishments in order to survive in this extremely competitive market.

December 2003


 
previous page contents next page

House of Lords home page Parliament home page House of Commons home page search page enquiries index

© Parliamentary copyright 2004
Prepared 7 April 2004