Joint Committee on the Draft Gambling Bill Written Evidence


Memorandum from the Mayor of London (DGB 67)

1.  INTRODUCTION

  1.1  This memorandum is submitted on behalf of the Mayor of London. Under the Greater London Authority Act 1999, the Mayor has a range of specific powers and duties, and a general power to do anything that will promote economic and social development, and environmental improvement, in London. Among the Mayor's functions are:

    —  The preparation of strategies, plans and policies for London covering transport, land use planning, culture, ambient noise, air quality, waste management, biodiversity and economic development. The Mayor has also chosen to develop a range of other policy initiatives, covering tourism, children and young people, childcare, energy, alcohol and drugs, rough sleepers, domestic violence and poverty.

    —  Setting the annual budgets for the Greater London Authority itself, and its four functional bodies: the Metropolitan Police (which provides policing in the capital under the oversight of the Metropolitan Police Authority), Transport for London, the London Development Agency and the London Fire and Emergency Planning Authority.

  The subject matter of the draft Gambling Bill touches on many of the issues covered by Mayoral strategies, and growth or changes in gambling will have implications for each of the GLA functional bodies.

2.  GAMBLING AND THE LONDON ECONOMY

  2.1  The leisure industries[5] are one of the fastest growing economic sectors in London. This is largely due to the increases in population and employment in the city over the past decade, which have led to more people having more disposable income. London's world city role as a centre of international trading and business has also contributed to this growth. GLA Economics[6] has recently published a report, "Spending Time: London's Leisure Economy" which identifies the contribution to the London economy of these leisure industries (a copy is attached to this memorandum). It estimates that leisure adds £9.5 billion to London's economy. Gambling and betting employs 20,000 people in London, and has sales of almost £900 million. London also has sixty per cent of the nation's casino bets.

  2.2  The strong growth in leisure in London is linked to significant demographic, economic and social trends which mean there are more Londoners with the money, time and inclination to take part in leisure activities:

    —  The growth in London's population.

    —  The high proportion of people in the 25-34 age group in London.

    —  Londoners' increasing time-poverty, and longer lives and retirements.

    —  Growth in employment.

    —  Increased levels of part-time employment and gender.

    —  Growth in Londoners' average earnings.

    —  Changes in consumer spending patterns.

    —  Growth in tourism and international visitors to London.

  These are explained in more detail in "Spending Time".

  2.3  Gambling and betting (covering bookmaking, casinos and bingo) yields more than £900 million in sales to the London economy. The city has a quarter of the country's casinos, but more than sixty per cent of the amount bet nationally is bet in London. In 2002, 2.8 million people visited London's casinos and gambled an average of £770 each, more than double the national average. London also has 740 bookmakers, handling an estimated £2.8 billion in bets and contributing £0.47 billion to the London economy. Bingo is less popular in London than nationally, with fewer than 50 bingo centres (less than 10 per cent of the national total). While casinos are concentrated in the West End (because of legal controls over location), the other elements of the gambling sector are more geographically dispersed across London, often focussed on town centres.

3.  THE PROVISIONS OF THE BILL

  3.1  The Gaming Board has worked well in removing criminal involvement from the industry, which has in the past been a major problem in London. While it makes sense to have one body responsible for all forms of gambling, it is important that the new gaming Commission should build on the strengths of its predecessor organisation, that it is properly resourced and that it ensures it works effectively with the Police and other enforcement agencies.

  3.2  The licensing objectives set out in clause 1 of the draft Bill should be expanded. There should be objectives dealing with:

    —  ensuring gambling and gaming are carried out in ways that reflect operators' obligations to the community at large, particularly with respect to minimising anti-social behaviour and impact on the local environment;

    —  ensuring effective co-ordination of all the licensing and consent regimes involved, and operators' co-operation with the bodies responsible for their operation (including local authorities and the Police); and

    —  ensuring gambling contributes to sustainable economic development.

  3.3  It is essential that all steps necessary are taken prevent gambling in London once again becoming the target of organised crime. In particular, entertainment of a sexual nature should not be permitted in any premises used for the purposes of gambling or gaming in order both to protect the vulnerable and to guard against any growth in prostitution. At the suggestion of the Metropolitan Police Clubs and Vice Unit, we would urge that Part 8 of the draft Bill should make it mandatory that licensing authorities should impose a condition in respect of all licensed premises that any music, dancing or live entertainment:

    —  shall be ancillary to the gaming/gambling use concerned;

    —  shall not disrupt the proper control of gambling or gaming;

    —  shall be appropriate in scale and content to the premises, to the locality and any seasonal, ethnic or cultural celebrations;

    —  shall not be performed at a level causing disturbance to adjoining owners or to people in the vicinity of the premises; and

    —  shall not include and lap/table dancing or any performance of a sexual nature.

  It should also be made clear that the serving of alcohol on premises should only be ancillary to the main use of the premises—gambling/gaming clubs should not become merely one more place to drink.

  There should also be mandatory conditions for casino and bingo operators as there are for lottery operators in clause 77 of the bill. These should cover the issues referred to earlier in this paragraph.

  3.4  Given the roles and functions of the Mayor, as described in paragraph 1 above, it is important that the Greater London Authority should be among the bodies the Gambling Commission should be obliged to consult with before they issue or revise a code of practice in clause 16 of the Bill.

4.  OTHER ISSUES

  4.1  We suggest that consideration should be given to whether it is adequate to leave it to an industry-sponsored body to carry out research into the scale and nature of problem gambling, and of ways of tackling it. As the Government has recognised, there is little wholly reliable evidence on these problems, and how they might respond to an increase in opportunities to gamble. What there is suggests there might be differences between experience in this country and in others. Similarly, there is little research evaluating treatment strategies for problem gamblers and, perhaps as a consequence, few mental health or other facilities for people affected by problem gambling. It is important that research on these questions is independent and disinterested, and seen to be so, and this may be questioned if it is commissioned through a body funded by industry as is proposed. A better solution might be to make clause 96 of the Bill mandatory, and for research to be commissioned by the Gambling Commission which could also give grants for the kind of activity (help lines, counselling services, research and public awareness-raising) currently proposed to be run by the industry-led Gambling Industry Charitable Trust.

  4.2  Another issue of concern relates to land use planning. Even the largest casinos envisaged in the Bill will be smaller than the floorspace thresholds above which planning applications have to be referred to the Mayor for consideration, even though they are likely to be fairly significant in terms of land take. The Mayor would have some locus through the procedures to ensure borough development plans are in general conformity with the Mayor's London Plan (spatial development strategy), and this may be an issue that will be addressed when the Plan that is currently nearing publication is revised.

  4.3  In the meantime, it is important that casinos and other gambling premises are located in accordance with national and regional location policy for leisure developments. Casinos and similar premises may have potential to contribute to regeneration of some suburban centres. On the other hand, large, out-of-centre developments (out-of-town leisure "sheds", or proposals linked with football grounds or dog tracks) with extensive car parking are unlikely to be acceptable.

December 2003




5   Defined as including dining, drinking, entertaining, sport and visitor attractions as well as gambling: GLA Economics, Spending Time: London's Leisure Economy (2003) (http://www.london.gov.uk/mayor/economic-unit/spending-time.jsp) Back

6   GLA Economics is funded by the Greater London Authority, the London Development Agency and Transport for London to provide a firm statistical, factual and forecasting basis for policy and decision-making by the GLA Group. Back


 
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