Gaming Machine (Circumstances of Use) (Amendment) Regulations 2015

Lord Collins of Highbury Excerpts

Monday 23rd March 2015 Lords Chamber

Moved by

[Lord Collins of Highbury]

That this House regrets that the Gaming Machine (Circumstances of Use) (Amendment) Regulations 2015 do not appropriately address the problems of gambling addiction, and offer no significant protections for vulnerable people from getting into debt. (SI 2015/121)

Relevant document: 27th Report from the Secondary Legislation Scrutiny Committee.

[Lord Collins of Highbury (Lab)]

My Lords, I start by recognising that this is not the first debate that we have had recently on this issue. We had a Question for Short Debate tabled by the noble Lord, Lord Clement-Jones, which I participated in, and we have had a number of Oral Questions on fixed-odds betting terminals. Those reflect not only the concern in this House on this issue but also the concern in our communities.

I start my contribution by making no apology for repeating some of the arguments that I have made in those debates. After 15 years of fixed-odd betting terminals on our high streets at £100 a spin, we are still no nearer to a conclusive answer as to whether they are safe to operate in local betting shops. The response of the Government has been to come up with a £50 cap without any evidence that it would protect vulnerable people from getting into debt or developing a gambling addiction that ruins their lives. Although the Prime Minister promised to get to grips with this issue, it is now a full 12 months since the Government announced that they would do this—in fact, six months later than was foreshadowed in their announcements. Your Lordships’ Secondary Legislation Scrutiny Committee questioned whether the Government could have brought forward the regulations more speedily, especially as, from the words of the Prime Minister, they appeared to accept the need to act.

Irrespective of headline-seeking comments, the difficulty with the proposal is that the Government still cannot explain how they came to decide that £50 will deal with problem gambling or limit the hardship that such high stakes may cause. In these circumstances, many will see this as a bit of a sham rather than firm action. I suspect that in many people’s minds, if there is one thing worse than inaction, it is the pretence of action. The limit relies on the betting industry to apply it. Also customers will be able to bet above £50 on a single play with permission from betting shop staff. The Campaign for Fairer Gambling also claims that its sources in the bookmaking industry have informed it that at least one of the corporate operators is already advising staff to encourage the use of debit cards now that players are being forced by the Government to remote load their money on to the machines from the counter if they wish to access higher stakes. Not only that, but guidance is also being issued to encourage playing two machines at the same time, which would allow players to gamble £100 a spin, circumventing the new law.

Many questions are being asked about the Government’s decisions by the organisations concerned about the proliferation of FOBT machines—a term that I will use throughout the debate—and their impact on problem gambling. Some, such as the Local Government Association and councils from across the political spectrum, are calling for stricter controls. Concerns are also being expressed from within the gambling industry itself. Simon Thomas, the owner of the Hippodrome Casino, stated that betting shops,

“have fast, high stakes machines with little supervision”,

something that I raised in an Oral Question to the Government earlier this year.

--- Later in debate ---

[Baroness Jolly]

I do not have that information, but I am happy to write to the noble Lord to let him know the reason for the long delay.

[Lord Collins of Highbury]

I, too, thank noble Lords for this debate. It has been really important to raise these issues again. The concern is not just in this Chamber; it is in our communities. Nor is the concern just among people who do not gamble; the concern is among people who want to use their local betting shop as a community resource but are fearful of what they are turning into. That is the problem.

Of course, it is not just about activity on these machines in relation to problem gambling; it is about the way that they can be used and the pressures that this puts on staff. For the sake of clarity, I think that all noble Lords who have contributed to the debate have shared one absolute, common concern—that these machines are potentially dangerous and that we should have a precautionary approach.

The actions of the Government have been, in my noble friend’s words, too little, too late. I think that I said that if there is one thing worse than inaction, it is the pretence of action. Not for the first time, my noble friend Lord Lipsey and I agree on the fundamental issues, even if we occasionally disagree on other issues. As a co-signatory of the amendment that supported the horserace betting levy, I was very keen to ensure that the consultation on its future was full and frank.

I agree with my noble friend that it was wrong for the Chancellor to prejudge issues to make short-term political gain, but I fear that that is a problem with the coalition as we have it at the moment. When Labour is returned to government on 7 May, our focus will be on giving control to local communities to determine what is safe in their own areas. In the light of the comments I have made, I beg leave to withdraw the Motion.

Motion withdrawn.