Councils lack powers they need to manage local gambling premises effectively: LGA

Councils do not, at present, have the powers they need to effectively manage local gambling premises, the Local Government Association (LGA) has warned.

The LGA’s comments came in its response to the All-Party Parliamentary Group (APPG) on Gambling Related Harm’s inquiry, which was launched in June after the Government published its White Paper on gambling regulation ‘High Stakes: Gambling Reform for the Digital Age’.

Councils have regulatory responsibility for land-based gambling premises.

In a letter to the inquiry (sent last month but published last week), Cllr Lewis Cocking, LGA Safer and Stronger Communities Board Vice-Chair, wrote: “Councils do have mechanisms to try and reduce the risk of gambling harm through their statement of licensing principles and local area profile.

“However, no matter how robust a council’s local area profile or licensing policy is, it is extremely difficult to use these to prevent a new premises from opening in inappropriate areas because of the statutory ‘aim to permit’ gambling. Consequently, the LGA has consistently called for additional powers to allow local democratically elected councillors to restrict the opening of new gambling premises in areas where there are already clusters, or where for other reasons – for example the presence of treatment centres, or schools, or because of community opposition – it may not be appropriate to open a gambling venue.”

Cllr Cocking added that the LGA had called for the government to reconsider the ‘aim to permit’ in the Gambling Act Review or to introduce cumulative impact assessments to provide councils with greater powers to control the number of gambling premises in their local area, “so we are pleased that the white paper contains a commitment to introduce cumulative impact assessments”.

But he warned that, although the proposal was “a step in the right direction”, there were some limitations to this.

“Firstly, the change requires an amendment to primary legislation and the Government’s commitment is to make the change ‘when Parliamentary time allows’. It is unclear when this would be, so we urge the Government to find an appropriate legislative vehicle in a timely manner….

“Secondly, the introduction of cumulative impact assessments will not help to prevent a new premises opening in an area with no/few gambling premises but which councils – or residents – feel is an inappropriate location, due to the proximity to a school or treatment centre, for example.”

Cllr Cocking said Government proposals to legislate, again when Parliamentary time allows, to strengthen licensing authority powers in respect of alcohol-licensed premises would assist councils with their work on enforcement and would help to prevent young people from gambling.

However, he questioned a proposal in the white paper, in relation to bingo premises, to adjust the 80/20 ratio which governs the balance of Category C/D and Category B machines in bingo and arcade venues to 50/50, to ensure that businesses can offer customer choice and flexibility.

“This is likely to increase the number of category B machines (maximum stake £2), compared to Category C/D machines (maximum stake £1). The LGA is concerned that this is likely to lead to more relatively higher stakes machines in more deprived areas of the country, and this could have the potential to exacerbate gambling related harms,” Cllr Cocking wrote.

He also said the LGA was pleased the Government will consult on introducing a statutory levy. “The LGA has consistently supported the introduction of a statutory levy on gambling firms, based on the ‘polluter pays’ principle, to help fund a significant expansion of treatment and support for those experiencing gambling related harm.”

Cllr Cocking described as “positive” the overall messaging in the White Paper which he said demonstrated that the Government viewed gambling related harms as a public health issue.

“However, there is a lack of tangible public health measures within the White Paper," he said. "The LGA has called on Government to consult on reforming the Gambling Act 2005 so that its objectives reflect a broader range of issues for councils to consider in reaching licensing decisions, for example the introduction of health as a licensing objective, or consideration of replicating the Licensing Act 2003 public nuisance objective. It is disappointing no action has been taken on this issue, and, of course, that the statutory aim to permit remains in place.”

Cllr Cocking added that it would also be helpful if the Government could clarify whether public health is a responsible authority or not (and therefore whether their evidence and advice should be considered in local decision making in respect of gambling).