Rt Hon Hugh Robertson MP

Minister for Sport and Tourism

Department for Culture Media and Sport

2-4 Cockspur Street

London SW1Y 5DH

 28^th  January 2013

Dear Hugh,

I am writing to urge you to review the Gambling Act of 2005.

As you will no doubt be aware, recent evidence has demonstrated how the proliferation of betting shops in our towns is creating serious gambling problems, especially regarding Fixed Odds Betting Terminals (FOBTs).

It is my opinion that there needs to be far more control over gambling outlets, and action should be taken to reduce both stake and prize limits for gaming machines and game speeds to a fairer level.

I am pleased that the Government has rejected the recommendation of the select committee to ease restrictions on FOBTs. However, these machines are already causing serious problems that need to be addressed.

According to research conducted by the Campaign for Fairer Gambling,  FOBTs are having a worrying impact.

As you will be aware, FOBTs can offer stakes of up to £100 and the current delay between wagering on spins is only 20 seconds.

In contrast, casinos generally have a limit of £2 as the maximum stake. This has led FOBTs to become known as the ‘crack cocaine of gambling’: the speed of the game and the exceptionally high stakes available are making a higher contribution to problem gambling than any other form of betting.

Furthermore, recent research published in the Guardian newspaper demonstrates how these machines are concentrated in poor areas[1].

The fifty constituencies with the highest numbers of unemployed people had 1,251 betting shops and saw £5.6 billion paid into 4,454 FOBTs.

In contrast, the fifty constituencies with the lowest unemployment only had 287 betting shops, 1,045 FOBTs with £1.4 billion gambled in the last year.

In my constituency alone, over £100 million was spent on FOBTs.

This evidence suggests that betting companies may be targeting poorer areas, behaviour that needs to be urgently investigated.

Part of the problem has been attributed to the lack of regulation of these machines. As you will know, the numbers of FOBTs allowed in any one shop is four.

According to the Campaign for Fairer Gambling, FOBTs contribute 80 percent of the revenue of betting shops. This has led to many more shops being opened to increase the number of FOBTs in any one area.

The number and accessibility of these shops can also be attributed to the way in which betting shops are classified - another issue that I believe needs to be looked into.

Mary Portas’s review of the high street demonstrated that the numbers of betting shops are growing thanks to their classification as providers of financial services, exempting them from planning permission to open.

This renders councils and communities struggling to limit the numbers of betting shops opening in their area, which makes the shops easier to access, and compounds problems of gambling addiction.

A further point that needs to be addressed is that, whilst gambling addiction is incredibly difficult and destructive for the individual, it is also a societal problem.

International research undertaken by GamCare (a charity which provides support for gambling addicts) suggests that the costs of treating a problem gambler are £8000 a year.  

By monitoring these FOBTs more closely, and giving more authority to councils and local communities to limit the number of betting shops, some of these costs could well be avoided.

Without a proper review of the Gambing Act, and a more comprehensive understanding of how betting shops and FOBTs can be regulated, we will not be able to properly address the costs of gambling to the individuals, their families, and the broader societal effects.

I look forward to hearing your views on this matter.

Yours sincerely,