Prime Minister Andy Burnham's recent comments comparing betting shops to vape shops and other “dodgy businesses” have sparked strong backlash from the gambling industry. His government plans to eliminate the “aim to permit” provision from the Gambling Act of 2005, which would enable local authorities to reject applications for new gambling establishments. Additionally, adult gaming centers will be required to seek planning permission before establishing operations.
The language used in the announcement particularly upset industry leaders. Burnham articulated that betting and vape shops have taken the place of the shops and services that communities actually desire, with the policy framed as an effort to curb unacceptable businesses.
In response, Greg Knight, the chief executive of JenningsBet, expressed dismay at this characterization. He argued that it diminishes the vital role betting shops play in local economies. "What sort of 'dodgy' business provides employment for 40,000 people, finances the entire British horseracing industry, and pays billions in taxes and rates?" he queried.
Knight highlighted the reality that JenningsBet has opened four new locations this year but closed three, resulting in a net gain of only one shop, primarily achieved through acquisitions rather than new developments. He cautioned that the slowdown in applications for new betting shops could further accelerate if councils are given more discretion.
The conversation surrounding adult gaming centers (AGCs) mirrors these concerns. Alistair Gair, communications director for Bacta, pointed out that the number of AGCs fell from 1,610 in 2015 to 1,502 last year. "This is a sector in decline, not one taking over Britain’s high streets," he stated. Gair emphasized the importance of AGCs in filling vacant retail spaces, providing jobs, and creating supervised environments for low-stake entertainment. He warned that restricting licensed venues might push patrons toward illegal alternatives, stripping them of the protections that legal operations offer.
Burnham's assessment raises questions about the future of high streets, as closing established businesses may not lead to their replacement with traditional retailers. Councils face the challenge of choosing from businesses that not only want to operate in these spaces but can also afford to do so.
Christopher Snowdon from the Institute of Economic Affairs argued that Burnham has misidentified the high street's decline. According to him, betting and gaming establishments have grown more prominent not because they’ve displaced traditional shops, but rather due to market shifts allowing them to occupy spaces left vacant by failing retailers. He noted, "The idea that the high street can be revived by killing off the few remaining businesses that are able to operate on it is just silly."
Snowdon further indicated that the decline of conventional retail is structural, fueled by the rise of supermarkets and online shopping, which has diminished the demand for banks, bookstores, and other services. He foresees a high street increasingly comprised of service-oriented businesses that require in-person engagement, like cafes and repair shops, leaving many commercial units empty.
Richard Harris, chief executive of Rank, defended the significance of gambling venues, describing them as “community assets” that provide secure entertainment. During a recent company results call, he stated, "We will continue to offer the best entertainment, the best fun that we possibly can."
Some industry figures propose a more proactive approach. Patrick Jay, a former executive at William Hill, asserts that the gambling sector has been outmaneuvered by opponents in shaping the public narrative. He believes the industry should invest in a social media response team to counteract damaging portrayals. Jay said, "The goalposts have moved. We needed to have a social media paid response team that deals with all the health lobby nonsense on an hourly basis."
Statistics may not fully convey the high street’s atmosphere as experienced by its users. Therefore, the gambling industry must consistently showcase its value to local communities, not just when threatened.
Vicki Foxcroft, the new minister responsible for gambling, now faces the challenge of addressing the gambling sector's concerns amid a landscape of shifting public perception and policy. With a prime minister who has already set a specific tone and a complex legislative process ahead, Foxcroft’s appointment comes at a particularly difficult time for the industry.
