The UK government is set to unveil new enforcement reforms aimed at granting local councils increased authority over the types of establishments that can operate on high streets across Britain. The forthcoming measures will specifically address betting shops and adult gaming centres (AGCs), with the overarching goal of curbing illegal activities and rejuvenating town centres. Additionally, vape retailers will also come under scrutiny.
A significant change is the government's decision to eliminate the existing "aim to permit" framework for betting establishments and 24-hour slot machine venues. This move will repeal the presumption favoring the approval of such outlets, meaning that AGCs providing around-the-clock gambling access must now seek planning permission before commencing operations.
Furthermore, in England, any new retail business intending to market e-cigarettes or vaping products must secure planning approval prior to launching.
Prime Minister Andy Burnham took to Facebook to criticize betting shops, labeling them as "dodgy businesses." He emphasized that this initiative empowers local residents and councils, granting them enhanced authority to regulate venues detrimental to community well-being. "For too long, Westminster has stood by while our high streets declined. That ends now," he stated.
An official announcement outlining these reforms is expected later today. The proposed changes have elicited mixed reactions from industry representatives and local government officials, with many cautioning that merely changing planning regulations may not suffice to address the broader decline plaguing town centres.
The Betting and Gaming Council (BGC) expressed support for the initiatives aimed at strengthening local control over betting shops. A spokesperson stated, "We support tough action against criminal operators and agree local people should have a proper say over their high streets. But the suggestion that betting shops are spreading unchecked is simply wrong."
They highlighted that the number of betting shops has decreased by over a third since 2019, with around 3,000 establishments shuttered and more than 15,000 jobs lost. According to the BGC, licensed betting shops play a crucial role in the economy, sustaining 37,500 jobs and serving as important community hubs.
On the other hand, the Local Government Association welcomed the government's plan as a positive move towards empowering councils to manage problematic shops. A spokesperson noted that the additional powers would aid in revitalizing high streets and regulating betting and vaping establishments.
Kirsty Caldwell, a compliance consultant from Betsmart, responded critically to the government's comparisons of licensed betting shops and vape stores. She pointed out the substantial regulatory investments made by the betting industry and emphasized that licensed betting shops have been part of UK high streets since the 1960s. Caldwell questioned how an industry contributing approximately £4 billion in tax revenue and over 100,000 jobs could be equated with sectors lacking regulatory oversight and often linked to money laundering.
These measures follow a prolonged downturn for retail betting, as significant operators have been closing shops. For instance, in August, Betfred announced the closure of 132 betting shops affecting over 600 jobs, a situation attributed to the recent rise in the UK’s Remote Gambling Duty (RGD). CEO Jo Whittaker remarked on the challenges posed by increased costs and economic uncertainties as driving factors behind their decisions.
Similarly, Evoke closed 200 William Hill stores earlier this year, and Ladbrokes downsized its operations in Ireland due to unsuccessful sale negotiations.
