Gambling in school curriculum Politics
GamCare chief executive Andy McLellan believes that gambling should be added to the school curriculum: “The DfE’s review gives us the chance to make the case that the Personal, Social, Health and Economic curriculum should raise awareness about the potential risks of gambling and include information about understanding risk and probability, and how to gamble responsi- bly - in exactly the way young people are already offered advice about the risks of drinking alcohol, taking drugs or smoking.”
Rank increases calls for single tax rate
The Rank Group, with its extensive land-based bingo and casino operations, wants a single rate of taxation across all gambling products.
TAXATION T
he Rank Group has followed up its calls for a unified tax rate for gambling
products by launching a report entitled: “Responsi- ble Taxation: Fairness, Sim- plicity and Sustainability.” The reports suggests that the current piecemeal approach to gaming taxa- tion stifles growth, inhibits UK job creation and puts vulnerable consumers at risk leading Rank to reiter- ate its argument that it wants the government to har- monise tax rates between online and land-based gam- bling.
ANALYSIS
Ian Burke has already told MPs about his idea for a single rate of taxation during an evidence session for the Culture Media & Sport Select Committee and the concept also seemed to appeal to Gala Coral, unsurprising since both it and Rank operate some of the largest land-based gambling estates in the country, both in the bingo and casino sectors. Gala Coral also has the huge Coral LBO estate as well. Coral Interactive managing director John O’Reilly
IAN BURKE: ‘GOVERNMENT HAS THE OPPORTUNITY TO CREATE JOBS’
suggested that a 10 per cent gross profits tax across all types of gambling, both online and offline, would be a success in the UK.
Rank’s chief executive and chairman Ian Burke stated that the creation of a level playing field for land- based operators will provide greater protection for con- sumers; and will benefit the economy through job cre- ation and more sustainable tax generation.
Burke commented: “Despite support for a har- monised regime from across the industry, recent govern- ment consultations have raised the prospect of further tinkering rather than a strategic review. We remain convinced that the existing system of taxation should be replaced by a
single rate of duty across all activities governed by the Gambling Act.
“The duty would be based upon the commonly accepted gross profits basis and would be applied con- sistently to revenues arising from UK consumers, regard- less of where the operator is based or the method the cus- tomer chooses to transact.” The paper has been pub- lished at a time when HM Treasury is conducting reviews into the taxation of both gaming machines and online gambling. The Rank Group has urged the govern- ment to use these reviews to level the playing field rather than to add complexity to an already confusing tax system.
The report suggests that the key benefits of the pro- posed changes are:
• Fairness - by removing arbitrary distinctions in the taxation of the same gaming products and thus guarding against market distortion; • Responsibility - by encouraging the develop- ment of highly supervised licensed gaming venues, where adults can enjoy themselves safely; and • Sustainability - by encouraging all operators to make a fair contribution to the UK economy through
POLITICSBRIEFS
GMA LOOKING FOR TRUSTEES
The Gordon Moody Asso- ciation (GMA), the indus- try-funded charity that helps those experiencing problems with gambling, is looking for new trustees to join its Board. Anyone interested is asked to email their CV, a short statement (max 500 words) describing skills, and the names of two ref- erees to GMA’s managing director Elaine Smethurst at
elaine.smerthurst@ gor-
donmoody.org.uk.
Founded as a charity in 1971, GMA provides spe- cialised support and treat- ment to acutely addicted gamblers. The organisa- tion also provides Gam- bling Therapy: a free, global, multilingual, online service for anyone affected by problem gam- bling.
stable tax yields for the Exchequer and by stimulat- ing job creation in the UK, through increased invest- ment.
In the paper, Rank reminds the Conservative and Liberal parties of their pre-election pledges to bring the taxation of bingo in licensed clubs (currently 20 per cent) in line with other forms of gambling, including online bingo, which it claims is either 0 per cent for offshore based operators or 15 per cent for those few based in the UK. The paper also points out the idiosyncracies of casino games which are subject to no fewer than seven differ- ent tax systems with duty rates from 0 per cent for online games to as much as
50 per cent in licensed venues.
Burke commented: “I believe that the government has the opportunity to create jobs in the UK without sacri- ficing tax receipts by replac- ing the current patchwork quilt with a single tax, at a single rate.”
The report suggested that changes in taxation could start to reverse a negative trend in tax contributions from the sector. It said that the gaming and betting sector’s indirect tax contri- bution to Exchequer declined by 6.7 per cent between 2007 and 2010 against a context of its growing popularity and a rise in overall UK VAT receipts, which is the main source of indirect tax.
LBO crime prevention initiative recognised T
CRIME
he Safe Bet Alliance, a collaborative initiative which includes the Association of British Book- makers (ABB), Metropoli- tan Police and Community Union has been rewarded for its effectiveness by the Home Office.
The Alliance received third place in the 2011 Tilley awards, which recognise innovative crime fighting projects where police, com- munity groups and the public successfully work together to identify and tackle local crime problems. In 2010-11 all major book- makers across London were compliant with the Safe Bet Alliance standards and offences were reduced by 46 per cent in a 12-month period (a reduction of over
public vote for the Tilley awards is a pleasing reflec- tion of the hard work of all concerned.”
THE SAFE BET ALLIANCE CAME THIRD IN THE 2011 TILLEYS
215 individual offences). Detection rates had increased to 55 per cent sending a clear message to offenders that they are likely to be caught. The Flying Squad’s Detec- tive Superintendent John
24 BettingBusinessInteractive • JANUARY 2012
O’Leary said: “These stan- dards have contributed sig- nificantly to a reduction in offences supported by the operational successes of the Flying Squad. The Safe Bet Alliance nomination and third place following a
In its submission docu- ment for the Tilleys, the Flying Squad revealed that the work of the Safe Bet Alliance is ongoing. It explained: “Work continues daily monitoring offences targeting bookmakers. It is clear from the reports that a great deal of work has been undertaken with staff to ensure that they comply with policy and procedure. It is now rare to see an offence where staff actions have clearly facilitated an offence.
“As a result of the regen- erated partnership working with the industry a number of new initiatives have been
identified to further increase the effectiveness of the initiative. At the present time trials are taking place with smart mobile phones, held by police that can receive images of suspects from bookmakers almost imme- diately following an offence. This provides offi- cers with an increased opportunity of identifying and arresting offenders at a much earlier stage.
“The collaboration between bookmakers, police and other agencies has led to a decrease in offences and a reduction in cash losses but more impor- tantly fewer staff and cus- tomers are now being subjected to the traumatic effects of robbery.”
QUALITY SUPPORT FUND AGREED
The Levy Board’s contri- bution to prize money will rise by £4.2m as part of an overall increase in expen- diture of £5m, most of which is via the Quality Support Fund, which will be allocated as agreed by senior executives of the BHA, Horsemen’s Group, Racecourse Association, Bookmakers’ Committee and Levy Board. Ladbrokes business
director Mike O’Kane said: “The targeting of addi- tional support to the iden- tified races will help to improve the attractiveness of those races, thereby the number of runners and future Levy generation. We will be monitoring the success of the expendi- ture and are looking forward to working with the Levy Board through the Betting Patterns Working Party on further initiatives during 2012 and 2013.”
GRAHM GOING TO GLASGOW
RCA Trust, a charity offer- ing gambling, alcohol and drug addiction coun- selling, is aiming to target the City of Glasgow in 2012 to raise awareness of gambling issues as part of the industry-funded GRaHM pilot. In addition, the six-month-old pilot already has agreements from 25 agencies in four of the eight local authorities on their patch to screen for gambling-related harm as part of their own assessment procedures. Feedback from services and service users has been very favourable, and RCA has also taken part in community events in order to bring the message directly to the public.
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