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Press Releases and Articles STAKE AND PRIZE INCREASE A REAL CHANGE IN POLICY PRESS RELEASE PRESS RELEASE PRESS RELEASE STAKE AND PRIZE INCREASE A REAL CHANGE IN POLICY Business In Sport and Leisure today welcomed the announcement from the Department for Culture, Media and Sport that a ‘mini’ Triennial Review of Stakes and Prizes would come into effect at the end of the month. Brigid Simmonds, Chief Executive of Business In Sport and Leisure said: “BISL has played a major co-ordinating role to achieve this change in policy. DCMS had previously only announced a change in stake for the £500 prize machine used in bingo and some betting shops, for the £250 prize machine used in clubs and in the stake for the £25 prize machine, mostly seen in pubs and other premises with a liquor licence, which would have come into effect in September 2007.” “Working with the major trade associations who have an interest in this area, we convinced Ministers and officials of the hardship which the industry was experiencing at this low stake, low prize end of the market, not only in the retail, but also in the manufacturing sector. As a result they have brought forward the changes to stakes and increased the prize for the ‘pub’ machine to £35 (although tax difficulties mean that this will not be available until the next Budget in March 2007). “ “All Party support was a key factor, but also the commitment of industry to social responsibility, as can be seen from the attached summary. This is an important step as we work with the Gambling Commission on their new code on social responsibility which will take effect when the Gambling Act 2005 is fully implemented.” NOTES TO EDITORS 1. Business In Sport and Leisure (BISL) is an umbrella group which represents over 120 private sector companies in the sport, hospitality and leisure industry. Its members include most of the major operators of commercial sport and leisure in the UK and many consultants who specialise in this field. Members of BISL represent a wide range of interests in the gambling sector and include operators of casinos, bingo, betting, pools, greyhound and horse racing, snooker and ten pin bowling centres, pubs and the suppliers of gaming machines. In fact as far as we are aware BISL is the only umbrella body representing all major sectors of the Gambling Industry 2. Initial difficulties with the change meant that in theory raising the stake for the Category C ‘pub’ machine, would also raise the stake for the Category D, £5 cash machine. This was solved through a commitment that the stakes for Category D machines would not rise above current limits. 3. Later complications revealed that the Treasury had defined machines for licence duty purposes by prize. This was done because the new categories of gaming machine C, D etc do not exist in law until the Gambling Act is fully introduced in September 2007. This means that if the prize for Category C is raised from £25 to £35, you move up to the next bracket in terms of AMLD. In this case this means B4, so instead of paying £735 plus VAT, a prize of £35 will pay £1,750 plus VAT (B4 rates). This means that the change in prize is not worth introducing, but the Treasury have undertaken to rectify this position in the next Budget in March 2007. 4. For further information, please contact Brigid Simmonds 020 8780 2477 or Mobile 07710 485119 For a copy please contact : amanda.fry@bisl.org
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