I stand to speak to new clause 2 on fixed odds betting terminals. I welcome this amendment to the Wales Bill to confer legislative competence on the National Assembly for Wales to enable it to address the issue of FOBTs in Wales.
As Members will know, I have a long-standing concern about the growth and proliferation of FOBTs across the United Kingdom, and especially in Wales, as the Member of Parliament for Swansea East. That concern is shared by many in Parliament, and that has led to the formation of an all-party group on fixed odds betting terminals, of which I am proud to be the chair. The group is running an inquiry into FOBTs to assess their impact, and we will report to the Government early in the new year.
The new clause would confer legislative competence on the National Assembly for Wales to enable it to address the issue of FOBTs in Wales. That follows the adoption by the Welsh Assembly last year of a Back-Bench motion, supported by Members of all four parties then represented in the Assembly, calling attention to the social problems arising from the increase in gambling, and calling for consideration to be given to devolving responsibility over this matter to enable the Assembly to address it effectively.
The new clause is to be welcomed because it will add some additional control over FOBTs located in all new betting premises in Wales. Given the current low level of regulation surrounding FOBTs, any additional regulation is to be welcomed. The new clause would also, rightly, give Wales parity with Scotland in relation to FOBTs—there is no reason why there should be greater protection of the vulnerable in Scotland than in Wales or, indeed, in the rest of the UK.
However, while the new clause is a useful first step, it does not go far enough in protecting vulnerable communities and high streets in Wales. In particular, it is not retrospective, so it could enhance the value of current betting shops and will not limit the current proliferation of bookmakers and FOBTs. Instead, it will create a protected monopoly of existing betting shops. Moreover, the proposal could be challenging to implement on competition grounds, since it will alter the composition of new betting shops as opposed to current ones. How we implement the new powers in the Bill would also be a question to consider.
Many have reached the conclusion that the only effective way to tackle the problem of FOBTs is to reduce dramatically the stake that can be wagered on these machines from its current level of £100. That has not been addressed in the new clause, and it is the size of the stake that many see as the real issue with FOBTs.
There will be a “Panorama” programme tonight on this very issue, which will expose the problems that these machines are causing and the need for far more stringent regulation of them. I urge all Members of the House, if possible, to watch the programme. Nevertheless, I support the new clause as a first step.