My Lords, I am very pleased to speak in support of Amendments 173B and 173C in the names of the noble Lord, Lord Beecham, and the right reverend Prelate the Bishop of Bristol. I have added my name to both.
Beginning with Amendment 173C, I support the proposal to devolve more powers to local authorities so that they can determine, going forward, the number of fixed-odds betting terminals in their area. As has been said before, fixed-odds betting terminals present a very distinct challenge that results from the unique way in which they combine high stakes with a very high speed of play, such that it is possible to lose £18,000 in an hour.
Rather than repeat the statistics that I cited in our debate on these amendments in Committee, I want to highlight a study specifically of the play of people with loyalty cards. This is particularly interesting because those with loyalty cards tend to gamble regularly, and the research demonstrated that 37% of such users manifest problem gambling behaviours. Are we as a society really happy to countenance accepting a form of entertainment in relation to which regular engagement exposes nearly 40% of those partaking to serious risks?
A study published in 2016 on addictive behaviours in 72 homeless adults in Westminster identified elevated rates of problem gambling in the group, with 82.4% of those reporting problem gambling stating that their gambling preceded their homelessness. The authors of the report said that,
“our homeless participants identified Fixed Odds Betting Terminals as the most problematic form of gambling”.
In responding to the debate on these amendments in Committee, the Minister was keen to highlight the success of the Gaming Machine (Circumstances of Use) (Amendment) Regulations 2015, which require gamblers wishing to bet more than £50 on B2 FOBTs to do so either through a verified account or via over-the-counter authorisation. However, an assessment by the Department for Culture, Media and Sport revealed that only a limited number of stakes—between 8% and 11%—were being placed through verified accounts and that people placing bets with staff occurred in only around 1% of the sessions. Thus the uptake for stakes being placed through verified accounts and OTC authorisation was incredibly low and suggests that the Government’s attempt to track players has been unsuccessful.
In addition, the DCMS evaluation report noted that from 2014 to 2015 there had been a £6.2 billion reduction in bets over £50 but a £5.1 billion increase in stakes of between £40 and £50. This suggests that the intervention is simply changing the way that players play and is not seriously curbing problem gambling
connected to FOBTs. The fact that increasing numbers of people are betting just under £50 every 20 seconds is deeply disturbing.
On Amendment 173B, I note that in her response to the debate in Committee the Minister said:
“The Association of British Bookmakers’ Safe Bet Alliance provides specific guidance on staffing security in bookmakers, which was drafted with the input of the Metropolitan Police. Members of the Association of British Bookmakers operate single staffing only when a risk assessment has been undertaken”.—[Official Report, 9/11/16; col. 1231.]
The implication of what she said seemed to be that this was satisfactory. However, given the extensive evidence of gamblers vandalising FOBT machines after losing apparently considerable sums of money, given also that betting shop staff recall having felt intimidated and scared when individuals have lost money on FOBT machines, given too that betting shops accounted for more than 200 of the 523 serious robberies against commercial properties in London in 2015, given that the Association of British Bookmakers has a very strong incentive not to allow its main source of income to be seen as a catalyst for public disorder, and, lastly, given that, although the Metropolitan Police can provide advice, it does not make law, it seems to me that we should not conclude that the current arrangements are satisfactory.
The Prime Minister has said that she wants to make Britain a country that “works for everyone”, as has already been mentioned. Although FOBTs are certainly working well for betting shops, they are not working well for other people—especially those in deprived communities, where a large number of FOBTs are located.
In conclusion, I emphasise two things. First, although I strongly support the proposal to give local authorities powers to limit the number of FOBTs, thereby providing the opportunity to limit the number of these dangerous machines, is it not far more important to make FOBTs less dangerous? To this end, I am very committed to the Bill introduced by the noble Lord, Lord Clement-Jones, in the previous Session, which proposed reducing the maximum stake per spin from £100 to £2. That is the big issue, and I very much hope that the Government will adopt this solution in their gambling review.
Secondly, I hope that the Minister will accept these amendments today, but if she says that we must await the outcome of the review on this matter, I hope that what I have said at this stage and previously will be taken into account as part of the review process. Finally, can she say when she expects the results of the gambling review to be published?
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