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Leaks suggest no UK ‘Supercasino' on cards
Published:  01 March, 2008

The content of a letter to the Scottish Government from the UK Government's Department for Culture, Media and Sport (DCMS) was made public in early February, which prompted speculation that the UK Government plans to drop the proposal for a ‘supercasino', but still allow a total of 16 new casino licences. As these pages went to press, the DCMS stated that a formal decision had not been taken following a review of UK casino plans instigated by Prime Minister Gordon Brown.

The ‘supercasino' was seen as the key to regenerating a run-down area of the city of Manchester, but Gordon Brown put the plans on hold, calling for a review and charging Communities Secretary Hazel Blears with investigating alternative routes to regeneration for Manchester.

Gordon Brown's political opponents are making much of the apparent confusion surrounding his government's stance on casino licensing.

Meanwhile Ladbrokes announced that it no longer plans to bid for any new UK casino licences, having previously stated publicly that it intended to "build a new revenue stream, by securing a number of the new casino licence opportunities in the UK".

Analysts have suggested that a general downturn in confidence in the UK casino market, and the negative effects on revenue of the smoking ban combined with regulatory changes and an increase in casino duty have caused operators to become nervous about the length of time that will be needed to generate a return on investment.


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