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Analysis of Consultation Responses and Scottish Executive Response

Introduction

The Gambling Act 2005 gives Scottish Ministers powers to make regulations which provide for conditions to be attached to premises licences under sections 167 and 168 of the Act - 2 types of conditions may be attached. The conditions attached to premises licences under section 168 will attach to all specified types of premises licence, unless they are excluded by the licensing authority responsible for issuing the premises licence ("default conditions"). The conditions attached to premises licences under section 167 will attach to all specified types of premises licence and can only be amended or excluded by further regulations made by Scottish Ministers ("mandatory conditions").

Scottish Ministers and Ministers at the Department for Culture, Media and Sport (DCMS) have stated publicly that increased social responsibility lies at the heart of the new regulatory regime and that protection of the public (especially children and the vulnerable) is the top priority in implementing the Act's provisions. Within that overall policy framework, the policy objective for these regulations is that mandatory conditions will apply basic minimum requirements to all premises licence holders and the regulations mostly comprise such conditions. D efault conditions apply where a general industry/sector-wide approach is desirable in order to assist national consistency, but allow licensing authorities to respond to local circumstances by altering those conditions if necessary. The default conditions contained in the regulations relate solely to opening hours.

For the avoidance of any doubt, where existing gambling operators in Scotland apply for permissions under the Gambling Act and opt for the standard default conditions, they will be entitled to the same 'fast-track' application system, grandfather rights and continuation rights as will apply to premises licences in England .

Consultation Exercise

Draft regulations on the above conditions issued for consultation on 27 October 2006 to 200 interested parties including local authorities, Licensing Boards, the police, those involved in the provision of gambling, their trade associations, legal interests, club associations, faith groups and gambling help/charity groups. The draft regulations and consultation paper were also posted on the Scottish Executive's consultation website and copies were placed in SPICe. The Executive received 14 responses as at the closing date of 22 December 2006 , which can be categorised as follows:

The Annex to this paper lists the 9 respondents that were content for their responses to be made public and the individual responses can be viewed on the Executive's consultation website. Copies of the responses will be available to the public in hard copy at the Scottish Executive Library, K Spur, Saughton House, Broomhouse Drive, Edinburgh, Ep1 3XD (0131 244 4565).

Of the 14 responses received, 8 respondents were generally content with the draft regulations though some raised points of detail. The other 6 respondents concentrated on specific sectors of the gambling industry and provided detailed comments. The Executive is grateful to those bodies and individuals that responded to this consultation exercise. The main issues raised by respondents followed by the Executive's response (in bold) are set out below.

Main Issues Raised

Respondents were generally content with the proposed default conditions for opening hours but a couple of responses suggested that family entertainment centres (FECs)and adult gaming centres (AGCs) should also be covered. 3 respondents considered the hours should be set as mandatory conditions rather than default ones.

The Executive is of the view that licensing authorities should be able to adjust opening hours in response to local circumstances, if necessary, and so they should remain as default conditions. Licensing authorities will only be able to reduce default gambling hours where that reduction is in line with the principles set out in section 153 of the Gambling Act. The Executive is further of the view that, in line with the DCMS position, default gambling hours will not be set for FECs and AGCs. This will not prevent licensing authorities considering the hours of FECs and AGCs (again in line with section 153 of the Act) when determining new premises' applications, or reviewing existing premises licences.

A couple of respondents expressed the view that compliance with the Gambling Commission code of practice on access to casino premises by children and young people should be included as a mandatory condition attached to the premises licences.

Section 176 of the Gambling Act requires the Gambling Commission to issue a code of practice under section 24 of the Act about access to casino premises by children and young people. By virtue of section 176(3), compliance with that code of practice will be a mandatory condition attached to casino premises licences. The regulations did not seek to replicate any conditions that were already clearly set out on the face of the Act.

Several respondents raised concerns over the practicality of requiring existing casinos to provide non-gaming areas of at least 10% of the total gaming area.

The Executive accepts that this could have been impractical in some instances. In line with the equivalent DCMS regulations, the Executive has therefore amended the condition to exempt casinos with a gaming area of less than 200m² from the 10% requirement. Where the 10% requirement applies, lobby areas and toilet facilities can be taken into account but they cannot totally comprise the non-gaming area.

Several respondents commented on the proposed access provisions, both between gambling-licensed premises and main access points to them. In particular, concerns were expressed about the impact of the proposed conditions on FECs/AGCs in certain situations and about access to gambling premises from a main street.

The Executive liaised closely with DCMS on these matters and has ensured that the same access conditions will apply north and south of the border. The conditions include adopting a wide definition of 'a street' and seek to strike the right balance between ensuring that necessary safeguards are in place, while allowing the gambling industry a degree of operational flexibility.

A couple of responses suggested that a mandatory condition should be applied to all premises licences requiring information on problem gambling/help/assistance to be displayed on the premises. 2 respondents also felt that all track operators should not just be required to remove from the premises anyone accepting bets other than in accordance with the Gambling Act, but that operators should also be required to take appropriate action against any such persons.

In both of the above situations and in line with DCMS, the Executive considers that these matters are more appropriately covered through the Gambling Commission's guidance/codes of practice/licence conditions, which will contain appropriate provisions. Similarly, Gambling Commission operating licence conditions and guidance will contain provisions designed to prevent access by children and young people to gambling facilities while on a track.

A couple of respondents stressed that the provisions relating to 'over-18s only' areas in bingo halls where category B or C gaming machines are made available for use should only be a requirement on premises that allow people under 18 to enter the premises.

The Executive accepts this point which is reflected in the drafting of paragraph 3(1) of Part 1 of Schedule 2 to the final version of the regulations.

Three respondents provided detailed comments about the proposed conditions imposing limits on automated gaming tables in casinos. One respondent provided detailed comments about aspects of the proposed regional casino licence conditions.

In line with the DCMS position, the Executive has maintained in the regulations the limit of no more than 40 separate player positions at wholly automated gaming tables in any casino, but the minimum of 4 player positions at automated gaming tables will be regulated as an operating licence condition by the Gambling Commission. The Executive has also taken the same stance as DCMS in relation to the conditions to be attached to a regional casino premises licence.

A couple of respondents suggested that there were material differences between some provisions contained in Part 1 of Schedule 5 to the Scottish and English regulations dealing with betting premises, and these would prohibit the sale of light refreshments in Scotland.

The Executive notes that the relevant provisions of the Scottish draft regulations appear to be the same as the DCMS equivalent that issued for consultation, and that the final versions of both sets of regulations are also the same. The Executive does not consider that the combined effect of paragraphs 3 to 8 of Part 1 of Schedule 5 prohibits the sale of non-alcoholic refreshments. The Executive further considers that the mandatory conditions attaching to betting premises licences should apply uniformly across Britain, so the Scottish regulations seek to mirror the DCMS' provisions.

While there was general support for the mandatory condition on the positioning of ATMs in gambling premises (requiring customers to stop gambling in order to use ATMs), 3 respondents commented on the practicalities of complying with this.

In line with the DCMS position, the Executive considers that the regulations should include such a condition but without being prescriptive as to how the requirement is to be met in practice.

Some respondents enclosed their detailed responses to the equivalent DCMS consultation exercise. Where any of the issues raised have not been addressed in the above paragraphs, the Executive has taken the same stance as DCMS on these matters and the Scottish regulations contain broadly the same provisions as the DCMS regulations.

Conclusion

The Executive considers that the regulations achieve a proper balance between ensuring necessary safeguards are in place to protect children and other vulnerable people, without putting undue burdens on gambling operators. The regulations have therefore been finalised and laid before the Scottish Parliament with a view to coming into effect on 30 April 2007 .

Scottish Executive

21 February 2007

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