Fears new law is blow for resort
FEARS have been raised about the future of coastal resorts such as Hunstanton in light of new laws restricting the amusement arcade industry.
North West Norfolk MP Henry Bellingham believes the new Gambling Act, which came into force in September, has created a huge threat to the heritage of seaside towns and last week called for a reversal in the rules which have hit businesses hard.
As part of the new act the minimum stake for players on fruit machines offering a jackpot of 500 has been halved, while premises are now limited to just four such machines per venue.
Mr Bellingham said: “I think the impact on resorts like Hunstanton will be a loss of jobs, not in huge numbers, but there will still be a loss.
“It also means there will be less money to invest on improvements in the future. The town is in discussions regarding regeneration and amusement arcades are a very important part of the economy.
“Businesses such as CHS Amusements and Showboat have spent a lot of money reconfiguring their layouts.
“But they now find they are losing the customers who like to have a sensible, adult gamble to the Internet.”
The rules mean that a player only has to invest a 1 stake, instead of 2, but the 500 jackpot winnings remains the same.
Upgrading the machines to cater for the change is also proving to be expensive.
Steve Ambrose, operations manager for RIVA Gaming group, which includes the two Showboat venues in Lynn, said: “We saw straight away that customers were saying they did not like the machines and they would be going elsewhere to play.
“Our income is down by 21 per cent and our profit margin is 40 per cent down on last year. It is a dramatic effect.
“It is very, very problematic and a lot of smaller operators are really in trouble. There is the possibility of large-scale job losses and a large proportion of the industry will be affected in the next six months unless something is done.”
Mr Terry Duncan, operations director for Hunstanton-based CHS Amusements said it is too early to assess the full impact of the new act, but fears the worse for his industry.
He told the Lynn News: “The generalisation is that this will have a significant impact on business.
“The new game does not appeal to the original base of customers which does not do us any favours at all.
“Most sites around the country have up to 25 machines and suddenly they are down to four, which does not give players the ability to pick and choose.
“It is like going to Tesco with only four tills open, but they are not willing to queue. They are going to harder forms of the game or Internet gambling.”
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Weather for King's Lynn
Sunday 27 May 2012
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