FOBTs – the Government’s high stakes gamble

Two weeks ago in Prime Minister’s questions I asked the Prime Minister if he would undertake a thorough review of Fixed Odds Betting Terminals or FOBTs as they are known. His response was woefully inadequate. He seemed not to understand the problems these machines are causing or even his own Government’s policies towards them.

FOBTs are high stakes gambling machines where £100 can be wagered every 20 seconds. You’d think such gambling would only be found casinos but in fact the 35,000 FOBTs in Britain are located in bookmakers, on high streets, with each bookie being allowed up to four machines.

Such high stakes, easily accessible gambling, found in the low supervision environment of a bookmaker, where there is often just one member of staff present, is leading to serious economic and social problems for our communities. As I’ve seen at first hand in my own constituency of Swansea East, it is more often than not young men who are gambling large sums that they can ill afford, racking up huge debts and coming to my office to ask for help and food parcels just so they can get by. This causes huge problems of course for them, and their families, leading to spiralling debt and young vulnerable people getting addicted to high stakes games. Some take out payday loans to fund their gambling habits, others borrow money off close family and friends as they look to fund their addiction and chase loses.

Beyond this, the machines are often used for money laundering and I’ve been pressing the Treasury to clamp down on this. FOBTs are leading to violent crime with FOBTs being smashed each week by irate punters. Our high streets are also being blighted as bookies are buying up more and more shops to enable them to have more highly profitable FOBTs, at the expense of other high street shops. In most cases, the figures show that bookies are making £1,000 per machine, per week and this money is often coming directly from the poorest.

Such is the worry about the effect these machines are having on our high streets and communities, 96 local councils, a quarter of the total, have called for more powers to deal with them.

I’m not against gambling or bookmakers, my own husband likes a flutter on the horses from time to time. But I am against profiteering from the vulnerable and social injustice. FOBTs aren’t about traditional betting or harmless fun, they offer high stakes, highly addictive gambling.

The most effective way to tackle them is of course to reduce the amount that can be wagered. £100 in 20 seconds is a phenomenal amount. Instead, the stake should be in line with other adult gaming centres and well below the current level of £100.

Governments have a duty to act to protect their citizens. FOBTs are a blight on our communities and our high streets. It is time the Prime Minster got a grip of this policy, stopped pandering to the bookmakers and properly dealt with FOBTs.

Carolyn Harris is the Labour MP for Swansea East