Why something needs to be done about the betting industry

There are increasing concerns that stores are becoming more concentrated in poor and deprived areas.

"I'll pay you back as soon as I've won," says the guy blocking my way out. It's almost 10pm, and Ladbrokes is still open. I've come in to see what it's like, and accidentally won my bet back ten fold. Now everyone is watching me pocket my winnings in a neon lit room littered with failed paper bets. I'm surrounded by a group of guys in black padded jackets who ran out of money long ago.

Betting shops have always come with their problems, but the challenges they pose today are fundamentally different to the past. We are dealing with an industry that has become commodified, mechanised and -- in some of the poorest areas of our communities -- totally mainstream. Our democratic structures were not designed to deal with this, and they're failing. Something needs to be done.

Globalisation has transformed this industry. It means that betting is no longer limited by our country's sports seasons or daylight hours. Paddy Power outlets now open at 7am, allowing people to place bets on their way to work in the dark, and close at 10pm long after everything else on high street has shut. Racing in Paraguay, Australia and Japan means live races are happening constantly. In the shop I was in, they were taking bets on 130 live events a day.

And that's not including virtual races. In perhaps the oddest twist of the industry, the cashier showed me a timetable of virtual games that ran every four minutes. If there's nothing else on, customers can bet on a computer-generated horse that races on the big screen. Betting is no longer reserved for special events or particular players that you can research or form an emotional attachment to or even touch. It has become brutal, mechanistic and void.

Then, of course, there's the recent introduction of FOBTs -- slot machines offering games like Routlette and Bingo -- brought in over the last few years to keep you occupied in the one or two minutes you might still have free.

Gambling used to be social. But the increased speed and frequency of bets has short-circuited the need for human relationships. New mechanised cashiers mean you can gamble away a million without talking to a soul. Increased competition between the four big brands that dominate the market -- Bet Fred, Paddy Power, William Hill and Coral -- are aggressively competing by cutting staff. Mainstream betting shops no longer provide exciting, special experiences so much as fast, dirty transactions.

Betting shops are fast on their way to becoming 24 hour rooms manned by bouncers alone.

Although the total number of betting shops has remained relatively stable over the last five years, there are increasing concerns that stores are becoming more concentrated in poor and deprived areas such as Waltham Forest, Newham and Liverpool. Hackney has 64 betting shops -- three times the national average for a local authority -- and in my hometown of Southwark, important research from Harriet Harman has found 77. Meanwhile, David Lammy has pointed out that Tottenham has 39 bookmakers but not a single bookshop.

Betting shops cluster around particular high streets as well as certain boroughs. They are often conveniently located next to payday loan stores. Their staff, in colourfully branded caps and t-shirts, echo nearby fast food outlets. In Southwark, they are spreading on Rye Lane and the Walworth Road, opening up whenever another business goes under in the downturn. There are even rumours one may replace a local jobs centre.

"They (betting shops) are often located near post offices," says Ruth Champion, a therapeutic director from the problem gambling charity Gordon Moody. "We have to ask, are they targeting people coming out with a giro? It's getting harder and harder for the people we treat to be in a safe place."

All this is big money. The Gambling Commission estimates that the UK gambling industry was worth some £5.6 billion in 2010, and the betting sector represents 52 per cent of that market. It can't go on like this.

Ladbrokes on Peckham High Street was one of the shops kicked in during the August riots. I remember it left a cracked spider web of broken glass. There's a growing anger at these businesses from some of poorest people in the community I serve, and in others around the country. As a local councillor for the Lane, I want to revisit this topic, talk to the staff and customers in these shops and figure out what can be done. Although after the close call last night, I might go back at earlier hours.

Rowenna Davis is a journalist and author of Tangled up in Blue: Blue Labour and the Struggle for Labour's Soul, published by Ruskin Publishing at £8.99. She is also a Labour councillor.

Rowenna Davis is Labour PPC for Southampton Itchen and a councillor for Peckham

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Why Angela Merkel's comments about the UK and US shouldn't be given too much weight

The Chancellor's comments are aimed at a domestic and European audience, and she won't be abandoning Anglo-German relationships just yet.

Angela Merkel’s latest remarks do not seem well-judged but should not be given undue significance. Speaking as part of a rally in Munich for her sister party, the CSU, the German Chancellor claimed “we Europeans must really take our own fate into our hands”.

The comments should be read in the context of September's German elections and Merkel’s determination to restrain the fortune of her main political rival, Martin Schulz – obviously a strong Europhile and a committed Trump critic. Sigmar Gabriel - previously seen as a candidate to lead the left-wing SPD - has for some time been pressing for Germany and Europe to have “enough self-confidence” to stand up to Trump. He called for a “self-confident position, not just on behalf of us Germans but all Europeans”. Merkel is in part responding to this pressure.

Her words were well received by her audience. The beer hall crowd erupted into sustained applause. But taking an implicit pop at Donald Trump is hardly likely to be a divisive tactic at such a gathering. Criticising the UK post-Brexit and the US under Trump is the sort of virtue signalling guaranteed to ensure a good clap.

It’s not clear that the comments represent that much of a new departure, as she herself has since claimed. She said something similar earlier this year. In January, after the publication of Donald Trump’s interview with The Times and Bild, she said that “we Europeans have our fate in our own hands”.

At one level what Merkel said is something of a truism: in two year’s time Britain will no longer be directly deciding the fate of the EU. In future no British Prime Minister will attend the European Council, and British MEPs will leave the Parliament at the next round of European elections in 2019. Yet Merkel’s words “we Europeans”, conflate Europe and the EU, something she has previously rejected. Back in July last year, at a joint press conference with Theresa May, she said: “the UK after all remains part of Europe, if not of the Union”.

At the same press conference, Merkel also confirmed that the EU and the UK would need to continue to work together. At that time she even used the first person plural to include Britain, saying “we have certain missions also to fulfil with the rest of the world” – there the ‘we’ meant Britain and the EU, now the 'we' excludes Britain.

Her comments surely also mark a frustration born of difficulties at the G7 summit over climate change, but Britain and Germany agreed at the meeting in Sicily on the Paris Accord. More broadly, the next few months will be crucial for determining the future relationship between Britain and the EU. There will be many difficult negotiations ahead.

Merkel is widely expected to remain the German Chancellor after this autumn’s election. As the single most powerful individual in the EU27, she is the most crucial person in determining future relations between the UK and the EU. Indeed, to some extent, it was her intransigence during Cameron’s ‘renegotiation’ which precipitated Brexit itself. She also needs to watch with care growing irritation across the EU at the (perceived) extent of German influence and control over the institutions and direction of the European project. Recent reports in the Frankfurter Allgemeine Zeitung which suggested a Merkel plan for Jens Weidmann of the Bundesbank to succeed Mario Draghi at the ECB have not gone down well across southern Europe. For those critics, the hands controlling the fate of Europe are Merkel’s.

Brexit remains a crucial challenge for the EU. How the issue is handled will shape the future of the Union. Many across Europe’s capitals are worried that Brussels risks driving Britain further away than Brexit will require; they are worried lest the Channel becomes metaphorically wider and Britain turns its back on the continent. On the UK side, Theresa May has accepted the EU, and particularly Merkel’s, insistence, that there can be no cherry picking, and therefore she has committed to leaving the single market as well as the EU. May has offered a “deep and special” partnership and a comprehensive free trading arrangement. Merkel should welcome Britain’s clarity. She must work with new French President Emmanuel Macron and others to lead the EU towards a new relationship with Britain – a close partnership which protects free trade, security and the other forms of cooperation which benefit all Europeans.

Henry Newman is the director of Open Europe. He tweets @henrynewman.

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