Joint Committee Report

Rank Group PLC 07 April 2004 RESPONSE TO JOINT COMMITTEE REPORT The Rank Group Plc ('Rank') has noted the publication of the report issued today by the Joint Committee on the Draft Gambling Bill (the 'Committee') and welcomes its conclusions. The recommendations set out in today's report are a further substantial and positive step towards the introduction of a new legislative framework. They support the principles established in the original Budd report, which were accepted by Government in 'A Safe Bet for Success'. These include the abolition of non-permitted areas and also the 24-hour rule, the relaxation of advertising restrictions for casinos and the introduction of larger numbers of gaming machines with higher stakes and prizes. The report is a detailed and comprehensive document. Rank welcomes in particular the following recommendations: • the current legislation which is over 35 years old, is in urgent need of revision and should be updated • the Committee stated that 'there is no reason why the Gambling Bill should not be introduced in the current session of Parliament' • the Gambling Commission should be responsible for all aspects of UK gaming including betting and will have strong powers • no casinos, irrespective of size, should be allowed unlimited numbers of high payout slot machines - 3 machines per table for 'small' casinos should be reviewed after three years - 'large' casinos of over 10,000 square feet and 41 gaming tables should have a higher fixed ratio of machines to tables to be set by the Government following consultation with the industry. This is also subject to review by the Gambling Commission after three years - 'resort' casinos should be separately defined with a possible higher ratio of machines to tables than 'large' casinos, up to a maximum of 1,000 - 1,250 machines • all casinos should be allowed to offer bingo and betting, although for 'small' casinos this may be subject to local authority consent • the linking of machines across casinos may be permitted in future, and therefore its prohibition should be removed from primary legislation, allowing its introduction by the Secretary of State through secondary regulation • FOBTs should also be allowed in casinos and defined as a new category of machine. Their impact on problem gambling should also be considered • the planning process for new developments needs to be clarified, in particular the definition of 'large' and 'resort' casinos • remote gambling should be brought within the UK regulatory framework as soon as possible Commenting on the Committee's report, Mike Smith Chief Executive said: 'We have consistently argued for a measured approach to the modernisation of the UK's gambling laws and are delighted that the Committee has adopted a similar stance. We are also encouraged by the recommendation that the law should be changed on an urgent basis. In-line with our strategy, we have continued to invest in our existing activities by relocating casino and bingo operations to bigger and better premises, as well as opening new premises under the current law. With 155 premises and a further 2 opening before the end of 2004, the Group already has over 3.3m square feet of licensed gaming premises and is well placed to take advantage of the new law, as and when it is introduced.' ENQUIRIES: The Rank Group Plc 020 7535 8031 Peter Reynolds The Maitland Consultancy 020 7379 5151 Suzanne Bartch This information is provided by RNS The company news service from the London Stock Exchange

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