REG - Rank Group PLC - Government's White Paper on gambling legislation

RankAnnouncement

28/04/2023 07:00

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RNS Number : 7876X  Rank Group PLC  28 April 2023

The Rank Group Plc

LEI: 213800TXKD6XZWOFTE12

28 April 2023

 

The Rank Group Plc ('Rank' or the 'Group')

Publication of the Government's White Paper (the 'White Paper') on gambling
legislation

Rank welcomes publication of the Government's White Paper which sets out the
public policy changes which will impact the regulation of the UK gambling
sector. In line with our commitment to offering industry-leading player
protection and a high quality experience to all our customers, we support the
Government's objective of striking the right balance between "consumer
freedoms and choice on the one hand, and protection from harm on the other."

One of the three key Objectives of the Review (published in December 2020,
within the Terms of Reference) was to ensure "that there is an equitable
approach to the regulation of the online and the land based industries".

We welcome those commitments in the White Paper that directly address this
objective and which respond to how the gambling landscape has changed since
2005. Specifically, the increase to the number of gaming machines that are
permitted in 1968 Act casinos* is positive news for the Group. The
Government's commitment to a sliding scale for gaming machine numbers, based
on size of venue, ought to ensure that the vast majority of our 50 casinos
will benefit from a greater variety of gaming machines which will better meet
the needs of our customers.

We welcome the policies which will permit sports betting to be available in
all of our casinos; changes to the provision of credit for international High
Net Worth casino customers*; the review of digital payment methods in
land-based venues*; and, in bingo, changes to the '80/20' rule relating to the
balance between Category B3 and Category C and D machines.

We will be continuing discussions with the Government and the Gambling
Commission regarding those modernising proposals for which the White Paper
provides high level support, and which we believe are in the best interests of
customers and are underscored by robust safer gambling measures. For casinos,
these include the ability to offer a wider range of table gaming products on
electronic terminals and, for bingo, the opportunities to extend betting
opportunities on the main stage game of bingo. We are pleased that the White
Paper provides the opportunity for both of these policies to be delivered.

We note the consultation on the statutory Levy and welcome the Government's
acknowledgement that their consultation will take account of "the differing
association of different sectors with harm and/or their differing fixed
costs", which clearly applies to our land-based business models.

Overall, we expect the policy changes to be positive for the Group with the
changes relating to our land-based operations more than offsetting the
negative impact of the reduction in maximum staking limits for online slot
players* and the additional cost of the statutory levy.

We do not believe that the Government's policy relating to financial risk
assessments for players will have a material impact for the Group, owing to
the work we have already undertaken to ensure that our customers are playing
at safe levels.

The Group will evaluate the detail in the White Paper with a view to providing
a more substantial update on its expected timing and impact in due course.

John O'Reilly, Chief Executive of The Rank Group Plc said:

"The public policy changes set out by Government are a constructive set of
measures for the future of our industry and provide a firmer foundation for us
to invest in our business. Whilst our UK digital business will be impacted by
a tightening of regulation, our land-based operations will benefit from the
proposed regulatory changes and, in net terms, the Group will benefit.

"With public policy now set, attention shifts to the timeline for implementing
these policy changes. Swift implementation of these much needed reforms is
vital for the land-based sector as we look to meet the needs of today's
consumers whilst continuing to uphold our commitment to safer gambling."

Ends

 Contacts:
 Rank
 David Williams - corporate affairs             Tel: +44 7976 180 236
 Sarah Powell - investor relations              Tel: +44 1628 504 303

 Media Enquiries:
 FTI Consulting LLP (PR adviser to Rank)
 Edward Bridges                                 Tel: +44 20 3727 1067
 Alex Beagley                                   Tel: +44 20 3727 1045

 

 

Notes to editors:

 

*     Asterisk denotes a policy contained in the White Paper which is now
subject to consultation.

 

 

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