Casino reopening plan postponed “at least” two weeks

Last Friday, UK Prime Minister Boris Johnson announced that in order to keep the coronavirus under control, the government has decided to postpone some of the changes they were hoping to make in August, which included the reopening of gambling venues on August 1st.

The UK’s industry standards body claimed that the decision to keep casinos closed is “highly illogical, inconsistent and deeply damaging to those businesses and the thousands of staff they employ.”

“On Saturday 1 August, you’ll remember, we had hoped to reopen in England a number of higher-risk settings that had remained closed. Today, I am afraid we are postponing these changes for at least a fortnight. Casinos, bowling alleys, skating rinks, and remaining close contact services must remain closed. Indoor performances will not resume.”

– the Primer Minister announced.

According to the industry standards body —The Betting and Gaming Council (BGC)— the Government’s last-minute reversal of plans has dealt a wrecking ball to the industry, from which it may never recover.

The BGC warns that up to 6,000 jobs may be permanently lost – half the number supported by the sector, Politics Home reports. In a letter to Chancellor Rishi Sunak MP on Friday 31st July, the BGC described the decision to keep casinos closed as “highly illogical, inconsistent and deeply damaging to those businesses and the thousands of staff they employ.”

The cost of preparing for reopening on 1st August, including taking staff off furlough, training, security and food and beverage, is believed to be around £6 million. For every week that casinos remain closed, it costs the industry over £5 million. There is also a significant cost to the UK Treasury, with the cost of furlough and lost tax receipts hitting the public purse to the tune of £10 million per week.

The casino sector employs more than 14,000 people across the UK (12,000 jobs in England) in 125 casinos and a further 4,000 in the supply chain. Casinos also paid over £300 million each year in tax before the lock down.

However, operators have warned of permanent damage to the sector as a result of bearing the costs of closure, with many now fearing for their survival. Genting Casino, which employs over 4,000 people in the UK, has already warned it needs to make “heartbreaking decisions” about the future of the business, with job losses now “simply unavoidable.”

Rank Group, whose Grosvenor Casino business employs over 4,600 people, also faces some very tough decisions in the coming weeks unless the Government provides assurances on reopening, with the Chancellor’s decision to taper furlough payments and force employers to pay National Insurance and pension contributions weighing heavily on decision making within the industry.

Based by yogonet.com

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