sports betting Minister Tracey Crouch resigns over 'delay' to wagering crackdown

1 November 2018

sports betting minister Tracey Crouch has resigned over "hold-ups" to a crackdown on optimal stakes for fixed-odds wagering devices.

Chancellor Philip Hammond said in Monday's Budget that the cut in stakes from ₤ 100 to ₤ 2 would enter into force in October 2019.

Ms Crouch said pressing back the date was "unjustifiable" and it might cost the lives of problem gamblers.

She tweeted: "Politicians come and go but principles stick with us permanently."

Prime Minister Theresa May stated she was disappointed Ms Crouch had resigned however there had been "no hold-up in bringing forward this essential procedure".

High stakes for fixed-odds betting makers

' I lost ₤ 250,000 on sports betting machines'

sports betting maker stakes to be cut to ₤ 2

The government has denied Labour claims that MPs had actually been led to think the cut would enter into force at the start of the next tax year, in April 2019. They recommended the cut had been meant to be presented in April 2020.

But in her resignation letter, Ms Crouch said: "Unfortunately, execution of these modifications are now being postponed up until October 2019 due to dedications made by others to those with signed up interests.

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End of twitter post by Tracey Crouch

"From the time of the statement to decrease stakes and its application, over ₤ 1.6 bn will be lost on these makers.

"In addition, two individuals will tragically take their lives every day due to gambling-related problems and, because of that as much as any other, I think this hold-up is unjustifiable."

She added: "It is a reality of government that ministers need to follow cumulative responsibility and can not disagree with policy, not to mention when it is policy made against your wishes associating with your own portfolio."

'God bless'

Among those applauding her on social networks, the Archbishop of Canterbury Justin Welby tweeted, external that she was "principled and bold" including: "May God bless her commitment to doing right."

Former foreign secretary Boris Johnson tweeted, external that she "is worthy of substantial credit not simply for her campaign however for sticking up for her principles".

Fixed-odds wagering terminals produce ₤ 1.8 bn in profits a year for the sports betting market, according to the Gambling Commission, external, and taxes of ₤ 400m for the government.

Currently, people can wager up to ₤ 100 every 20 seconds on electronic casino video games such as roulette. Anti-gambling campaigners say the machines let gamers lose cash too rapidly, leading to dependency and social, psychological and monetary problems.

But bookies have cautioned the cut in stakes might cause thousands of outlets closing.

In her action to Ms Crouch, the PM stated the federal government had listened to those who desired the modifications to come into impact sooner than April 2020 and "had actually agreed that the modifications ought to remain in location within the year - by October 2019".

In his Budget on Monday, the chancellor said the change to fixed-odds stakes would enter into force next October at the very same time as modifications to task charged on gaming companies based abroad however running in the UK.

The government states co-ordinating the date of the two changes would suggest the federal government would not be hit by a fall in tax earnings.

Who is Tracey Crouch?

The 43-year-old MP has represented Chatham and Aylesford, in Kent, since 2010

She was promoted to the front bench as sports betting minister in 2015

She is understood for her opposition to fox hunting and her love of football - she is a certified FA coach

Grammar school educated at Folkestone School for Girls, she went on to get a degree in law and politics from Hull University

She had worked for various Tory MPs, including Michael Howard and David Davis before representing election

She had her very first kid in 2016 and is thought to have actually been the first Tory minister to take maternity leave

But in the Commons on Thursday, Labour's deputy leader Tom Watson implicated the government of "capitulating to the gaming industry".

He applauded Ms Crouch's "courageous and principled decision" and stated Culture Secretary Jeremy Wright "should be completely ashamed" of prioritising "business interests over victims, revenues over public health and greed over excellent".

MPs from all sides of the House participated in his criticism. Former Tory leader Iain Duncan Smith said it should be gone over as part of the Finance Bill later on this month.

Week ahead in Parliament: The Finance Bill

He informed the BBC: "There are a lot of people whose lives have actually been harmed by this addiction ... We need to do this extremely rapidly, as rapidly as we can and in the meantime, the gaming industry will make about ₤ 1bn as an outcome of this hold-up. That's not best."

Labour has actually told the BBC that they will put down a modification to the Finance Bill to try and bring in the modifications next April.