Ladbrokes and William Hill Feeling Slots Pinch

Both Ladbrokes Plc and William Hill Plc are feeling the pinch after Britain asked regulators to look into the amount of money that people are losing gambling on the slots. The Department for Culture, Media and Sport asked the Gambling Commission to look into ways that they might be able to reduce the amount of money that was lost in slots.

They say that there are particular “risks associated” with the slots and wants to find ways to relieve some of the losses that gamblers are experiencing with the playing of these machines. With slots being responsible for about a third of sales at betting shops, cutting down on the amount that gamblers lose at them was bound to seriously cut into their bottom lines.

Ladbrokes reported that they lost as much as 3.2% and William Hill reported a loss of 5.5% over the month that the commission has been working at cutting the losses. The Sports Minister said that he had to arbitrate in the dispute that the horse racing industry had with the slots groups, and he said that he was regretful that he had to order them to pay $190 million to the horse racing industry in support prize money and animal welfare.

Gerry Sutcliffe says that it was not his place to have to step in and arbitrate, and that they should have been able to work out a deal amongst themselves. He says that both sides have been uncooperative and that he hopes that they don’t have to go through this again next year, as they don’t want to be in that position.

They say that this was the first year that they were not able to come to a deal, and that it could have something to do with the fact that the government is looking to cut back the amount that they are making as well.

 

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