Keeping the reels of fortune spinning

Currently overshadowed by the forthcoming smoking ban, changes to the gaming laws for the licensed trade are now reaching their final stages.

Last week, the Department for Culture Media & Sport issued draft regulations on the procedure for the grant of gaming machine permits for pubs, and similar permits for both gaming and jackpot machines in clubs.

There are no real surprises and the

consultation document stresses that it will be a "light touch" regime. In the rare instances that there is any dispute about a permit, they are not even setting out any specific hearing regulations - they are leaving it to the discretion of the local authority as to how they will deal with it.

It has already been established that those who currently have section 34 permits, for whatever number of machines, will keep them after D-day, which is still set for 1 September this year. If your existing permit, which normally lasts for three years from the date of grant, expires before then, you will need to renew it with the local licensing authority under the Gaming Act 1968. They cannot put conditions on it, and it will once again last for three years, expiring some time on or before 31 August 2010.

After 1 September, these old-style permits will be treated as if they were a "licensed premises gaming machine permit" under the new Act. Grandfather rights will apply to pubs that currently have a permit covering more than two machines. Everyone else has an automatic entitlement to two machines anyway, so the change over will not really be an issue until nearer the time that the existing permit runs out, when a notification to the licensing authority will be all that is needed.

After that, the new-style permit will last indefinitely, without any need for triennial renewal. However, where the holder of the premises licence changes, the permit will need to be transferred at the same time, so it is effectively linked to the actual pub licence-holder.

What will be of concern to everyone is the new fees regime. Once again, costs have risen dramatically. You will pay an annual fee of £50 and if you need to apply directly for a new-style permit, or to vary the number of machines, it will be a hefty £100 to do so. If you are a brand new operator it will be £150. The major cost will still be the Revenue & Customs machine licence, however.