The new tax hike on slot machines will take effect from February next year, amid fears from the industry that 11,000 jobs are likely to be lost, while other gaming officials were predicting that “the end for many amusement arcades is nigh.”

Commenting on the levy, Simon Davies from Collins Stewart said: “The Budget has demonstrated the vulnerability of so-called ‘sin’ industries at a time when governments are under pressure to grow tax revenues.”

The UK government already receives around £1bn in tax revenue from bookmakers each year, but the increased duty will now impact the profits of companies like William Hill, which is expecting an £11 million drop in profits, and Ladbrokes which can expect a £14 million decrease.

The leisure industry is also likely to face a significant tax hit of an extra £14 million a year, with the CE of the British Beer and Pub Association Brigid Simmonds, reacting to the news by forecasting serious damage to the pub sector. As she explains:

“Fruit machines and quiz machines are an important part of the fabric of British pubs, but this punitive tax could see many of them disappear.”

A further concern for the gaming industry is the Government’s announcement that in 2013 or 2014, telephone and online betting will have its 15% levy charged according to where a gambler places a wager rather than where the bookmaker is located. This is viewed as a means of dealing with the tendency of online operations to move offshore, with the UK chancellor George Osborne stating:

“90 percent of online gambling consumed by our citizens is now supplied from outside the UK. This is clearly not fair and not a sensible way to support jobs in Britain.”

A self-exclusion program allows people with gambling problems to ban themselves from a casino, and have their details removed from the casino’s mailing lists and marketing database. They can then be arrested for trespassing if they attempt to steps foot into the casino property.

Nevertheless, last summer the Rivers Casino sent four self-excluded gamblers mailing promotions, gave cash advances to two others, while seven individuals received players’ rewards cards.

Despite being fined $25,000, the Rivers Casino could have been penalised considerably more as, for instance, the Hollywood Casino Aurora had to pay $800,000 in 2004 for sending promotional materials to 146 self-restricted gamblers.

However, the fact the Rivers Casino reported the violation itself was taken into account when setting the size of the fine. The Casino has since put the oversight down to employee training and the hectic time of year, with the casino’s general manager Bill Keena, explaining:

“We take our responsibility to be a good corporate citizen very seriously and to ensure the safety of our patrons. In this instance we realized that we had made a mistake and we reported it immediately to the IGB.”

From July 18th to March 1st, 2011, Rivers Casino caught 149 individuals trying to contravene their self-exclusion order, with 51 being stopped after their ID’s were scanned at the entrance. Additionally, 36 were discovered after they tried to use their credit cards, 23 were recognized by staff, 8 while claiming jackpots and 3 while cashing cheques.