A Northumberland councillor has warned that additional taxes on high-street slot machines could have a "damaging" impact and push people towards illegal gambling.
Coun Gordon Stewart, Northumberland County Council's cabinet member for public safety, spoke out as the chancellor reportedly considers increasing taxes on high-street slot machines in his first budget, due this autumn.
Concerns over closures and illegal gambling
The Government has already moved to tighten licensing laws to make it harder for gambling firms to open new outlets. However, Coun Stewart, who represents Prudhoe South, feared any closure of high-street gambling outlets could push punters towards illegality.
Prudhoe's branch of Ladbrokes shut in April, and the premises remains vacant.
Coun Stewart said: "Gambling can be in varied forms. For many residents, this gives them enjoyment and social interaction, without any harm. I fear that such taxation proposals ignore the above and is focussed solely on bringing in money for the exchequer."
Impact on communities and employment
He added: "I have seen a negative change in the lives of several residents who would have previously visited a local friendly betting shop to meet their friends and interact with the trained staff who were themselves part of the community. These shops have now closed, with the huge rises in employment costs and inflation over the last couple of years being blamed."
"This leaves not just a void on the high streets - it also increases unemployment. In the lives of so many, we are in danger of losing that human interaction and pushing those who enjoy a flutter, online or participating in illegal and unregulated gambling often run by organised criminal gangs."
Council policy and government plans
Last week, Coun Stewart spoke on Northumberland County Council's new gambling policy, which will highlight higher risks for residents living in deprived areas and make the policy "more relevant to real-world harms" experienced by families, individuals and communities.
Prime Minister Andy Burnham has said that "the rise of vape shops, betting shops and rogue operators have replaced the shops, services, and community spaces that people are crying out for".
As part of the Government's plan to revamp local high streets, it intends to "revoke" the "outdated" permit rule that means local authorities must seek to permit all gambling licensing applications without good reason. It said the rule "currently restricts the ability of councils to refuse new betting shops and 24-hour slot machine shops even where there are strong local concerns".
The change would "give communities and councils a stronger say over whether new betting shops are right for their area, helping stop them spreading unchecked across struggling high streets".
Responding to Coun Stewart's comments on further taxation, a spokesman for the Treasury said: "As has always been the case, decisions on tax are a matter for the Chancellor to set out at fiscal events, rather than routinely commenting on rumour, speculation or proposals."