Scottish Bingo down 62%

[Harvey]

Full story:
http://www.daretogamble.com/2007/05/...ropoff-in.html

Looks like Scottish Bingo players like their cigarettes. Seems like they're leaving the bingo clubs in droves.

[Harvey]

As reported by the UK Business Times: "Gaming company Rank has put almost 10% of its Mecca bingo clubs estate up for sale as part of its efforts to prepare for the impending smoking ban in England.

"Bingo halls earmarked for sale are spread across England, from South Shields in the north to Andover in the south. They are the clubs that Rank considers would be the most adversely affected when the smoking ban comes into force in England in July.

"In Scotland, where a ban was introduced in March last year, revenues at Rank's bingo halls have dropped 17%.

"The company is preparing to sell about 10 of its 103 units. Its planned disposals follow Rank's announcement in February that it would close nine sites before the ban took effect.

"…The smoking ban is a problem for bingo operators because they make most of their profits from people playing machines during breaks in the main bingo game. When smoking is outlawed, punters will go outside for a cigarette during the break rather than staying indoors and playing machines…"

[Harvey]

Scotland's largest bingo site has laughed off claims that the imminent smoking ban in England will see a surge of bingo players taking their business online.

A spokesperson for the site said: ‘We saw a small burst in March 2006 when the Scottish ban came in but you have to remember, many of the bingo hall smokers are older and will not make an easy transition to online. With the English ban mid summer and the many more bingo sites available today, any operator excepting to see a noticeable lift will be disappointed.’

[Harvey]

As reported by the UK Guardian: "The gambling group Gala Coral, Britain's biggest private equity-owned company, has admitted it expects to close 12 or 13 of its bingo clubs - with the loss of hundreds of jobs - if the impact of the smoking ban, coming into force in England next month, is as dramatic as it has been in Scotland.

"It is the first time Gala's chief executive, Neil Goulden, has put a figure on the number of likely closures within the group, which operates 171 bingo halls. However, he insisted no decision on closures would be made until the end of the year, when he believes the competitive landscape will look very different.

"The plan to delay closures is in marked contrast to the strategy being pursued by Gala's closest rival, Rank Group. Rank has already shut 15 of the 118 clubs it operated when the smoking ban was introduced in Scotland in March last year and it has a further 10 sites up for sale.

"...The bingo industry emerged last year as the biggest casualty of the smoking ban in Scotland..."