Gaming Machines in Alcohol Licensed Premises

The new requirements for gaming machines came into force on 1 September 2007. In order to qualify for gaming machines the premise must be licensed to sell alcohol for consumption on the premises, without the requirement that alcohol is served only with food. Furthermore there must be a bar for serving alcohol to customers on the premises.

A gaming machine is any machine in which the winning of a prize is dependent on chance – a machine of this type is commonly known as a fruit machine or one-armed bandit. Skill with prizes machines are not gaming machines because winning is dependent on the player’s individual skill and not chance – skill with prizes machines do not require authorisation from the Council. An example of a skill with prizes machine is a quiz machine where winning is dependent on the player’s general knowledge skills.

There are now two types of gaming machine authorisation:

Notification of Two or Less Gaming Machines - If you wish to install two or less gaming machines then you notify the Council's Licensing Team and pay the relevant fee of £50.00.

Gaming Machine Permit Application - If you wish to install three or more machines then you must submit a gaming machine permit application together with the fee of £150.00. The permit will also be subject to an annual fee of £50.00. There is no statutory limit on the number of machines, which may be applied for. However it is important to note that the Licensing Authority is unlikely to grant a permit for more than six machines and even then six machines will normally only be granted to exceptionally large premises.

All alcohol licensed premises, which provide gaming machines must comply with the Code of Practice issued by the Gambling Commission. The Gaming Machine Code of Practice for Alcohol licensed premises is available via the Gambling Commission’s website at: www.gamblingcommission.gov.uk. The principle provisions within the code of conduct are:

• All gaming machines must be located so that their use can be supervised and observed.
• Permit holders must have in place arrangements for such supervision.
• All gaming machines must be located in a place that requires a customer who wishes to use any ATM to cease gambling at the gaming machine in order to do so.

Compliance with the above provisions will be a condition of any authorisation. The code of conduct also contains best practice on preventing underage gambling.

The 2005 Act allows two types of gaming machines to be provided in alcohol-licensed premises. These are:

Only the categories indicated above can be offered in alcohol-licensed premises. It will be an offence for a premise to provide a class of machine to which it is not legally entitled. Furthermore children are not permitted to play on Category C machines.

There are different gaming machine provisions (and categories of machines), which relate to club premises. Information on gaming machines in club premises is available from the Licensing Team.

If you require any further advice or information then please contact Customer Services on 01507 601111 or Email customer.services@e-lindsey.gov.uk