Existing casino operators have been granted a judicial review of the Government’s proposals for a new generation of casinos.

The British Casino Association applied successfully for the chance to challenge regulations that treat the 140 existing casinos “significantly less favourably” than the 17 proposed casinos to be licensed under the Gambling Act 2005.

If the wrecking bid is successful, all casinos would have to be treated equally, meaning that all or none would be allowed slot machines with million-pound jackpots and the chance to host bingo and betting.

The ruling will put the Government under further pressure to abandon its plans for 17 new casinos, including a supercasino in Manchester.

Last week the Government lost by three votes a House of Lords ballot that would have allowed the casinos to open. It is currently considering whether to reintroduce the legislation and force it through Parliament, defying the Lords.

Penny Cobham, the chair-woman of the body representing existing casinos, said: “We are extremely pleased that the judge has agreed with us that there is a case to answer, and it is interesting that the Government did not oppose our application.

“We have consistently argued that existing casinos would be unfairly treated under the terms of the Act through its inherent inequality and incoherence.

“The additional entitlements given to the 17 new casinos will seriously threaten many long-established businesses and jobs. All we are trying to do is ensure that our businesses and our customers are treated fairly.”

The Tories seized on the Administrative Court ruling, saying that the Government’s handling of the gambling legislation was “characterised by ineptitude and dogged by disasters at every turn”.

Hugo Swire, the Shadow Culture Secretary, said: “Today’s news of a judicial review shows that [the Culture Secretary] Tessa Jowell’s casino proposals are in further chaos.

“It is astonishing that less than a week ago the Secretary of State was attempting to push her legislation through Parliament in full knowledge that a judicial review was likely and that it could have a massive impact on her proposals. She now needs to clarify what the future is for her controversial casino legislation.”

After the Lords defeat Ms Jowell said that she would not announce a decision until after the local elections on May 5.

The Government has the choice of forcing through all 17 casinos again or ditching the supercasino in the hope that it will get permission for the 16 smaller ones.

Ministers would face an uphill battle for either option since it would have to be reintroduced into Parliament during the Labour leadership contest and Gordon Brown has made it clear that he does not want to introduce more casinos when he becomes leader.

Yesterday’s decision could be used as an excuse to abandon the plans. However, the Department for Culture, Media and Sport promised to fight the review. The High Court hearing will be held before May 25 to allow time for legislative changes before the introduction of the new Gambling Act on September 1.

£13,867 - average debt of gamblers who phoned the helpline GamCare last year

Source: GamCare

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