London Clubs ‘disappointed’ in gambling bill

Thursday, Dec. 16, 2004 | 11:03 a.m.

London Clubs International Plc, the British owner of 11 casinos, said it's "extremely disappointed" the U.K. has amended its Gambling Bill to restrict the total number of casinos operators can build in the country to 24. The company's stock dropped 21 percent.

The Department for Culture, Media and Sport limited the number of small and large casinos to eight each, after last month saying it would only allow eight so-called super casinos, amid concern further relaxation of the country's 36-year-old laws on gaming would lead to an increase in problem gambling.

London Clubs has been overhauling and extending the size of its British casinos to tap greater demand for gambling amid plans for further deregulation of the industry. Last month it said first-half profit almost tripled, and that it may form a joint venture with a foreign counterpart to open a Las Vegas-style super casino in the U.K.

"Locations have been secured, which will be suitable for the establishment of regional, large and small casinos," the company said. "London Clubs is confident that it will be successful in obtaining licenses in these new categories."