The Gambling Act 2005 (Transitional Provisions) (No.2) Order 2006

Explanatory Note

(This note is not part of the Order)

This Order makes transitional provision in connection with the commencement of the Gambling Act 2005, and in particular makes provision about the grant or renewal of certain licences and permits issued under enactments to be repealed by that Act during the period before the repeal of those enactments.

Schedule 3 to the Betting, Gaming and Lotteries Act 1963 (“the 1963 Act”) makes provision for the grant of track betting licences. A track betting licence is required under that Act where facilities for betting are provided on a track other than a horse racecourse. Under paragraph 8 of Schedule 3 to the 1963 Act a track betting licence lasts for 7 years. Article 2 of this Order provides for a new track betting licence to be treated as having been granted where a track betting licence is due to expire in the period between 31 August 2006 and 30 August 2007 (referred to in this Explanatory Note as “the transition period”). The licence is granted when the previous track betting licence expires to the person who held that licence immediately before it expired. The licensing authority must provide the holder with a copy of the new track betting licence if so requested in writing. The new licence is to have effect until 31st August 2007 when it is intended that the 1963 Act will be repealed for all material purposes.

Schedule 2 to the Gaming Act 1968 (“the 1968 Act”) makes provision for the grant and renewal of licences under that Act. Licences under the 1968 Act are required under that Act to authorise the provision of gaming in casinos and bingo clubs. Under paragraph 52 of Schedule 2 a licence, unless renewed, expires at the end of the period of one year from the date of grant or renewal. Article 3 of this Order provides for the deemed renewal of licences under the 1968 Act which are due to expire in the transition period. In such a case the licensing authority must provide the holder with a copy of the licence as renewed if so requested by the holder. Article 4 enables applications to be made under Schedule 2 to the 1968 Act for the renewal of a licence which expires in the transition period (so as to enable conditions attached to the licence to be varied). However, in those circumstances the provisions in article 3 for licences to be treated as having been renewed automatically do not apply. Irrespective of whether a licence is renewed under article 3 or on an application under Schedule 2 to the 1968 Act, the licence as renewed is to have effect until 31st August 2007 when it is intended that the relevant provisions of the 1968 Act will be repealed for all material purposes.

Schedule 9 to the 1968 Act makes provision for the grant and renewal of permits under section 34 of that Act. Section 34 provides for the making available of gaming machines in amusement machine premises (within the meaning of section 34(7A)), premises licensed to supply alcohol and other non-gambling premises. Article 5 of this Order provides for the deemed renewal of a section 34 permit granted in respect of amusement machine premises where the permit is due to expire in the transition period. In such a case the appropriate authority must provide the holder with a copy of the permit as renewed if so requested by the holder. The permit as renewed is to have effect until 31st August 2007.

Article 6 of this Order makes provision about the grant or renewal of section 34 permits, during the period between 1 August 2006 and the date on which the provisions of the 1968 Act relating to the grant or renewal of such permits are repealed for all purposes. Article 6 only applies to permits granted or renewed by the appropriate authority mentioned in paragraph 1(b) or (d) of Schedule 9 to the 1968 Act, and therefore does not apply to permits in respect of premises licensed to supply alcohol. Under article 6, where the application is made on or after 1 August 2006 the appropriate authority may only grant or renew the permit if it relates to amusement machine premises. Article 6 also makes provision about the period of any permit granted or renewed in respect of premises other than amusement machine premises. Any such permit, where granted or renewed in the period between 1 August 2006 and the date on which the provisions of the 1968 Act relating to the grant or renewal of section 34 permits are repealed for all purposes, is to cease to have effect on 31st July 2009.

Schedule 3 to the Lotteries and Amusements Act 1976 (“the 1976 Act”) makes provision for the grant and renewal of permits under section 16 of that Act. Section 16 is concerned with permitting amusements with prizes where those amusements constitute a lottery or gaming. Article 7 of this Order provides for the deemed renewal of permits granted under section 16 where the permit is due to expire in the transition period. In such a case the appropriate authority must provide the holder with a copy of the permit as renewed if so requested by the holder. The permit as renewed is to have effect until 31st August 2007 when it is intended that the relevant provisions of the 1976 Act will be repealed for all material purposes. The provisions of article 7 do not apply however where a resolution has been passed by the appropriate authority that it will not renew permits granted in respect of the relevant class of premises.

A Regulatory Impact Assessment of the costs and benefits of this Order is available from the DCMS website (www.culture.gov.uk) and from the Gambling and National Lottery Licensing Division, Department for Culture, Media and Sport, 2-4 Cockspur Street, London SW1Y 5DH, telephone [phone]