Certain crane-type machines operated as skill games with prizes have been reclassified in the UK as games of chance.

UK Gambling Commission

The UK Gambling Commission in the UK has declared that the SWPs with a maximum £1 stake and £50 non-monetary prize, such as Key Master or Barber Cut, will be classed as Category D non-complex crane grab machines.

It means that in some cases operators will have to apply for special permits to run the machines and some operators who are not currently licensed by the Gambling Commission, will have to be licensed if they choose to run this type of game.

In conjunction with the UK trade association, BACTA, the Gambling Commission has spent some time evaluating the games and their locations, also working with Bandai Namco and Sega on the subject. “It was clear that most machines that operate a mechanical arm or device of some kind to select a prize and which employed a compensator unit to effectively determine the percentage payout of the machine were games of chance and skill combined.

“Given that the majority of these machines – other than cranes – were operated as games of skill with maximum £1 stake and £50 non-monetary prize, there was a clear need to determine how best to regularise the permitting arrangement for these machines in a way that would not adversely impact the market.”

The Commission noted that with Category D games of chance the stakes and prizes are only 30p and £8 (non-monetary), and to reclassify the games in this way would make them unviable.

The commission has now declared that these games would in future be regarded as a crane grab machine. Under the existing regulations this means that every prize must be an individual physical object and the outcome is determined by skill. The outcome of the deliberations is that despite the categorising of these machines as gaming machines, the maximum stake and prize can remain to be £1 and £50 (non-monetary).

Deadlines have been agreed to cover the reorganisation of the paperwork for the continued operation of the machines. While most of the machines are currently in family entertainment centres where the operation of Category D machines is permitted, there are some pubs now using the games alongside their Category C (AWP) machines.