The intention by the Western Cape government in South Africa to move all of its casinos has met with condemnation.
The proposed legislation would enable the relocation of the casinos and in so doing would lead to a huge decline in gambling revenue, overall profits and job losses, said one leading operator.
The bill, in draft form at present, would amend the Western Cape Gambling and Racing Act to permit the moving of existing casinos to other areas. Casinos were established in five of the province’s district municipal regions (mainly greater Cape Town) with the operators holding a licence to operate a casino exclusively for a 10-year period in a designated area, but the exclusivity periods have now expired.
The plan now is to make casino licences available in Cape Town’s eastern suburbs and in Table Bay and Typerberg. Anthony Leeming, CEO at Sun International, said the arrival of competitors close to his GrandWest Casino would have a negative impact.
“Any of the four licensed outlying casinos would be allowed to apply to the Gambling and Racing Board for amendment to their licences and if granted would permit the operator relocate from the outlying areas to Table Bay and the eastern region.” His GrandWest would then see a decline of 24 per cent of GGR and footfall would reduce by 15 to 20 per cent.
