Legislation

Italy – Italian Prime Minster makes move to ban street slots

By Phil - 9 September 2016

In good news for both the casino and VLT sectors, Italy’s Prime Minister Matteo Renzi is planning to ban slot machines from Italian bars, shops and hotels.

The government is hoping to reduce Italy’s total slot quota by 30 per cent, driving gambling into places where it is better controlled. In 2015, street slots generated tax revenues of €8.7m.
A document by Italy’s Joint Conference of the state and regions said: “While on the one hand the machines provide important tax revenues, on the other hand they raise important social consequences which cannot be ignored as they have been in past years.”

The government also wants to limit the hours during which machines can be played.

Prime Minister Matteo Renzi said the aim was to ‘increase social capital in the country.’

Economic undersecretary Pier Paolo Baretta confirmed the government was planning ‘a reorganisation which would take into account social demand and therefore provide for a drastic reduction of machines in the territory, accounting for 30 per cent.’

“The aim is to find a solution that does not call into question the choices made so far by local authorities but make them compatible with a more comprehensive regulatory framework.”

The government is looking at banning slots close to ‘sensitive places,’ referring to the schools, churches and cash points.

A new draft of the Stability Law, recently enacted but still to be approved, is looking to launch a new tender for 10,000 land-based licences, and for 5,000 points of sale licences. New tenders are expected too for 120 new online licences and 210 bingo licences.

The Economic undersecretary added that the streets slots reduction wouldn’t simply see them relocated to VLT halls or casinos.

“The two measures are not necessarily linked especially since our intent is to reduce the overall supply of game. Our casino industry is very different to our slots. For casinos, slots are not as fundamental, although we must admit that in recent times have increased significantly their number.

Slots accounted for just over 60 per cent of the total €203m revenue at Italy’s four land-based casinos for the first eight months of 2016.

Casinos in Italy are enduring mixed times.

On the down side, the two venues in Venice saw a loss of €2.3m in 2015, down 2.7 per cent year-on-year. Casino de la Vallée in Saint-Vincent ended 2015 with a loss of €18.5m. It saw its revenue fall by another 22 per cent in August year-on-year with attendance down 17.3 per cent.

On the upswing though, Casino Campione ended 2015 with Gross Gaming Revenues of more than €95m, representing an increase of 4.9 per cent on the year before. Table gaming generated around €30m, representing an increase of 1.6 per cent, whilst the €65m generated by the slot machines, equalled growth of 6.6 per cent.

Having also enjoyed an improved 2015, the San Remo casino has got off to a flyer in 2016 with January’s revenues seeing a jump of 15 per cent compared to the opening month of last year.

The casino raked in revenue of €4.1m with table games up 57.6 per cent and French roulette up 240 per cent compared to January 2015.
The move to ban street slots was welcomed by other Italian politicians.

Giorgia Meloni, President of the right-wing party Fratelli d’Italia, said: “If the government brings a concrete proposal to parliament against pathological gambling, Fratelli d’Italia will give its support.”

The town of Anacapri on the Isle of Capri banned slot machines in May following a referendum of the 6,000 islanders. Similar appeals had previously failed in the northern cities Bologna and Bergamo.
Mayor Francesco Cerotta asked citizens if they would be okay with banning slots within 150 meters of ‘sensitive’ and ‘inappropriate’ areas, like cash machines, schools, churches, tourist beaches and so on.”

Nine out of ten residents voted in favour of the ban. As a result all slots were banned at the turn of the year.

An investigation by La Stampa revealed that around €87.8bn was spent on gambling in Italy last year with street slots accounting for €50bn of that.