Ahern against proposed betting terminals

Taoiseach Bertie Ahern has joined forces with Government Ministers to oppose a campaign by bookmakers to introduce casino-type gaming machines to their shops.

Bookmakers are planning to introduce the machines, known as fixed-odds betting terminals (FOBTs), on a trial basis in the new year.

Their representative body, the Irish Bookmakers Association (IBA), said its lawyers had advised it that FOBTs were not illegal as they did not qualify as slot machines.

However Minister for Justice Michael McDowell said he, Mr Ahern and the Ministers for Finance and Sport, had consulted on the issue and agreed they would take steps to oppose the introduction of the machines.

In a statement issued last night, Mr McDowell said he had been informed that bookies were planning to introduce the machines next month.

He "wished to warn those in the industry, in the strongest possible terms, that the Government is opposed to the introduction of any such machines into a betting office environment".

Mr McDowell went on to reiterate his warning of last week that fixed-odds betting terminals were illegal and that if bookies did install the machines, they would be seized.

Fixed-odds betting terminals are slot-machine-style devices that allow punters to bet on roulette and other numbers-based games for small stakes. They pay out at predetermined or "fixed" odds.

The games are played on a central computer and broadcast to the individual terminals. Because the odds are fixed, the amount of money bet on any given result does not alter them.

Thus, for example, if a large amount of cash is bet on red in roulette, it will still pay out at even money, irrespective of the amount wagered.

Generally in betting, if a large amount of money is placed on a particular result, this reduces the odds and the potential pay-out on winning bets.

These fixed-odds betting terminals are common in British bookmakers. Ladbrokes' annual report estimates that, in 2005, each of the company's fixed-odds terminals won an average of £545 (€813) a week.

Ladbrokes is one of the companies hoping to introduce the machines to the Republic on a trial basis early in the new year.

Most IBA members, barring the country's biggest operator, Paddy Power plc, are backing the plan. Celtic Bookmakers boss and former Government minister Ivan Yates is one of those who supports the move.

He told The Irish Times recently that bookies planned to wait until a report on the legalisation and regulation of casinos was presented to Government and published before putting the machines on trial.

Mr Yates could not be contacted yesterday, but he has said that the casino report was likely to recommend legalising roulette, a move he argued would have "profound implications" for the betting industry as a whole.

He also advocated that the charge of 1 per cent levied on bookmakers' turnover and used to fund horse and dog racing, should be extended to the terminals and all forms of gambling.