Strict limits on million pound slot machines

Ministers have decided to set strict limits on the number and location of the new £1million slot machines.

Culture Secretary Tessa Jowell was announcing today that the £1-a-go machines should be limited to a few, major casinos. A cross-party committee of MPs and peers recommended the Government should reconsider plans to limit such category A machines to casinos of 5,000 square feet or more.

It said the proposals were anti-competitive as they would benefit larger international operators at the expense of smaller British firms.

But in an official response to the committee's report today, Ms Jowell will argue the machines, which can offer £1million jackpots, should be limited to larger casinos so the department can monitor their impact.

The decision follows concerns that the Government's plans for a sweeping deregulation of the gambling industry could fuel addiction problems.

But Ms Jowell's ruling will anger British firms such as Rank and Gala who have called for a level playing field.

International companies such as MGM Mirage have announced plans to invest billions of pounds in British casinos. The projects far outstrip the size of existing operations run by British firms. There are more slot machines in MGM Mirage's MGM Grand casino in Las Vegas than in all UK casinos combined.