The provincial government in Ontario, Canada, last week called a halt to authorising new casinos and slot machine operations at racetracks. This decision was taken after a consultative document reported that the gambling market in the State was approaching saturation and that the province should concentrate on managing and upgrading existing sites, rather than be building new ones. Two projects in the pipeline, in Ajax and Belleville, for racetrack slot machines will be given the green light, a prospect displeasing the watchdog group, Gambling Watch Network, which had been demanding a moratorium and declared the decision to be irresponsible. However, there will be no video lottery terminals in bars or restaurants, and no slot machines in bingo halls. The Ontario Lottery and Gaming Corporation is a government agency and they commissioned the report on the gambling market in the province. The agency runs four commercial casinos, six charity casinos and slots operations at sixteen racetracks. The Economic Development Minister for Ontario, Joe Cordiano, has said that current gaming facilities in border areas should be made more competitive by upgrading. These venues may also be permitted increased slot machine numbers and more gaming tables.

Over 20,000 people are employed in Ontario’s gaming industry and the provincial government receives around US$1.71 billion in yearly revenues. In the spring the results of a report on problem gambling should be known, and the government is expected to decide on measures for tackling the problem. Last year a study found that 35% of the industry’s gross revenues came from just 5% of gamblers with moderate or severe gambling addiction.

About US29 million (2%) of the slot machine gross revenues that the government receives from racetracks and charity casinos is at present spent on dealing with problem gambling. The Ontario Lottery and Gaming Corporation has agreed with the government’s stand on no further gaming sites in the province, and will work towards implementing the recommendations. (E-01.24.05)

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