3 - Poker as exempt gaming in clubs and alcohol licensed premises
29.10. Exempt gaming
is equal chance gaming generally permissible 💶 in any club or alcohol licensed premises.
Such gaming should be ancillary to the purposes of the premises. This provision 💶 is
automatically available to all such premises but is subject to statutory stakes and
prize limits determined by the Secretary 💶 of State.
29.11. A fee may not be levied for
participation in poker offered by alcohol-licensed premises under the exempt gaming
💶 rules. A compulsory charge, such as charging for a meal, may constitute a participation
fee, depending on the particular circumstances. 💶 However, clubs may charge a
participation fee. The amount they may charge is as prescribed in regulations (SI No
1944/2007: 💶 The Gambling Act 2005 (Exempt Gaming in Clubs) Regulations 2007) (opens in
new tab). See Appendix C for further details.
29.12. 💶 In order for the poker to qualify
as exempt gaming, clubs and alcohol licensed premises may not charge a fee 💶 on games or
levy or deduct an amount from stakes or winnings. The gaming should also be supervised
by a 💶 nominated gaming supervisor and comply with any code of practice issued by the
Commission under s.24 of the Act.
29.13. Poker 💶 clubs established primarily for the
purpose of providing poker or other gaming require Commission operating licences and
premises licences. Further 💶 information is available in the Commission’s quick guides
Poker in pubs (opens in new tab) (PDF) and Poker in clubs 💶 (opens in new tab)
(PDF).
Removal of exemption for alcohol licensed premises
29.14. Licensing authorities
can remove the automatic authorisation for exempt 💶 gaming in respect of any particular
alcohol licensed premises by making an order under s.284 of the Act (see also 💶 Part 26).
That section provides for the licensing authority to make such an order if:
provision
of the gaming is not 💶 reasonably consistent with the pursuit of the licensing
objectives
gaming has taken place on the premises that breaches a condition of 💶 s.279 –
for example, the gaming does not abide by the prescribed limits for stakes and prizes,
a participation fee 💶 is charged for the gaming, or an amount is deducted or levied from
sums staked or won
the premises are mainly 💶 used for gaming
an offence under the Act has
been committed on the premises.
29.15. Such an order could be used by 💶 a licensing
authorities where, for example, they discover that poker is being offered in alcohol
licensed premises that consistently breaches 💶 the prescribed limits on stakes and
prizes, participation fees are being charged for the poker, amounts are deducted from
stakes 💶 or winnings, or poker (and other gaming) is the main activity offered on the
premises.
Code of practice for exempt equal 💶 chance gaming
29.16. The Commission has
issued a code of practice under s.24 of the Act in respect of exempt equal 💶 chance
gaming.
29.17. The code of practice requires owners, licensees, clubs and welfare
institutes to adopt good practice measures for the 💶 provision of gaming in general, and
poker in particular. The code also sets out the stakes and prizes limits and 💶 the limits
on participation fees (for clubs) laid out in regulations.
Poker in alcohol licensed
premises
29.18. The Commission actively engages with 💶 the larger national and regional
organisers of poker leagues to remind them of the limited exemptions that apply to
poker 💶 being offered in pubs. Infringements of such requirements as stake and prize
limits which are localised are normally best managed 💶 by the local authority responsible
for issuing the alcohol premises licence. Template letters published on the
Commission’s website have proved 💶 effective in assisting management of such
cases.
29.19. Gaming is only covered by the Act if it is played for prizes 💶 of money or
money’s worth. A number of poker tournaments and leagues have been established in
alcohol licensed premises based 💶 on playing for points. In some leagues the organisers
offer ‘prizes’ at the end of a series of weekly games 💶 for the players with the most
points.
29.20. It is likely that the association of a prize with a monetary value 💶 with
a game or series of games constitutes gaming, certainly by the latter stages of the
competition. If the eventual 💶 prize is worth more than the maximum prize set out in
regulations, then it could be unlawful gaming. For example, 💶 if a tournament simply
involves a series of straightforward ‘knockout’ qualifying rounds, culminating in a
'final’ game, then the winner’s 💶 prize in the final – whether it comprises the stakes
laid in that game, a separate prize provided by the 💶 organiser, or a combination of the
two – must not exceed £100. The regulations set a limit of £100 on 💶 a prize that may be
won in any game of poker (in a pub). In a knockout tournament, the overall 💶 prize is
clearly winnable in a single game (the ‘final’) and is therefore won in a game of poker
and 💶 subject to the prize limit. The stake and prize limits must also, of course, be
applied to each game in 💶 the tournament.
29.21. Alternatively, the prize competed for
may be the opportunity to play in ‘invitational cash tournaments’. Notwithstanding that
these 💶 ‘prizes’ may be of an uncertain value, and are likely to be held in mainstream
gaming venues under regulated conditions, 💶 usually a casino, the Act prohibits gaming in
alcohol licensed premises being linked to gaming in any other premises. Players
💶 competing across premises for a ‘prize’ are likely to be engaged in linked gaming,
which is unlawful (s.269(5) of the 💶 Act). Consequently, organisers should not host
events where players are competing against players in other premises for a
prize.
29.22. In 💶 some types of tournaments there will be no single ‘final’ game in
which it can be said with certainty that 💶 the player won the overall prize. In such
circumstances, one should look to the individual games played by the overall 💶 winner and
ensure that the overall prize does not cause any of those individual games to exceed
the maximum £100 💶 prize limit per game and the maximum stake of £100 per day.
29.23. For
examples of poker tournament, league and competitions 💶 games and prize and stake
examples see Appendix H.
Poker under a club gaming permit
29.24. A club gaming permit
can only 💶 be granted to a members’ club (including a miners’ welfare institute), but
cannot be granted to a commercial club or 💶 other alcohol licensed premises.
29.25. Other
than in the case of clubs established to provide facilities for gaming of a prescribed
💶 kind (currently bridge and whist), clubs seeking club gaming permits must be
established ‘wholly or mainly’ for purposes other than 💶 gaming. When a club gaming
permit is granted, there are no limits on the stakes and prizes associated with
poker.
29.26. 💶 If a club established to provide facilities for gaming of a prescribed
kind (currently bridge and whist) has a club 💶 gaming permit, it may not offer any other
gaming besides bridge and whist. If such a club does not have 💶 a permit, it may provide
exempt gaming provided it is not established to function for a limited period of time
💶 and it has at least 25 members. If it wishes to offer other non-exempt gaming, it will
require a Commission 💶 casino operating licence and any relevant personal
licences.
29.27. The poker which a club gaming permit allows is subject to
conditions:
(a) 💶 in respect of equal chance gaming:
the club must not deduct money from
sums staked or won
the participation fee must not 💶 exceed the amount prescribed in
regulations
the game takes place on the premises and must not be linked with a game 💶 on
another set of premises.
Two games are linked if:
the result of one game is, or may be,
wholly or partly 💶 determined by reference to the result of the other game or
the amount
of winnings available in one game is wholly 💶 or partly determined by reference to the
amount of participation in the other game, and a game which is split 💶 so that part is
played on one site and another part is played elsewhere is treated as two linked
games
only 💶 club members and their genuine guests participate.
(b) in respect of other
games of chance:
the games must be pontoon and chemin 💶 de fer only
no participation fee
may be charged otherwise than in accordance with the regulations
no amount may be
deducted from 💶 sums staked or won otherwise than in accordance with the
regulations.
29.28. A 48-hour rule applies in respect of all three 💶 types of gaming, so
that the games may only be played by people who have been members of the club 💶 for at
least 48-hours or have applied or been nominated for membership or are genuine guests
of a member.
29.29. More 💶 information about club gaming permits can be found in Part 25
of this guidance.
29.30. Private clubs with a club gaming 💶 permit cannot run the
premises wholly or mainly for the purposes of gaming, nor can the club make a profit 💶 as
all funds must be applied for the benefit of members. Experience indicates that illegal
clubs will go to considerable 💶 lengths to disguise the true nature of their activities.
Consequently, building the evidence required to review and rescind the permit 💶 can be
time consuming and resource intensive. It is therefore essential that licensing
authorities scrutinise applications for club gaming permits 💶 carefully. The applicant
should be asked for as much information as required (such as a business plan) in order
to 💶 satisfy the licensing authority that it is a bone fide club whose main activity will
not be gambling. The Commission 💶 are in a position to assist in sharing intelligence on
individuals or organisations in circumstances where a licensing authority has 💶 doubts as
to the credentials of an applicant.
29.31. There is now a considerable body of
knowledge and experience as to 💶 how a gaming permit can be withdrawn. This may include
using other legislation such as the Proceeds of Crime Act 💶 (opens in new tab) which was
used by a licensing authority to prosecute and imprison one club owner.
29.32. On
occasion 💶 licensing authorities may consider that, as they have not received complaints
about a club, there is no requirement for them 💶 to act. In these circumstances it is
worth bearing in mind that they are very unlikely to receive complaints about 💶 such
clubs, unless it is issues such as local noise and nuisance. The people attending the
club do so from 💶 choice. Secondly, the club is effectively operating as an illegal
casino and none of the protections afforded in a casino 💶 are in place, such as personal
licence holders and anti-money laundering safeguards.
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Poker in
casinos
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Poker as non-commercial gaming
