Fixed odds gambling plans 'a missed opportunity', says Tom Watson

Ministers have announced plans to cut the maximum stake on the machines - known as the crack cocaine of gambling - from £100 to between £50 and £2.

Culture Minister Tracey Crouch said cutting the stake would 'reduce the potential for large session losses' and has launched a 12-week consultation on the issue.

But Labour deputy leader Mr Watson said the plans, which follow a gambling review, do not go far enough.

He said that gambling addiction cost the UK £1.2 billion a year, and added: "This response from the Government is deeply disappointing.

"Ministers have squandered a real opportunity to curb highly addictive fixed-odds betting terminals, which can cause real harm to individuals, their families and local communities.

"After months of delays they’ve simply decided to have another consultation.

"And instead of taking firm measures on the proliferation of gambling advertising, on TV and online, the government have again been found wanting."

Meanwhile the West Bromwich East MP, who is also Labour's shadow culture secretary, dismissed reports that drastically reducing stake levels would lead to the closure of 3,000 betting shops.

"I’m afraid that’s what the lobbyists and the spin people for the industry are saying," he said. "They’ve got a very highly funded campaign to defend the status quo."

Labour has vowed to reduce the maximum stake on the machines to £2 a spin and will ban gambling companies from advertising on football shirts.

Ms Crouch said current laws on gaming machines were 'inappropriate' for protecting people and communities.

"It is vital that we strike the right balance between socially responsible growth and protecting the most vulnerable, including children, from gambling-related harm," she said.

The UK's gambling laws were relaxed by Labour in 2005, when the party introduced a limit of four FOTBs in each betting shop.