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Smoking ban hurts Rank

The smoking ban has hit business at bingo halls

The smoking ban has hit business at bingo halls

8th May 2008

The UK-wide smoking ban is affecting the profitability of a leading British gaming company.

Maidenhead-based Rank Group says the ban, which came into effect in July 2007, has deterred some former customers from going into its Mecca bingo halls.

According to the firm, attendance in England and Wales fell by a whopping 13 per cent during the 17 weeks to April 27, compared with the same period in 2007.

Spending per customer was also down by around 1 per cent, the company added.

Like-for-like revenue at Mecca Bingo fell by 14 per cent over the 17-week period year-on-year.

But Rank, which also owns Grosvenor Casinos and the Blue Square internet betting business, said it had been "encouraged" by its performance.

"We have achieved a degree of success in adjusting to the smoking ban and the new gaming regulations and have taken timely action to protect profits," the firm said in a statement.

"Nevertheless, we are conscious that the difficult consumer climate is likely to make 2008 a challenging year for the gaming sector."

Turnover at the group overall dropped by nearly 8 per cent.



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