British appellate court upholds UKGC decision to withhold licensing

News on 29 May 2017

Considered a key judgment, the British Court of Appeal has upheld a lower court’s ruling that the UK Gambling Commission is entitled to refuse operating licenses to applicants, regardless of their suitability, if it deemed the operation would be inconsistent with the licensing objectives.

The ruling refers to retailer and brewer Greene King who applied for an operating license to offer bingo in its 3,000 odd pubs.

The application was rejected by the UK Gambling Commission as it considered Greene King’s business model was liable to undermine the licensing objectives, despite the company being considered a suitable operator.

Greene King’s subsequent legal challenge proved successful in the First Tier Tribunal but a further legal appeal saw the Upper Tribunal uphold the UK Gambling Commissions position.

The Court of Appeal supported the Gambling Commission’s arguments, described as overwhelming, ruling that the Commission was indeed entitled to consider and find the operation to be inconsistent with the licensing objectives and refuse the licence accordingly.

“The Court also dealt with an argument that it was not open to the Commission to rely on the experience of its officials as to the risks to the licensing objectives: some more evidence was required. The Court held that the Panel was entitled to draw on its own expertise and experience of the relationship between gambling and alcohol, and that of its officers, in reaching its conclusions,” Philip Kolvin QC of Cornerstone Barristers, acting on behalf of the Gambling Commission, said in a statement.

The appeal was dismissed with costs and the case will not be remitted to the First Tier Tribunal to determine the appeal on its merits.

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