Casino concession clears final hurdle

ST PIERRE PARK is to get its casino. The States yesterday dismissed concerns about gambling addiction and potential damage to the island's financial reputation and confirmed its decision to license a casino there. The Tourist Board said it was the culmination of seven years' work and an outlay of £400,000, which will be recovered from the initial licence fee. Board vice-president Brian Sheriff denied reports of only 2% visitor use of the casino - he said expert advice had suggested a 50/50 split and the hotel was budgeting for that. He said that the casino was just one piece in a major redevelopment, but without it the revamp would not happen. 'If we say no to this, we are sending out a message that this House has no confidence in the tourist industry at all, which would be an absolutely shocking thing.' He said that the industry was on a slight upturn, with investment in the sector and people interested in buying hotels. There was much support, though some of it was grudging, from members. Deputy John Gollop would have preferred a casino on the Town sea front rather than at an established hotel. But the St Pierre Park application enhanced a hotel and provided a facility for locals and visitors. 'This proposal gives more bed stock, and the opportunity to attract a new type of visitor, somebody who likes a bit of sophistication, maybe a bit of glamour, like James Bond,' he said. 'It creates a new opportunity for this island to move forward. It benefits tourism, it benefits the Income Tax exchequer and it benefits the leisure opportunities for people of all ages on the island.' He said that now was not the time to step back, but to conclude five years' work. Douzenier Mike O'Hara, another board member, said the island was lucky to have such private investment. He said that a balance had to be struck between the demands on the construction industry and the need to encourage this kind of commitment. 'We can't just carry on telling people to do things and then say forget it. That's just money down the drain,' he said. 'We should show some courage to let this casino go ahead. Tourism does need help, and this is seen as a major investment in the industry. 'Whether people come in to use it or not, we don't know. But at least it sends out the message to the industry that the States is going to back it.' Deputy B ill Bell said that the casino application fitted in with the proposal not to accelerate construction projects, but not to slam on the brakes. He said that the casino could have a knock-on effect for other sectors of the economy. Alderney representative Richard Cox, who worked as an adviser to the Tourist Board, said that the casino application fitted in with a good hotel in a good location and would attract well-off tourists. 'You have got the opportunity to be a bit more modern,' he said. Deputy Leon Gallienne said the board was always being criticised for not doing enough for tourism, but the casino would be a good move. 'I am sure we shall see more investment taking place as a result of this positive looking forward,' said Deputy Mike Burbridge. He said that the industry had last had a significant revamp when the Richmond Hotel was rebuilt as the Duke of Richmond, and other hotels upgraded to compete. 'Suddenly there was a new air of confidence in the industry, and that's what we have to do today.' Deputy Peter Bougourd was not satisfied with the tendering procedure. Companies had dropped out during the process, leaving St Pierre Park as the only choice, and he was unhappy that the hotel could not guarantee the completion of the final phase of its redevelopment. 'Had all the tenderers been so devious and said that after the process was finished, they could well still be in the race and we could have a choice.' He sought an assurance from the Tourist Board that the conditions of the licence would be honoured, or it would be forfeit. Deputy Tony Webber was a little disappointed with the four-star redevelopment of the hotel - he was seeking something of five-star plus, he said. Deputy Dave Jones was concerned about the implications of the extra 50 or so staff needed to man the casino. He said that from a housing viewpoint, the States needed to be careful about its approach. He added that the hotel redevelopment would have a knock-on impact on the economy and the building industry. Deputy John Langlois claimed that the hotel had built up huge tax losses over the last 25 years and he could not expect it to pay any tax for the next 35, though Deputy Bill Bell disputed this. He asked what the Tourist Board would do if the cost of regulation for the casino was only offset by an annual licence fee. Deputy Graham Guille feared that the main customers of a casino would be local, and wondered where the profits would come from. He was concerned that the operation would damage the island's reputation as a finance centre.