Alderney must watch the Government's hand

ALDERNEY will have to keep an eye on the UK Government's plans to attract e-gambling companies. Andre Wilsenach, chief executive officer of the island's gambling regulator, believes the UK might consider introducing measures to entice operators back there.

The sector is worth more than '1m. a year to the island, with little drain on vital resources.

Fifteen companies operate e-casinos and e-betting sites from the island, but it is feared that attempts could be made to make it less attractive.

Two sports betting companies which moved their head offices there over the last few years went back to the UK as they were faced with advertising restrictions for being based in Alderney.

'It is an avenue that the UK Government would like to explore,' said Mr Wilsenach.

'It is going to be very important for the Bailiwick to look very carefully at whether we understand where the UK is going and that it is comfortable that we compete fully with them and that it is a level playing field.'

The Times reported yesterday that a review of the gambling laws could be put on hold until after voters go to the polls if British casino owners try to use it to force concessions from the Government.

The Gambling Bill is due to reach the House of Lords this week but it already faces substantial amendments that could wreck its principles.

British casinos want the bill changed to stop large US companies entering the market on what they say are unfair terms.

In addition, they oppose some of the new restrictions on arcade gambling.

The Times added that overseas operators had already suggested a reluctance to become involved in the shake-up until they know details of the tax regime ' something that

the Treasury is in no hurry to reveal.

Alderney generates '1.12m. annually through licence fees and with the only restriction being that companies must employ one person in the island, they do not need large premises or vital labour.

They do have to have their sites hosted by Cable & Wireless at its offices in the island, but, as Mr Wilsenach pointed out, this was another revenue earner for the island.

Several big names have been attracted to Alderney by its approach to e-gambling.

The Ritz, Paddy Power, American company Harrah's Online and Rank all have interactive gaming licences there.

Mr Wilsenach said that the island has positioned itself to offer a regulatory environment that was likely to attract operators who wanted a comprehensive and tightly-controlled regime.