Scottish betting shops face threat of lockdown closure over furlough row

First minister Nicola Sturgeon has warned her government could be forced to put the whole of Scotland into level four of the country's new Covid-19 alert system and close betting shops if the Treasury refuses to show flexibility in applying 80 per cent furlough payments beyond December 2.

Under level three of the new grading system, which came into force on Monday, retail outlets, including betting shops, remain open across Scotland. Nineteen of the 32 local authority areas have been placed in level three, which requires hospitality venues to close at 6pm and prevents the serving of alcohol.

Sturgeon said she received no reassurance from Cabinet Office minister Michael Gove on the timing of furlough payments during a COBRA meeting with heads of the devolved governments, while in the House of Commons prime minister Boris Johnson appeared evasive on the subject when questioned by the SNP's leader in Westminster Ian Blackford.

During her daily Covid briefing Sturgeon said: "At this stage the indication is that the more generous furlough scheme is only going to be available for the next month, during the period of England's lockdown. We continue to press the case that this should be available to devolved administrations whenever it is needed."

Betting shops remain open across Scotland but that would change if the country moves to level 4 Covid alertCredit: Edward Whitaker

Sturgeon said that she had to balance promising signs that Scotland's Covid strategy is beginning to work with the financial realities that would face people if furlough payments were not available for any subsequent lockdown.

Sturgeon summarised the Scottish government's dilemma, saying: "The situation is we think we're seeing progress but we can't be sure it is going to be sustained and whether it is going to go far and fast enough.

"If there is a doubt in our minds and we have the certainty of financial support right now, but don't have that certainty later on, would that tip the balance towards acting sooner rather than later?"

Betting shops also remain open in Northern Ireland, where finance minister Conor Murphy also pressed for the Treasury to extend the furlough scheme beyond November.

GVC Holdings, the parent company of Ladbrokes and Coral, issued a statement to investors on Monday warning a full month lockdown would cost its businesses across Europe £43 million, even taking into account government subsidies including furlough payments.

Michael Dugher described some of the decisions surrounding betting closures in Tier 3 areas prior to the England-wide lockdown as 'arbitrary and unnecessary'

The Betting and Gaming Council has pressed the government to return to a science-led approach when determining which businesses can reopen following the end of lockdown on December 2.

The council's chief executive Michael Dugher said: "Nothing matters more to our industry than the safety of our staff and customers, which is why we want to contribute to the national effort to defeat this virus. We also welcome the support for businesses forced to close under the second lockdown.

"But when we exit this, the government must have a science-led approach and avoid the arbitrary and unnecessary decisions that led to random closures of casinos and betting shops, which damage employment and revenues to the Exchequer.

"It's also important that when the latest lockdown is over, betting shops are allowed to open safely along with other non-essential retail, as they were in June. Casinos, which have the best anti-Covid measures operating anywhere in hospitality and entertainment, should also reopen at the same time.

"At a time when there is widespread despair among sporting bodies, the government also needs to recognise that a healthy betting industry is vital to the funding of sport, and that betting shops in particular are critical to the financing of horseracing."

Read more on the latest Covid-19 announcements:

£12.5 million: betting shop closures to blow major hole in racing's finances (£)

Owners may be barred from courses as BHA seeks clarity on new lockdown rules

Betting shops in England to close from Thursday but racing to continue

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