A high street slot machine operator has been fined almost £100,000 by the gambling regulator after the Guardian revealed how staff allegedly exploited a vulnerable cancer patient.
Wendy Hughes, then 64, lost nearly £2,000 in the Stockport branch of Merkur Slots UK over the course of two spells lasting 16 hours in November 2023, months after she was diagnosed with lung cancer.
Staff at the branch, which has a 24-hour licence, knew she was going out to fetch more money from the cash machine as her losses piled up.
Hughes, who became addicted to betting while working in a bookmaker, died before the Gambling Commission issued its verdict, her daughter, Jackie Olden, said.
Olden has since begun campaigning for tougher restrictions on “adult gaming centres” (AGCs), high street shops that offer slot machines at up to £5 a spin.
On Thursday, she said: “I’m happy they investigated Merkur but after the devastation caused to our family, the size of this fine doesn’t go far enough. This case emphasises the urgent need for an independent gambling ombudsman so that customers have access to recourse when things go wrong.”
In a regulatory announcement, the Gambling Commission said it had fined Merkur, which is owned by a German parent company, £95,450 for social responsibility failings.
Andrew Rhodes, the regulator’s chief executive, said: “This was a clearcut case of an operator failing to follow rules aimed at keeping consumers safe from harm.
“In recent years there have been a number of cases of online gambling businesses failing to meet their social responsibility obligations – but this investigation shows that land-based operators also need to make sure they are minimising the risk to customers experiencing harms associated with gambling.
“All operators should make sure that not only do they have policies and procedures aimed at preventing harm in place, but also that staff are effectively trained to follow and implement them.”
Internal records show that staff knew Hughes was going out to the cash machine to get more money to feed into the shop’s machines.
They even reserved her favourite machine with a “hold card”, a practice that exploits customers’ irrational belief that a long losing streak on one terminal must surely end in a jackpot soon.
Despite the warning signs, staff did not, at any point, check that Hughes was in control of her gambling.
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The Gambling Commission said Merkur had social responsibility measures in place but that staff had failed to follow them.
The regulator said Merkur has cooperated with its investigation and had taken remedial action to improve its customer safety procedures.
Merkur has more than 230 AGCs in the UK, making it one of the largest players in a sector that is among the fastest-growing in the £11bn-a-year gambling industry.
The Guardian has approached Merkur for comment.