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No casino jackpot for tourism, says expert

Casinos would make Bermuda a more attractive proposition to one in four vacationers — but experts warn that doesn't make them a silver bullet to save the ailing tourism industry.

About 27 percent of the travelling public say gaming is part of their decision when planning a vacation, according to the latest research in the United States.

New Orleans-based The Innovation Group, which has nearly finished its feasibility study into the potential impact of relaxing Bermuda's anti-gaming laws, says casinos would therefore make more people likely to visit the Island, particularly in the quiet winter months.

However, the consultants stress allowing gaming would not be enough to save tourism on its own.

Innovation Group vice president Matthew Landry told The Royal Gazette yesterday: "Twenty-seven percent of people in the US say gaming is one of the amenities they look for. Beaches are extremely popular as well, but if you have both you are doing even better.

"You have to look at what Bermuda is competing against in the Caribbean. The weather patterns in Bermuda are more consistent with the north east of America. Given its location, it's a very convenient place to come.

"It's pretty mild in the winter. People may think they could go to Bermuda to go boating, enjoy the spa and to gamble. It's just another amenity. It could enhance people's experience. It's an activity that could be undertaken.

"There's the ability to induce tourism with the right tax system. But it is not this panacea that's going to save us. It's not like tourism is going to double. We don't see anything along those lines or anything close to that."

Mr. Landry said his team had not yet made an estimation on exactly how much casinos would influence arrivals figures.

He is on the Island for three public forums — the final one of which is tonight at Penno's Wharf — to assess opinion on allowing gaming, an idea opposed by churches but supported by hoteliers.

The Innovation Group's brief is to assess the likely impact on tourism, not the moral issue, but it will include feedback from the public in its report, which will be presented to a locally-based task force appointed by Premier and Tourism Minister Ewart Brown.

Meanwhile, Fairmont Hotels regional director of sales and marketing Shelley Meszoly outlined how she believes casinos could help Bermuda.

She told this newspaper: "The lack of gaming in Bermuda puts us at a disadvantage to our competitors for those markets that look for gaming when making a destination decision for vacations or group travel.

"There are many markets where this is not a factor, however, there are many markets where gaming is a definite prerequisite to being considered.

"Casinos in hotels would allow us to attract markets that currently do not consider us, such as certain associations, trade shows and incentive programmes. On the leisure side, approximately 27 percent of the travelling public say that gaming is part of their decision when planning a vacation.

"The biggest opportunity for Bermuda with gaming is in the winter months.

"Currently our winter volumes don't sustain a viable business model.

"Because gaming is not weather dependent, it would make the winter months in Bermuda more attractive to many new customers, significantly increase our winter arrivals and provide another form of entertainment during this very slow time."

Casinos are not the only possibility The Innovation Group has been exploring, and the task force insists gaming clubs, like those forced out of business five years ago when gaming machines were banned, could yet be welcomed back.

Other suggestions — such as a national lottery and promoting Bermuda as a host of Internet gaming — seem more of a long shot.

According to Mr. Landry, now would not be a great time for a jurisdiction described by many as a tax haven to incur the wrath of the US government by becoming a centre of Internet gaming, a move which would see people in the States avoiding local authorities by having their online bets processed on the Island.

And he doesn't think many tourists would fly to Bermuda to buy a ticket for a national lottery when the prize would probably be small given the size of the population.

Regarding the social impact of gaming, Mr. Landry said other jurisdictions have used gambling taxes to pay for treatment for addicts and to set up identification systems stopping addicts getting into casinos.

Tonight's forum takes place at the World Heritage Centre, Penno's Wharf, St. George's, from 7 p.m. to 9 p.m.