The Stage

Blackpool loses out as MGM Mirage opts for the big cities

Published Friday 30 April 2004 at 09:20 by Ruth Gillespie

US-based gambling giant MGM Mirage has snubbed Blackpool’s £1 billion initiative to turn the ailing seaside town into a Las Vegas-style casino and entertainment resort just days after announcing a £650 million investment in similar projects throughout four major UK cities.

Members of the borough council requested a meeting with company representatives last Friday to discuss whether the firm would continue its involvement with proposals to build a live entertainment complex based around the Pleasure Beach and four resort casinos.

The American conglomerate was one of several gaming firms, including Harrah’s Entertainment and Park Place, which were approached last year to discuss and advise the council on plans to transform the town over the next two decades.

However, Blackpool was not included in a recent announcement which revealed that MGM, in partnership with British developer Peel Holdings Plc, intends to invest more than £650 million to develop gaming and leisure complexes in Glasgow, Liverpool, Manchester and Salford.

The move follows recommendations from the parliamentary committee scrutinising the proposed gambling legislation that resort casinos containing hotel and entertainment facilities should be confined to specific areas where they can bring regeneration.

Now Blackpool’s head of planning and transportation Reg Haslam has called on the government to clarify what it means by the term “resort casino” and what criteria will be used to determine an area of regeneration.

He said: “These issues have yet to be determined and the outcome will influence the decision makers’ view of Blackpool. MGM’s strategy is clear. It is seeking to identify sites where numbers and demographics are favourable.”

So far MGM’s proposals include building casinos and entertainment centres in the Glasgow Harbour area, Manchester’s Sport city development, Liverpool’s King’s Waterfront and adjacent to the Manchester Ship Canal in Salford, although each project will depend on local government approval and ratification of the new bill by parliament.

Under the 1968 Gaming Act, operators were prevented from using their premises for anything other than gambling. However, Whitehall has already relaxed restrictions on entertainment in order to attract international companies willing to invest in new Vegas-style casinos.

Lloyd Nathan, managing director of MGM Mirage Europe, said: “With all of our projects relying on the timely implementation of commercially viable gaming reforms, we look forward to working together with all of the local communities, their political representatives and with the government, with the aim of ensuring that these valuable benefits are fully realised.”

Equity variety councillor Dave Eager told The Stage that, despite the gaming market gravitating towards the major cities, he felt Blackpool would continue to become a centre of excellence for entertainment due to its unique location and the range of attractions on offer.

He said: “Market trends are always changing and in the end investors will come to realise that Blackpool offers a unique opportunity.”