New gambling legislation due later this year could catch out the unwary, just like the pub shake-up did.
That is the warning from Jonathan Walker, licensing expert at Birmingham law firm Challinors.
In a bid to modernise legislation which dates back to the 1960s, the Department for Culture, Media and Sport is introducing new regulation and licensing which will govern gambling in the UK.
Mr Walker is urging those likely to be affected by the Gambling Act 2005 to take heed of the lessons learned following the introduction of the controversial Licensing Act last November.
He said: "Under this new regime existing license hold-ers will be required to reapply for new-style permits, and responsibility for gambling licences will pass to the new Gambling Committee and the local authorities.
"They will have the power to review and revoke licences as necessary.
"With applications for new licences set to be invited by the end of the year, those involved in the region's gambling industry must be geared up for the widespread changes which are on the horizon.
"The new legislation will be far-reaching, and will even affect local chip shops with a gaming machine in the corner; therefore establishments across the West Midlands need to prepare to avoid falling foul of the law."
He said the next 12 months would also be a crucial time for the licensing authorities.
"In preparation for the imminent transfer of power from the magistrates, local authorities must begin to formulate their licensing policies.
These will form the basis of all licensing decisions and will clarify exactly how the local authority intends to go about its new responsibilities.
"This revised system has already proved successful in the issuing of new style alcohol and entertainment licences, not least as it means key decisions are made by persons who are directly accountable to the voting public and have the knowledge to make decisions in the public interest.
"Having a procedure for reviewing licensing decisions has also prompted open debate in areas where there have been concerns among local residents, license holders or customers, and has therefore heralded a more democratic licensing process."
The Gambling Act will see the introduction of triple licences - an operator's and a personal licence will both be required together with a premises licence.
The system of regulation is focused on three objectives: fairness to the consumer, prevention of crime and disorder, and the protection of children and vulnerable adults from harm or exploitation.
Additionally, the new Gambling Commission will act as a national regulator with extensive powers over its licensees.
Mr Walker added: "When the Licensing Act was introduced late last year, fears surrounding the rise of round-the-clock pub opening hours and an increase in binge drinking were deemed to be the unequivocal outcome by industry observers.
"Yet despite dominating the debate surrounding the introduction of the legislation, this worst case scenario has so far failed to become a reality."
Target for full implementation is September 1, 2007.
