Britons don’t like to be beside the seaside – or at least, not as much as they used to. The recessionary phenomenon of the “staycation” notwithstanding, the annual coastal orgy of sandcastles and candyfloss has been replaced for many by overseas holidays and short breaks. Seaside staples like Punch and Judy and end-of-the-pier shows may remain alive in the public consciousness, yet in reality they have all but disappeared – and so, according to some, are many of the amusement businesses that flourished with the traditional summer trade.

So goes the standard narrative of the decline of the British seaside resort. And it is certainly backed up by some evidence, both anecdotal and statistical: a much smaller proportion of UK consumers’ holiday spending takes place at home compared with a few decades ago, and much more abroad.

Individual resorts have in some cases suffered whopping decreases in visitors – for example, Blackpool visitor numbers plummeted by more than 25 percent in 2007-8 while Scarborough dropped ten percent in the same period, although poor weather was doubtless partly to blame. Some formerly thriving resorts like Hastings, Rhyl and Skegness are now known as blackspots of deprivation.

But the picture is not a clear-cut one of unmitigated disaster. For example, employment in seaside tourism has actually increased, albeit at only about one percent annually, since the late 1990s, according to a study this year by Sheffield Hallam University. Blackpool still has the most jobs in the sector, at about 19,000 (of an overall 210,000) – and perhaps more surprisingly, in 58 different towns the industry employs more than 1000 people.

“People who follow the fortunes of the British seaside tourist industry have always known it is a myth that the industry is in terminal decline,” Peter Hampson, director of the British Resorts and Destinations Association, was quoted as saying. But he acknowledged: “Britain’s seaside resorts face challenges in responding to changing economic circumstances and consumer tastes.”

The underlying reasons that have brought about these challenges and changed the economic face of the seaside are, say those who have studied the topic, not just about changes in holidaying tastes. Coastal resorts have always been highly seasonal, dependent for the bulk of their business on just 12 to 16 weeks a year, which in itself introduces an instability to their economies – even very short-term dampers on visitor numbers can have far-reaching effects. At the same time there has, thanks to the development of overseas tourism since the Second World War, been an excess of supply over demand.

These resorts are, by their nature, geographically peripheral at the edge of the country. Other coastal industries such as fishing and ship-building have also declined, driving economic indicators for these areas downward – or, putting it in more everyday terms, meaning that not all the signs of economic stagnation you see at the seaside are due to a drop-off in tourism.

And adding to that effect, local-government reorganisation in the 1970s made many resorts part of larger local authorities which are not inclined to go to the expense of maintaining piers, promenades and the like when it is difficult to charge for their use.

These factors create a tough environment for any business, including the two kinds of amusement venues – family entertainment centres (FECs) and adult gaming centres (AGCs) – that form an essential part of the seafront’s array of temptations. So it is a bitter double blow that, according to the best-established trade body representing the British amusement industry, amusement-licensing laws are also holding these centres back from achieving their commercial potential.

Closing down

BACTA maintains unfair gambling legislation is having a disastrous impact on seaside towns, with 1350 jobs lost in around 18 months and 216 centres forced to close. It wants the law changed to allow higher stakes and prizes.

“This is having a knock-on effect on the associated tourism and retail businesses up and down the coast as generations of family businesses are forced to close. If the Government doesn’t act, a traditional part of the British way of life will be lost and with it thousands of jobs,” the organisation said.

“The slow destruction of the British seaside town is one of the terrible tragedies facing this country and it’s also having a disastrous impact on British manufacturing,” charged chief executive Leslie MacLeod Miller, referring to decreased shipments of arcade games.

“Seaside arcades have provided harmless family fun for generations of Britons and the relief we are seeking will not cost the Exchequer or the taxpayer. Burdensome legislation has wrapped the amusement industry in red tape and is forcing the closure of hundreds of businesses across the country. Every week of delay means further closures.

“Both the Conservatives and Liberal Democrats promised to take action while in opposition. They cannot now be allowed to forget about the thousands of British jobs that are at risk,” said Miller.

If Westminster doesn’t act, or even if it does and higher-stakes gaming proves insufficient to refresh their business, is there a future for seaside AGCs and FECs?

It may be that they will have to reinvent themselves, as entire seaside towns have – Margate became a haven for artists, Lyme Regis for fossil-hunters – and indeed as other leisure sectors such as bowling alleys, featured elsewhere in this issue of Euroslot, have done.

They are looking beyond their core offer of bowling lanes and trying to provide a much broader entertainment and catering experience to families, adult groups and corporate-hospitality parties alike. And though the British seaside resort may never quite regain its glory days, that could be another way ahead for the FECs and AGCs. Virtual Punch and Judy and a candyfloss mojito, anyone?

Seaside amusements: the facts

While amusement devices of different kinds are found in a broad range of seaside venues – including piers, pubs, clubs, bowling alleys, cinemas and the like – the biggest concentrations of pay-to-play leisure machines in Britain’s coastal resorts are amusement centres, accounting for around 105,000 machines across the country, according to trade group BACTA.

They fall into two categories: family entertainment centres (FECs) and adult gaming centres (AGCs).

As of March 2009, there were 319 FECs, slightly down on the previous year (although the number is almost certainly further down now). Annually they made a gross profit of £92.1m, equating to £290,000 per site. “Primarily seaside-based FECs have been the hardest-hit sector of the [gaming] market, reporting a 21 percent decline in annual revenue in 2008,” according to market researcher Mintel.

By contrast, there were 632 AGCs – up slightly on the previous year, but again likely to be noticeably reduced by now, as this is the part of the amusements sector that BACTA says is suffering most heavily from government restrictions. They were considerably bigger money-spinners than the FECs, with total gross profit of £397.4m breaking down to about £630,000 per site.

Both FECs and AGCs offer machines in the Gambling Commission’s Categories C and D, while AGCs are also permitted to have Category B3 machines.

Category C machines have stakes limited to £1 and payouts capped at £70, and are located in adults-only zones.

Category D machines, however, which include devices such as coin grabs and penny pushers, can be played by people of any age. Maximum stakes are either £0.10 or £1, depending on the type of machine, and maximum payouts range from £5 to £50, again depending on the type of machine and the cash/non-cash mix of the prize, although the total cash element can never be more than £8.

AGCs and FECs can operate unlimited numbers of machines in both categories. But AGCs can also have up to four Category B3 units, with maximum stakes of £1 and prizes of up to £500.

A new dimension

Move over, James Cameron – Great Yarmouth has one up on you.

The Pleasure Beach in the down-at-heel Norfolk resort is one of two sites – the other is the Grand Pier in Weston-super-Mare – that have installed “4D” effects theatres from Simworx, a recent case in point of seaside leisure ventures seeking to revitalise themselves with the latest technology.

At the Grand Pier, the 51-seat theatre in the new pavilion building is part of a ￡39m rebuild with new rides and attractions following July 2008’s fire.

It features 3D projection in full HD, a sound system from Christie, special-effects lighting, and other effects – the so-called fourth dimension – that include seat vibration, water spray, leg-ticklers, wind-blowers, low smoke and bubbles.

“Several films will be available which can be changed on a regular basis to take into account the high number of repeat visitors who come to the pier,” according to Simworx, including Second World War epic The Mission, action-packed Ravine Racer and pirate adventure Curse of Skull Rock.

At Great Yarmouth, meanwhile, a 30-seat theatre replaced an older motion simulator in a revamped building, again with Christie sound, special-effects lighting and the 4D features. Films shown there will be Curse of Skull Rock and Dracula 4D.

“This has been something we’ve been looking at for a couple of years, in particular because of the weather in the early and late part of the season – we are trying to add more indoor attractions,” said Great Yarmouth Pleasure Beach managing director Albert Jones.

“It caters for all ages from toddlers to senior citizens, as well as being accessible by the disabled. 3D is in at the moment too so it’s good to do something topical and that the public is talking about. We went to the IAAPA show in the U.S. last year and looked at several different suppliers,” he added.

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