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Full Breakdown

Government Plans to Give Councils Power Over Vape and Betting Shops

8/11/2026, 3:50:12 AM

Core Event

Prime Minister Andy Burnham announced a package of measures that would require planning permission for new e-cigarette (vape) shops in England and would allow local authorities across Great Britain to refuse applications for betting shops and adult-gaming centres. The proposals also aim to tighten the definition of a vape shop, prevent openings near schools, and extend closure orders for premises found selling illegal tobacco. The government says the changes could be in force from the start of next year, with a fast-tracked six-week consultation intended to have the rules operating by the start of 2027.

Background & Context

High streets have been described by Burnham as “hollowed out” after decades of decline, with vape and gambling outlets increasingly replacing traditional shops, pubs and community spaces. The Conservative and Reform party warned that the reforms could lead to “more empty” shops, arguing that the plan offers no tax relief for other small businesses. The proposals build on earlier reforms introduced by former Prime Minister Sir Keir Starmer, which gave councils limited scope to consider the number of gambling premises but retained the “aim to permit” rule in the Gambling Act 2005.

Data & Statistics

  • The National Crime Agency estimates at least £1 billion of criminal cash is laundered each year through high-street stores linked to counterfeit goods, tax evasion, illegal working and drug supply.
  • Research from Health Equity North shows the most deprived communities have three times as many vape shops as the most affluent areas.
  • Government analysis of Gambling Commission data found that B3 gambling machines generate an average of £35,000 in gross gambling yield per machine annually.

Official Statements & Responses

Burnham argued that the rise of vape shops, betting shops and “rogue operators” has replaced the services and community spaces people need, and that giving councils control will “put communities back in control”. Communities Secretary Angela Rayner said the measures address problems that have built up over decades, giving local leaders the power to say no to unsuitable premises. Professor Will Jennings, who led University of Southampton research, called the targeting of vape and betting shops “an important first step”, while acknowledging it will not solve all high-street challenges.

Criticism & Opposition

The Conservative and Reform party contended that the reforms could increase vacancy rates on high streets and provide no fiscal support for other small retailers. Critics also note that, with nearly one-third of UK retail sales now online, the policy “will not solve everything” and may only address a visible symptom of broader economic decline.