STANLEY LEISURE, Britain’s biggest casino operator, yesterday reported that its London clubs had seen a recovery from the drop-off in revenues suffered in the first half of the year.

In a trading update ahead of its interim results, the company said that its casinos in the capital, which include Crockfords and the Colony Club, had been busy in the first few weeks of the second half.

It cautioned that performance “can change very quickly”, but added: “If these levels continue, we are confident that we will recover much of the business lost.”

Overall, the company said, trading in the first half had been in line with expectations, with its provincial venues producing a solid performance. The period included a seven-week contribution from its betting shop operation, which was sold to William Hill in June for £504 million.

Stanley, which runs 41 casinos in the UK, said that it had seen a rise in attendances since the abolition on October 1 of the so-called 24-hour rule, under which new members had to wait 24 hours before being able to play.

Bob Wiper, Stanley’s chief executive, said: “The industry has talked about footfall growing at about 8 per cent since the relaxation date. We’re not out of line with that.”

The company said it was also hoping to benefit from recent changes in the numbers of gaming machines permitted at a venue, as well as in stakes and prize limits. Stanley expects to have about 1,000 electronic machines across its estate by the end of the financial year, almost double the number at the start.

Colin Child, the finance director, suggested that the drop-off in attendances and revenues in its London casinos in August had probably been due to a combination of the July bombings and the death of King Fahd of Saudi Arabia, a country that provides many of the biggest high-rolling gamblers.

But he said that the company remained on track to deliver underlying full-year pre-tax profits in line with market forecasts of about £37 million.

Shares in Stanley added 20p to 656½p.

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive