LONDON (ShareCast) - Rank Group has unveiled plans to open three new bingo clubs in response to the Chancellor's Budget statement, which announced that bingo duty had been halved from 20 per cent to 10 per cent.

The group also said the reduction had secured the future of a number of its other clubs.

Rank Group Chief Executive, Ian Burke said: "Today's announcement is an important boost for Britain's bingo clubs, which provide a range of social and economic benefits for the communities they serve. By bringing bingo duty into line with other forms of gaming entertainment, the government has created a basis for renewed investment and innovation."

Rank, which currently operates 97 Mecca Bingo clubs across Britain, said it has already dentified a number of towns and cities where it would like to develop new clubs. It plans to complete more detailed market research, commercial negotiations, planning and licensing.

"Importantly, the new clubs will be used as a base for innovation, testing new concepts and new technologies to reposition its bingo clubs for the future," the group continued.

"Rank's hope is that this process of innovation, research and development will trigger successive rounds of reinvestment nationwide."

The shares jumped 5.76% to 152.50p following the announcement.

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