by Dan Bloom

Illegal gambling dens in Medway are fuelling crime and even terrorism, a report has revealed.

Licensing officers at Medway Council have seen evidence of private clubs which set up in the area and then constantly move around to avoid detection.

The takings end up in the pockets of criminal gangs, which fund terrorists in the UK and overseas.

Police, the Gambling Commission and three council departments have been tasked to fight the problem, according to a report this week.

A Medway Council spokesman said: "We are trained to be vigilant in activities that have been proven to be connected to terrorism in the past, and to raise concerns about similar activities to the police."

Yet the report raised fears the council was struggling to cope with licensing breaches. The council's enforcement officers, who wrote the report, said private members' clubs had "little pro-active attention" and raised concerns over bars, pubs and clubs.

They told councillors: "It is difficult with existing resources to implement a system where each premises gets regular enforcement visits."

The annual report to the Licensing and Safety committee, due to meet on Wednesday, noted a catalogue of breaches at pubs, bars, clubs and in taxis.

They included derelict buildings retaining alcohol licences, managers dropping off the council's radar, illegal lotteries and a "high level of non-conformance" by members' clubs.

Taxi drivers had refused to take fares, been abusive to passengers and were seen driving erratically, while some nightclubs were not employing enough bouncers.

The report added: "There is a risk licence holders will cut corners in levels of staff, putting profits over compliance."

Officers warned other agencies, including those investigating the gambling claims, would find it no easier to pick up the slack.

They wrote: "These are difficult times as many agencies are going through redundancies, restructure and change of personnel. This is making things difficult to keep the level of partnership."

Labour spokesman Cllr Tristan Osborne said: "We believe there is a real risk that in the current economic climate organised criminals could use this as an opportunity to exploit the most vulnerable.

"The council needs to respond robustly with all the measures at its discretion to challenge the scourge of illegal gambling."

A council spokesman said fears over a lack of resources were not connected to terrorism claims, adding: "Illegal gambling dens, due to their very nature, would be short-lived and move from area to area on a wider scale than just Medway.

"The resources issue refers to the fact that, due to the wide range of enforcement activity, the team deals with across the licensing function and that we have 792 licensed premises in Medway, the team is not able to constantly visit each premises.

"Instead, it has to concentrate its resources on establishments where there have been problems and complaints. This is the same as the way any other licensing authority would act."