Council chiefs appear poised to win their battle against the clustering of high stakes gaming machines, which they claim are blighting local areas.

The hints of a crackdown on Fixed Odds Betting Terminals is contained in leaked letters between prime minister and the gambling industry, which suggest David Cameron will tackle the concentration of gambling premises in deprived parts of the country.

At the start of the year, Mr Cameron urged councils to make full use of their existing powers to curb the growth of high-stakes betting terminals in high street betting shops.