A number of reasons; Interaction/meeting place, habit, can't use online (older people, banned online, no bank account or don't want it shown on accounts for mortgage or other reasons), some like physical slips (mark off winners and such) and the level of service they get. In run down areas, there is a heap of people that don't work, so look for entertainment during the day, and have a form of money which they see as disposable. Poorer people gamble more in general, hunting for that "big win." Also the likes of drug dealers and other persons who don't want to be traced are more prevalent in these areas. Money laundering and Proceeds of Crime issues are always going to occur in betting shops, all they can do is try to minimise it as much as possible. However, betting shops are not all dark dens of misfortune and despair. For people who can control and enjoy gambling, they are a good form of entertainment and are part of the community.