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Tessa Jowell and Richard Caborn the Labour ministers in charge of this seems to be doing a good job defending regulation and bringing the companies on shore.
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You're right about Tessa Jowell doing a good job defending the government's gambling policy. Here is a link to the gambling debate in parliament on the 9th October 2006.
http://www.theyworkforyou.com/debate...r%3A10001#g4.2
She says:
1. "our approach to gambling regulation is different: to avoid prohibition, to introduce regulation ".
2. "We are concerned to ensure increasingly that online gambling companies understand the benefits of registering in this country".
3. "our aim to get online gambling companies to register and to come on-shore. If we do that, we will have better powers and those companies will be in a better position to act in a socially responsible way, so we will ensure that, in a rapidly increasing area of gambling, we can keep down the proportion of problem gambling. We are not marketing the UK as a centre. We are marketing the UK as having the toughest regulatory regime in the world and as being the safest place for people to gamble. It is a public interest test."
However as you say there are a few anti gambling MPs, including Diane Abbott, who said "The Secretary of State will be aware of concern about the rise in online gambling. It is difficult to see what social good will come from it, as it does not even create jobs. She will be aware, too, that the US Congress is examining steps to clamp down on online gambling by stopping credit card companies processing payments. Are the Government looking at such measures for the UK?".