Blackpool will gain most from the regeneration boost that Britain's first supercasino could provide, a left-leaning thinktank has said.
Greenwich will benefit from an estimated 8,000 jobs created by the Olympics and has many regeneration options open to it, according to the Institute for Public Policy Research.
But Blackpool - where tourist numbers are declining by up to 2% annually - desperately needs an economic boost, the thinktank said.
The report - published by the IPPR's Centre for Cities - also warns that casino-led regeneration is untested in the UK, has significant risks and may deliver mixed blessings.
The supercasino may attract more tourists and create new jobs, but it could also drain money away from other local businesses. Problem gambling is also likely to increase.
The IPPR said the winning location should consider a council levy on casino profits to cover potential social costs such as policing and problem gambling.
Max Nathan, senior IPPR researcher, said: "We think Blackpool deserves to win. It needs the regeneration boost more - and East London will get 8,000 Olympics jobs in a few years' time.
"But getting a supercasino is not like winning the jackpot - the supercasino will not deliver a magical transformation to the winning area."
He continued: "They may not create that many new jobs, problem gambling is likely to increase, and the tax revenues will go straight to the Treasury.
"Whoever wins needs to link local people to the new jobs, and take steps to deal with any social costs."
