Dr Pugh also said he was mystified why a Labour government wanted to encourage more casinos, when the move would redistribute wealth from the poor to the rich.
He was immediately accused of a U-turn after sitting on the Commons committee whose report cleared the way for the new casinos - an allegation he denied..
Dr Pugh's comments are likely to raise eyebrows at Sefton Borough Council, which is locked in a race - with Warrington and St Helens - to be the "casino capital" of Merseyside and North Cheshire.
The three authorities have all told the Government they are interested in securing one of a limited number of money-spinning licences, with a decision due at the end of the year.
A total of 30 councils are competing for eight licences for a "large" casino, with up to 150 gaming machines, or a further eight licences for a "small" casino, with a maximum of 80.