Report
Annual Report and Accounts 2022 to 2023
The Gambling Commission's 2022 to 2023 Annual Report and Accounts. For the period 1 April 2022 to 31 March 2023.
Optimise returns to good causes from The National Lottery
The National Lottery continues to make a significant contribution to society and generates important funds for good causes, including funding a wide variety of sports, arts, heritage and community-based projects. Over £47 billion has been raised by the National Lottery since its launch in 1994.
Through the funding it generates, the National Lottery continues to make a difference to the lives of millions and the Gambling Commission’s role is to ensure it is run with propriety whilst protecting the interests of every player and making sure funds for good causes are maximised.
Our highlights in this area
The following sets out our highlights over the past year for the deliverable of optimise returns to good causes from The National Lottery.
Returns to good causes finished the financial year at £1.79 billion.
We ensured the current licensee continued to deliver against the requirements of the Third Licence, particularly with respect to ensuring the National Lottery is operated with all due propriety and that the interests of participants are protected. Further protections for players potentially at risk of harm have been introduced across the year.
We protected the value of the National Lottery as a public asset, enhancing its brand, and set processes in place to ensure that the Fourth Licence holder fosters strong relationships with distributors of National Lottery funding to strengthen the link between the brand, its players and good causes.
Allwyn Entertainment Limited has been appointed as Incoming Licensee for the Fourth Licence (due to start on 1st February 2024), following a successful, fair and robust competition which received four applications at the final stage, following seven initial submissions at the selection stage. This is the highest number of applications since the first National Lottery licence was awarded in 1994.
In January 2023, the Commission Board granted the relevant regulatory approvals in response to a proposal to change the corporate control of the current National Lottery licensee, Camelot UK Lotteries Limited, from the Ontario Teachers' Pension Plan to the Allwyn Group. These approvals were supported by the completion of a robust and extensive assessment of the proposal against the requirements of the Third Licence.
The Commission successfully set aside the automatic stay imposed on the award process by the commencement of litigation enabling completion of the award of the licence to Allwyn in September 2022. The substantive challenges remain and are currently due to be heard in January 2024.
Allwyn has committed to investment in the National Lottery that is expected to deliver growth and innovation across the National Lottery’s products and channels, resulting in increased contributions to good causes.
The conditions for the new licence are designed to build on the successes of the Third Licence, placing responsibility for performance and flexibility to maximise returns to good causes on the licensee, while ensuring high standards of propriety and a strong focus on player protection.
A transition management framework was developed which enables oversight and assurance, and active management of risk and delivery performance, to support the successful transition to the new licensee. We have designed an appropriate regulatory model for the Fourth Licence and have developed a plan to deliver and implement this ahead of the start of the Fourth Licence.
Last updated: 18 October 2023
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