GBGC: Allwyn named as preferred lottery applicant

The designation means a new operator for the UK lottery for the first time since its launch in 1994.

Press release.- Allwyn Entertainment has been named by the UK Gambling Commission as the preferred applicant for the fourth National Lottery licence, when the current licence expires in 2024. It will mean a new operator for the UK lottery for the first time since its launch in 1994.

Camelot has been the licence holder since 1994. During the third licence period it was criticised when profits rose faster than returns to good causes, although profits only amount to 1% of sales. Money for good causes equates to 23 per cent of sales.

In recent years, the Covid-19 pandemic has caused lottery players to switch to digital sales channels, which accounted for 42 per cent of sales in 2020/21, up from 31 per cent in the previous year.

In turn, this sales boost to digital channels helped reduce unclaimed prizes. The total amount of unclaimed prizes was GB£ 100m in 2020/21, the lowest amount for a decade.

As a percentage of prizes available, unclaimed winnings represented 2.1 per cent, which is the smallest share for more than 20 years.

Allwyn’s bid was reportedly centred on increasing returns to good causes, reinvigorating the draw games, responsible gambling and investment in technology.

*In 28 years, Camelot says the lottery has raised GB£ 45 bn for good causes.

*It is reported that Allwyn aims for more than GB£ 30 bn in its 10-year licence.

*Draw games currently account for 56 per cent of sales.

*In 2012/13 it was 70 per cent and in 1999/00 it was 89 per cent.

See also: GBGC: UK gambling, change is coming