Department for Culture Media and Sport

regulation, licensing and operation

regulation

While the Government has responsibility for developing the policy framework for the National Lottery it remains at arm's length from the regulation and operation of the Lottery.

The National Lottery Commission (NLC) is a non-departmental public body and is responsible for regulating the National Lottery in accordance with legislation, regulatory and policy directions from the Secretary of State. It does so independently of Government.

The Commission replaced the previous regulator, the Director General of the National Lottery on 1 April 1999.

The National Lottery Commission's duties are:

  • To ensure that the National Lottery is run with all due propriety
  • To protect the interests of players
  • Subject to satisfying the first two criteria, to ensure that as much money as possible is raised for the good causes

The National Lottery Commission's role includes:

  • Selecting the Lottery operator, setting the terms of its licence and ensuring that it complies with those terms
  • Vetting individuals and companies associated with the National Lottery to ensure that they are 'fit and proper'
  • Licensing individual games that form part of the National Lottery
  • Ensuring that the National Lottery operator pays the right amount of money into the National Lottery Distribution Fund. 

Further information about the work of the National Lottery Commission can be found on thier website.

licensing

The National Lottery Commission is responsible for deciding who will operate the National Lottery when the current Licence expires at the end of January 2009.

On 9 February 2007 the National Lottery Commission received Bids from Camelot Group plc and Sugal & Damani UK Limited for the new operating licence. Following a rigorous evaluation period, on 7 August 2007 Camelot Group plc was announced as the selected Preferred Bidder to become the operator of the next National Lottery Licence.

On 30 August 2007, the National Lottery Commission finalised the third licence to operate the National Lottery with Camelot Group plc and entered into an Enabling Agreement them. The Commission are now working with Camelot to oversee the smooth transition to the new Licence, which starts on 1 February 2009, in order to ensure that the UK continues to have one of most successful lotteries in the world. This third licence to operate the National Lottery runs for ten years. 

You can find information relating to the licence competition process on the National Lottery Commission website. 

Further background reading on National Lottery licensing and regulation can be found via the following links:

operation

Camelot Group plc has been running the National Lottery since it was awarded the licence in 1994.

On 9 February 2007 the National Lottery Commission received Bids from Camelot Group plc and Sugal & Damani UK Limited for the new operating licence. Following a rigorous evaluation period, on 7 August 2007 Camelot Group plc was announced as the selected Preferred Bidder to become the operator of the next National Lottery Licence.

On 30 August 2007, the NLC finalised the third licence to operate the National Lottery with Camelot Group plc and entered into an Enabling Agreement them. The NLC are now working with Camelot to oversee the smooth transition to the new Licence, which starts on 1 February 2009, in order to ensure that the UK continues to have one of most successful lotteries in the world.

Camelot's responsibilities include:

  • Devising and operating games that form part of the National Lottery. Each National Lottery game needs individual approval from the National Lottery Commission (NLC) or to comply with the terms of the licence awarded by the NLC to cover similar games.
  • Marketing and promoting the National Lottery
  • Selecting National Lottery retail outlets
  • Paying prizes
  • Paying the appropriate share of turnover to the National Lottery Distribution Fund for the good causes
  • Since London was awarded the 2012 Olympic and Paralymic Games Camelot has launched its first Olympic Games Lottery scratchcards, which aim to raise £750 million towards the financing of the 2012 Olympic Games. The net proceeds will be paid to the separate Olympic Games Lottery Distribution Fund.

Camelot has no role in making National Lottery grants to the good causes. This is the responsibility of the independent Lottery distributing bodies.

 

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