A House of Lords peer has criticised a pledge from the National Lottery operator to donate £38bn to good causes over the next decade.
Last February, Allwyn was formally granted the licence to operate the National Lottery by the Gambling Commission.
Allwyn, which took over from Camelot, previously pledged to donate £38bn to good causes in the next 10 years, compared with £18bn raised by Camelot over the same time.
In a parliamentary debate earlier this week, Thomas Orlando Lyttelton, 3rd Viscount Chandos, called Aldwyn’s pledge “fanciful now, to put it mildly”.
‘Fanciful’ pledge
Lyttelton asked the government how much it expects the National Lottery’s contribution to good causes to be in the first 12 months compared to the last 12 months under the previous operator.
In response, Baroness Fiona Twycross said: “Good cause returns generated from ticket sales are expected to be £1.6bn in the year 2024-25.
“This is consistent with returns last year and in line with performance over the last five years.”
Allwyn previously committed to doubling returns to good causes by the end of its licence, from £30m to £60m a week.
Twycross said that during its first year, Allwyn “has focused on delivering stable good cause returns while completing its modernisation programme to build strong foundations for the future”.
Lyttelton then called Allwyn’s £38bn pledge “fanciful”, asking Twycross what the government intends to do to hold the operator accountable, or if the Gambling Commission was “taken for a ride”.
Twycross said: “The Gambling Commission has direct oversight of Allwyn and its implementation of the technology transformation needed to realise its bid commitments, to ensure that these are delivered safely and effectively.
“In addition, I have met with Allwyn on a couple of occasions, including last Wednesday, to receive additional assurance around delivery.”
Legal challenge
During the debate, Lord Harris of Haringey, chair of the Fundraising Regulator, asked the government to “comment on media speculation that a legal challenge to the Gambling Commission’s decision is possibly being mounted by one of the unsuccessful bidders for the franchise”.
“The Gambling Commission reportedly said that, if that proceeds, it could lead to a reduction in the money available for good causes,” he said.
“Can the minister explain why the good causes will be affected, rather than this being a matter between the Gambling Commission and the unsuccessful bidder?”
Twycross said it would be inappropriate to comment at this stage on the legal process, adding: “The Gambling Commission is confident that it ran a fair and robust competition to award the fourth licence.
“As my noble friend noted, legal challenges relating to the award of the fourth licence are ongoing.”
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