Northern & Shell Sues UKGC over National Lottery License Bid
Northern & Shell, a British publishing group owned by media mogul Richard Desmond, has initiated legal action against the UK Gambling Commission.
Northern & Shell announce plans to start legal actions against UKGC.
LISTEN TO THIS ARTICLE:The lawsuit claims that the commission mishandled the National Lottery license competition after Northern & Shell’s bid was rejected.
The New Lottery Company, a subsidiary of Northern & Shell, will present its case to the Technology and Construction Court (TCC). The Case Management Conference is set for Wednesday, June 5, at 10:30 AM.
Alleged Issues with Procurement Process
The case details point to alleged issues with the 2022 procurement process managed by the Gambling Commission for the UK National Lottery. The National Lottery had been operated by Camelot Group since 1994, but in February, Czech gambling firm Allwyn won the bid and took over its operation. Camelot also legally challenged the commission’s decision favoring Allwyn, though this challenge was eventually withdrawn.
The National Lottery contract is a 10-year agreement valued at £6.5 billion. Northern & Shell’s legal action partly references EU law in seeking damages for this latest claim.
More Regulation
Increased GGR and New Player Safety Rules
The UK Gambling Commission recently reported a 5% increase in Gross Gambling Yield (GGY) and announced new rules, in collaboration with the Betting and Gaming Council, aimed at protecting players from gambling-related harm. These rules will be mandatory for all UK gambling companies.
There are concerns that the costs associated with this legal case may divert funds from causes that could have benefited from lottery proceeds.
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