Allwyn still not quite at National Lottery jackpot
DESPITE Camelot confirming that it would be withdrawing its legal challenge against Allwyn over the National Lottery licence, there remains one last obstacle between the Czech firm and the jackpot contract: IGT.
While the Gambling Commission acknowledged Camelot’s decision, the regulator said it wasn’t aware of changes to technology firm IGT’s position.
IGT, which provides the tech behind lottery and betting online and was part of Camelot’s dispute, is yet to make its own statement on the matter.
As a result, this means that its legal challenge still stands and is due to be heard in the High Court next week, with a suspension over the transition still standing.
Camelot, which had operated the UK National Lottery since 1994, said in a statement that its decision to withdraw was rooted in concerns surrounding legal fees.
A spokesperson for the company, which is owned by Ontario Teachers’ Pension Plan, said: “It had become clear that the potential damages covered by the undertakings needed for the appeal to proceed would have been too large, and involved too great a commercial risk, for it to be reasonable to provide them”.
“Camelot is no longer seeking to prevent the enabling agreement being signed prior to the procurement trial which will now take place in January/February,” the spokesperson explained.
Camelot first launched the legal challenge back in April, stating that the Gambling Commission failed to “correctly and lawfully” evaluate bids and that it “committed manifest errors.”
This meant the licence transfer was blocked, which the regulator then asked the High Court to overturn.
The Gambling Commission claimed it would drain funds from good causes, which fund sports and arts.
The courts later agreed to lift this suspension, which Camelot appealed. This legal action has now been dropped by Camelot.
Allwyn welcomed Camelot’s move and said it would be working with the company and regulator on the transition, with the £6.4bn contract due to start in February 2024.
Allwyn, which is headed by the Czech billionaire Karel Komárek, is reported to have said it would slash ticket prices from £2 to £1 and hike the amount of money going towards good causes.
It is understood that Camelot is still taking legal action against the Gambling Commission for giving the licence to Allwyn, but will not be blocking the handover process. The gambling regulator said it had run a “fair and robust” competition, but a trial is expected to go ahead in January or February for this case.
ITG were not immediately available for comment on its stance on the proceedings.