UK National Lottery Operator Camelot Cries Foul Play in License Bid

For years, the UK National Lottery has been overseen by Camelot, but they’re seeing red after their competitor, Allwyn Entertainment, was awarded the next license. Camelot is alleging unfair practices and intends to pursue legal action against the Gambling Commission, possibly as soon as this week. They believe the entire bidding process was manipulated to their detriment.

Their primary grievance? Camelot contends that the Commission altered the evaluation criteria mid-process. Initially, when a 15% “risk factor” discount was applied to all financial forecasts, Camelot believed they held the lead. However, they claim the Commission abruptly reversed course and removed the discount, giving Allwyn an advantage due to their pledge of larger charitable contributions.

This chaotic situation has blindsided Allwyn as well. Their “preferred applicant” status in March came as a surprise, and they even found themselves in their own legal tangle with the Commission at one stage. With Camelot prepared to wage a legal battle, it appears Allwyn’s takeover of the National Lottery may be delayed.

Upon the selection of Allwyn as the frontrunner to oversee the UK National Lottery, John Tanner, its top executive for responsible gaming, highlighted the “exceptional caliber of contenders” and the “breadth of novel ideas” presented. He stressed his belief in the lottery’s prospects with Allwyn at the helm.

The current operator, Camelot, has initiated legal proceedings against the decision. Concurrently, Allwyn’s proprietor, Czech tycoon Karel Komárek, has drawn examination regarding his prior commercial activities in Russia.

Further complicating matters, Camelot was recently penalized £3.15 million (roughly $4.1 million) by the Gambling Commission for problems related to its mobile application.