Gambling - Proposed changes to Mandatory conditions of Lottery Operating Licences

17 Oct
2014

On Wednesday a new clause was proposed in the Deregulation Bill which would seek to make changes to the mandatory conditions of lottery operating licences.

The mandatory licence conditions that must be applied to a lottery operating licence are contained at Section 99 of the Gambling Act 2005.

Lord Mancroft has proposed to amend section 99 so to:

(1) In subsection (2), after "at least 20% of the" insert "aggregate annual".

(2) In subsection (3)(a), for "£4,000,000" substitute "£10,000,000".

(3) In subsection (3)(b), for "may not exceed £10,000,000" substitute "is unlimited".

(4) In subsection (4)(b), for "10%" substitute "50%"

If imposed the section will read as follows:

99 Mandatory conditions of lottery operating licence

(1) In issuing a lottery operating licence to a non-commercial society or to a local authority the Commission shall attach conditions under section 75 or 77 for the purpose of achieving the requirements specified in this section.

(2) The first requirement is that at least 20% of the aggregate annual proceeds of any lottery promoted in reliance on the licence are applied-
(a)in the case of a licence issued to a non-commercial society, to a purpose for which the promoting society is conducted, and

(b)in the case of a licence issued to a local authority, for a purpose for which the authority has power to incur expenditure.

(3)The second requirement is that-
(a)the proceeds of any lottery promoted in reliance on the licence may not exceed £10,000,000, and
(b)the aggregate of the proceeds of lotteries promoted wholly or partly in a calendar year in reliance on the licence is unlimited.

(4)The third requirement is that it must not be possible for the purchaser of a ticket in a lottery promoted in reliance on the licence to win by virtue of that ticket (whether in money, money's worth, or partly the one and partly the other) more than-
(a)£25,000, or
(b)if more, 50% of the proceeds of the lottery;
and any rollover must comply with this subsection. 

(5)............... [no further amendments to the section]

The House of Lords Committee stage i.e. a line by line examination of the Bill is scheduled for the 21st October.

 

Law correct at the date of publication.
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