Branson attacks lottery bids

By JON REES
Updated:

 

SIR Richard Branson has launched a scathing attack on the selection process to run the National Lottery after revealing to Financial Mail he will not bid for the next licence.

Sir Richard Branson

The Virgin boss, who has tried and failed to win the Lottery twice before with a not-for-profit proposal called the People's Lottery, claimed the process was stacked in favour of the present operator, Camelot.

Branson believes the National Lottery Commission's selection process is flawed and fails to focus on which bidder is likely to raise most money for good causes. 'I have always believed that it would have had more players if all the profits had gone to good causes,' said Branson.

'Our team, led by Simon Burridge, lobbied hard for changes to enable a level playing field for competition that might have encouraged several bidders to come forward. These were not forthcoming from the Commission, so we decided not to bid.'

Bids for the new licence, starting in 2009, must be in by the end of the year, but so far, Camelot and the Australian lottery operator Tattersall's are believed to be the only bidders.

Branson said: 'At least with Tattersall's entering, Camelot will have one competitor. The fact that there is only one serious competitor for the biggest Government monopoly contract says it all.'

Branson's People's Lottery team lobbied the Commission for a twostage process to choose the next licence holder. The first would focus on which bid would raise most money for good causes by examining proposals for games, marketing strategy and distribution channels. The second would see a nominated bidder that would be in a position to make the best deals with suppliers.

The next Lottery licence will be for ten years. The contract will be awarded in June 2007.

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