The UK National Lottery’s contribution to good causes has broken the £500m mark for the second time in five quarters after increasing by 18.7% sequentially.
The UK Gambling Commission (UKGC) noted that Camelot, operator of the National Lottery, contributed £501.8m to good causes for the three-month period ending September 30, up 18.7% on Q1’s total of £422.9m.
Meanwhile, the contribution is up 19.9% YoY from £418.4m as the National Lottery has enjoyed a period of sustained sales hikes and unclaimed prize increases.
The Commission explained that the increase in sequential contributions was down to two primary factors.
National Lottery total sales increased by 14.1%, or £266.7m from Q1 – in which all game types saw revenue hikes. Significantly, EuroMillions sales increased by £140.7m, or 31.1%, with several high jackpots driving sales during the period.
Secondly, the total number of unclaimed prizes added as returns to good causes was around £13.6m more than the previous quarter. This was primarily due to scratchcard game closures.
In total, the last five quarters have seen the National Lottery contribute £2.3bn towards good causes.
Significant developments are underway at the National Lottery, with the transition period for the transfer of the fourth licence from Camelot to Allwyn underway.
A key decision in the UKGC’s decision was Allwyn’s claim that it could amplify the amount of funds donated to good causes. The National Lottery has raised over £45bn for good causes since its 1994 inception.
This is despite legal action from Camelot, which has now been dropped, though the ever-present licence holder is still seeking damages from the Commission for lost revenues.
Another development in this long-running saga emerged last week as it was revealed that Allwyn is seeking to acquire Camelot’s UK business to bolster its operations in the country ahead of the lottery licence transfer period.
Allwyn is in ‘advanced’ talks with the Ontario Teachers’ Pension Plan to purchase Camelot’s UK operations for a reported £100m.
Responding to media speculation, Allwyn stated: “If an agreement were to be reached, it would be subject to regulatory approvals.
“Our shared objective is to reach an agreement which would best serve the interests of the many stakeholders of The National Lottery, in particular the good causes it supports as well as the employees of Camelot and Allwyn UK.”