The largest bookmaker in the UK has launched a last-minute bid for the operating licence of the National Lottery as an effort to bring it back into domestic ownership at a time when the auction for the much-desired assets reaches its culmination.
According to reports, the chief executive officer of Flutter Entertainment, Peter Jackson, has gotten in contact with the UK Gambling Commission (UKGC) to highlight his support for a deal after reaching an agreement to purchase one of the contenders for the largest single public sector operating licence in the UK.
As previously reported by Casino Guardian, Flutter Entertainment, which already operates some of the most popular gambling brands on a global scale such as Paddy Power, Betfair, Sky Bet and FanDuel, is taking over one of the four contenders for the UK National Lottery’s operating permit – the Italian gambling group Sisal. According to reports, Mr Jackson has underlined the importance of Sisal as part of its UK-listed assets.
In his letter to the UK gambling regulatory body, which is also signed by Francesco Durante, chief executive officer of Sisal, Mr Jackson confirmed the commitment of Flutter Entertainment to the future success of the UK National Lottery through Sisal. Both him and Mr Durante confirmed that the lottery operations of Sisal are planned to be run independently of the sports betting services of the British bookmaker should Flutter Entertainment receives the National Lottery licence.
The Government Set to Make the Announcement for the UK National Lottery Licence between February 21st and March 31st
Currently, Flutter Entertainment has a market value of over £18 billion. The company has taken advantage of the recent legalization of sports betting in the US, with its online gambling and sports betting arm FanDuel playing a key role in establishing its presence in the promising US sports betting industry.
According to executives, the technology of the company is likely to be beneficial for Flutter Entertainment’s offer for the National Lottery assets, considering the fact that an increasing number of customers play online.
Reportedly, the latest intervention of Flutter Entertainment has been made in response to a request from the UKGC. It has come at a time when anything could happen in the ongoing battle for the UK National Lottery’s operating permit for a further 10 years. The new operating licence is set to begin in 2024, while market analysts have projected that revenues over the new 10-year period of the permit could exceed £80 billion.
Reports say that Sisal’s bid for the new 10-year operating licence of the National Lottery is lagging behind the proposals of the current operator Camelot UK and the Czech Republic-based operator Sazka, also known as Allwyn. The fourth contender in the bidding process, the former owner of the Star and Express newspapers, Richard Desmond, is considered an outsider.
Now, the intervention of Flutter Entertainment in the eleventh hour of the bidding process could affect the decision-making of the UKGC only a few weeks before the regulatory body is set to announce its final decision. The Gambling Commission’s decision is supposed to be based on a scorecard in which contenders will be marked on various aspects of their bid. It was decided that the process is designed in a way to combat a potential legal challenge against the decision by some of the losing bidders.
A preferred bidder will be selected, with the decision set to be followed by a 10-day “standstill” period before becoming official. According to reports, the UK Government has chosen the window between February 21st and March 31st for making the announcement on the National Lottery licence’s winner.
- Author
Olivia Cole
