Awarded contract

Competition for the 4th UK National Lottery Licence

  • The Gambling Commission

F25: Concession award notice

Notice reference: 2022/S 000-030746

Published 31 October 2022, 7:04pm



Section one: Contracting authority/entity

one.1) Name and addresses

The Gambling Commission

Victoria Square House

Birmingham

B2 4BP

Contact

Safraj Ismail

Email

4nlcengagement@gamblingcommission.gov.uk

Country

United Kingdom

NUTS code

UKG31 - Birmingham

Internet address(es)

Main address

http://www.4nlc.com

one.4) Type of the contracting authority

Body governed by public law

one.5) Main activity

Recreation, culture and religion


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Competition for the 4th UK National Lottery Licence

two.1.2) Main CPV code

  • 92351100 - Lottery operating services

two.1.3) Type of contract

Services

two.1.4) Short description

The Gambling Commission has concluded the process to award a licence to deliver the UK National Lottery. The current licence to operate the National Lottery expires in 2024 the 4th National Lottery Licence Competition was conducted to identify the operator of the next licence which will commence following the expiry of the 3rd Licence.

two.1.5) Estimated total value

Value excluding VAT: £7,834,932,296

Method used for calculating the estimated value of the concession

Market Sales forecast (less duty and prize payout) x Licensee % retention + Licensee estimated operational costs

two.1.6) Information about lots

This concession is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £7,834,932,296

two.2) Description

two.2.2) Additional CPV code(s)

  • 30198000 - Lottery machines
  • 37524800 - Lotto games
  • 37524810 - Lottery formulary
  • 66100000 - Banking and investment services
  • 72222300 - Information technology services

two.2.3) Place of performance

NUTS codes
  • UKG31 - Birmingham

two.2.4) Description of the procurement

The 4th National Lottery Licence is published on the Gambling Commission’s website (https://assets.ctfassets.net/j16ev64qyf6l/43P3uxx2rU4rysgaynLm6v/1c1a8426dcb68d9d784d5faf9b94eeed/Proposed_form_of_the_Fourth_National_Lottery_Licence_-_February_2024.pdf).

In FY 2021/22, total sales for the UK National Lottery reached GBP 8 090 700 000. In FY 2021/22 the retail channel accounted for 57.8% of ticket sales at GBP 4 676 425 000, with the digital channel (42.2%) growing by 0.2% to GBP 3 414 275 000. Over the 28 years the National Lottery has been in operation, this has added up to more than GBP 85 000 000 000 awarded in prizes and the creation of >6,500 millionaires.

two.2.5) Award criteria

Concession is awarded on the basis of the criteria described below:

  • Criterion: The Commission has awarded the Fourth Licence to the Proposed Licensee which proposed the highest credible and deliverable Good Causes Contribution for the Fourth Licence whilst first ensuring support for the Commission’s Statutory Duties of propriety and protecting Participants' interests

two.2.7) Duration of the concession

Duration in months

120

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


Section four. Procedure

four.1) Description

four.1.1) Form of procedure

Award procedure with prior publication of a concession notice

four.2) Administrative information

four.2.1) Previous publication concerning this procedure

Notice number: 2020/S 168-408296


Section five. Award of concession

A concession/lot is awarded: Yes

five.2) Award of concession

five.2.1) Date of concession award decision

15 September 2022

five.2.2) Information about tenders

Number of tenders received: 4

Number of tenders received from tenderers from other EU Member States: 2

Number of tenders received from tenderers from non-EU Member States: 2

Number of tenders received by electronic means: 4

The concession has been awarded to a group of economic operators: No

five.2.3) Name and address of the concessionaire

Allwyn Entertainment Ltd

1 Connaught Place, 5th floor

London

W22ET

Country

United Kingdom

NUTS code
  • UKI32 - Westminster
National registration number

13157556

The concessionaire is an SME

No

five.2.4) Information on value of concession and main financing terms (excluding VAT)

Initial estimated total value of the contract/lot/concession: £7,834,932,296

Total value of the concession/lot: £7,834,932,296


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

The Gambling Commission

Victoria Square House

Birmingham

B2 4BP

Email

4nlcengagement@gamblingcommission.gov.uk

Country

United Kingdom

Internet address

http://www.4nlc.com