Canadian Owned UK Lottery Operator Wants to Expand
Camelot, operator of the UK national lottery, has said that it wants to expand its products in the United Kingdom.
The group is owned by the Ontario Teachers' Pension Plan and makes a sizeable contribution to members' incomes.
Camelot said that it wants to install thousands of new lottery terminals in rural areas across the UK. The expansion will include around 8,000 lottery outlet terminals which will sell tickets and scratch cards.
Camelot currently has a license to operate the lottery until the end of 2019, and has asked regulators to grant it an early extension to the 10 year license in order to expand the lottery terminals.
"Because our profit margins are so low, we can only make such a large investment in our retail estate and still deliver a return on investment if the National Lottery Commission grants Camelot a five year extension to its existing license," said the chief of Camelot, Dianne Thompson.
Camelot has a clause in its license agreement that allows it to request a five year extension in return for a "licensee investment" which essentially enhances contributions to good causes in the UK.
The Gambling Commission would not allow Camelot to use the terminals to pay for bills or provide mobile phone top ups after it made a request earlier this year.
Commission: Due Consideration
The UK Gambling Commission said that it would give the request due consideration.
"We will reach a decision following a thorough consideration of whether the proposal is in the best long term interests of the National Lottery and the thousands of good causes all around that country that benefit from National Lottery funding," said the group's Chief Executive, Mark Harris.
Camelot was purchased by the Ontario Teachers Pension Plan last year for £389 million, and the intended expansion is the first major investment by this group since the takeover.
