Report: UKGC Seeking Settlement to Northern & Shell Lawsuit

The UK Gambling Commission (UKGC) is seeking a settlement to a lawsuit by media mogul Richard Desmond’s Northern & Shell PLC, according to a report by The Telegraph. The news outlet added that the matter is said to be further discussed in the weeks to come.

Northern & Shell’s Challenge Stands

The legal challenge was initiated earlier this year in response to the regulator’s decision to crown Allwyn as the next National Lottery operator. Northern & Shell, which was among the bidders, implied that the procurement process in 2022 was controversial.

With these claims in mind, Desmond’s company sought £200 million in damages, claiming that the UKGC had mishandled the bidding process.

Northern & Shell’s claims are by no means unique and followed similar challenges by other bidders. While Camelot, the previous National Lottery custodian, and IGT, its tech provider, eventually decided to take a step back and bury the tomahawk, Northern & Shell continued to insist that the bidding hurt its business two years later.  

Allwyn’s Suitability Questioned

Because of the continued challenges, the lottery’s transition to Allwyn has been bumpy and so has the Czech company’s plan to overhaul the lottery and upgrade its tech aspect. As a result, the incumbent National Lottery license holder missed its target deadline several times fueling Northern & Shell’s insistence that its Czech competitor is inexperienced.

This exact claim made it to the lawsuit, empowering the claim that Allwyn isn’t a suitable successor to Camelot.

Yet, when The Telegraph consulted the matter with tech experts, they were willing to cut Allwyn some slack, arguing that the integration between two incompatible systems is no small task.

In any case, Allwyn’s operation as the new National Lottery operator continues to be marred by controversy as the company has so far struggled to prove that it would be able to fulfill its promise to double the lottery’s contributions to good causes.

Marcus Boyle to Step Down as Chair

In other news, the UK Gambling Commission just announced that Marcus Boyle will be stepping down as chair.

Boyle has led the regulator for the past three years, allowing it to reach important milestones, including the controversial National Lottery license bidding. He also played a key role in the implementation of the white paper and the recruitment of a new Board of Commissioners.

Marcus will officially exit the regulatory body on January 31, 2025, the date on which his current term will expire.

Baroness Twycross, the current Minister for Gambling, thanked Boyle for his hard work and wished him the best in his future endeavors.