Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment his Department has made of the correlation between playing National Lottery (a) online instant win games and (b) scratch cards and the risk of gambling-related harm.
Answered by John Whittingdale
As the independent regulator of the National Lottery, the Gambling Commission has a statutory responsibility to ensure that the interests of all National Lottery players are protected and that the National Lottery is run with all due propriety. Under the terms of the current National Lottery Licence the operator is required to implement player protection strategies to prevent underage and excessive play, which must be approved by the Gambling Commission.
In addition, the Gambling Commission conducts regular, detailed monitoring to identify risks to players, and where appropriate, undertakes strategic reviews of areas of the portfolio which are identified as higher (but not necessarily high) risk. Where evidence does emerge of an increased risk of problem play on National Lottery products, the Gambling Commission is quick to take action. In July 2020, the Gambling Commission removed all National Lottery Online Instant Win Games at the £10 price point, following the emergence of evidence showing an association between them and some problem gambling behaviours.
The Gambling Commission and the operator have been closely monitoring the developing trends during Covid-19. Data published by the Gambling Commission in February 2021, shows that online participation for National Lottery draws in the past four weeks, was 13.1% in the year to December 2020, up from 10.5% in the year to December 2019. Analysis indicates that the risk profile of online players has not increased over recent months. This continues to be kept under review.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment his Department has made of the correlation between playing National Lottery games and gambling-related harm for (a) women, (b) men and (c) people under the age of 21.
Answered by John Whittingdale
Evidence from the 2018 Health Survey for England showed that National Lottery games are associated with the lowest levels of problem gambling across all gambling products. Problem gambling rates for National Lottery draw-based games were 0.9% while the figure for Scratchcards was 1.4%. By comparison, the problem gambling rates for other activities covered by the survey ranged from 2.7% to 12.7%.
The attached table shows levels of problem gambling broken down by women, men and 16-19 year olds.
The Health survey does not provide data at a category level for Online Instant Win Games, and does not break down levels of problem gambling by activity and demographic group.
The government recently legislated to increase the minimum age to purchase and sell all National Lottery products from 16 to 18. We are working with the current operator, Camelot, and the Gambling Commission to ensure a smooth implementation, acting sooner where possible. Camelot has already announced plans to increase the online age limit in April 2021 and also anticipates being able to introduce the change in retail premises in good time before the legislation takes effect in October 2021.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment his Department has made of the correlation between the profitability of the National Lottery and the amount that organisation returns to good causes.
Answered by John Whittingdale
Annual good cause income has generally increased since the National Lottery began in 1994, although there have been fluctuations year on year during that period. DCMS reports annually on the level of good cause income in the National Lottery Distribution Fund Annual Report and Accounts.
The Government and the Gambling Commission share a statutory duty to maximise returns to good causes, subject to ensuring that the National Lottery is run with all due propriety and that the interests of players are protected. In fulfilling its statutory objectives, following a competitive bidding process, the Gambling Commission issues a licence, which sets out the basis for allocating funds to good causes and profit to the operator.
The Gambling Commission is currently running the competition to award the fourth licence to operate the National Lottery. As with the current licence, the fourth licence will require the operator to maximise good cause returns, and the alignment between good causes and operator profit reinforces this.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment his Department has made of trends in the level of return to good causes since the National Lottery was established in 1994.
Answered by John Whittingdale
Annual good cause income has generally increased since the National Lottery began in 1994, although there have been fluctuations year on year during that period. DCMS reports annually on the level of good cause income in the National Lottery Distribution Fund Annual Report and Accounts.
The Government and the Gambling Commission share a statutory duty to maximise returns to good causes, subject to ensuring that the National Lottery is run with all due propriety and that the interests of players are protected. In fulfilling its statutory objectives, following a competitive bidding process, the Gambling Commission issues a licence, which sets out the basis for allocating funds to good causes and profit to the operator.
The Gambling Commission is currently running the competition to award the fourth licence to operate the National Lottery. As with the current licence, the fourth licence will require the operator to maximise good cause returns, and the alignment between good causes and operator profit reinforces this.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment his Department has made of the level of National Lottery participation rates over the third licence period.
Answered by John Whittingdale
The Third National Lottery licence started in February 2009. Data collected by the Gambling Commission shows the percentage of regular National Lottery draw-based game players, aged 16+ in Great Britain, since 2012. This data does not include instant win games (Scratchcards or Online Instant Win Games), sales of which have increased since the licence began.
Year | Past 4 week gambling participation (National Lottery Draw-Based Games) |
Year to December 2012 | 46.1% |
Year to December 2013 | 43.4% |
Year to December 2014 | 37.4% |
Year to December 2015 | 32.3% |
Year to December 2016 | 30% |
Year to December 2017 | 27.3% |
Year to December 2018 | 27.6% |
Year to December 2019 | 29.6% |
Year to December 2020 | 27.3% |
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what steps his Department plans to take with the Gambling Commission to ensure that the successful fourth National Lottery competition bidder delivers on undertakings made during the bid process.
Answered by John Whittingdale
The Gambling Commission is responsible for designing the fourth National Lottery Licence, running the competition, selecting the winning application, and managing the operator in-licence.
DCMS and the Gambling Commission share three statutory duties: to ensure that the National Lottery is run with all due propriety, to protect players’ interests, and - subject to those - to maximise returns to good causes. It is upon these duties that the Commission has designed the evaluation criteria for the Fourth Licence competition. Applicants are free to innovate within the legal framework. The next licence will give the operator greater autonomy to make strategic decisions, providing the licensee with the flexibility to innovate while ensuring they meet high standards of player protection and propriety.
The winning applicant will be required to sign a number of agreements with the Gambling Commission to ensure that they deliver on the proposals in their bid.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment his Department has made of the adequacy of the criteria in place to ensure the Fourth National Lottery Licence competition provides opportunities for innovation and creativity.
Answered by John Whittingdale
The Gambling Commission is responsible for designing the fourth National Lottery Licence, running the competition, selecting the winning application, and managing the operator in-licence.
DCMS and the Gambling Commission share three statutory duties: to ensure that the National Lottery is run with all due propriety, to protect players’ interests, and - subject to those - to maximise returns to good causes. It is upon these duties that the Commission has designed the evaluation criteria for the Fourth Licence competition. Applicants are free to innovate within the legal framework. The next licence will give the operator greater autonomy to make strategic decisions, providing the licensee with the flexibility to innovate while ensuring they meet high standards of player protection and propriety.
The winning applicant will be required to sign a number of agreements with the Gambling Commission to ensure that they deliver on the proposals in their bid.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment he has made of whether the National Lottery is a potential entry point into problem gambling and gambling related harm for vulnerable people.
Answered by John Whittingdale
Problem gambling is a complex issue and there are multiple and varied factors which contribute to its development in individuals, even within demographic groups. The government launched its Review of the Gambling Act 2005 on 8 December with the publication of a Call for Evidence. The Review will be wide-ranging and evidence led and aims to make sure we have the right protections in place to make gambling safer for all.
While all forms of gambling carry risk, the National Lottery is associated with the lowest rates of problem gambling of all products. Evidence from the 2018 Health Survey for England showed that problem gambling rates for National Lottery draw-based games were 0.9% while the figure for Scratchcards was 1.4%.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what assessment his Department has made of the leading routes into problem gambling for (a) women, (b) men, (c) people under the age of 30 and (d) people over the age of 30.
Answered by John Whittingdale
Problem gambling is a complex issue and there are multiple and varied factors which contribute to its development in individuals, even within demographic groups. The government launched its Review of the Gambling Act 2005 on 8 December with the publication of a Call for Evidence. The Review will be wide-ranging and evidence led and aims to make sure we have the right protections in place to make gambling safer for all.
While all forms of gambling carry risk, the National Lottery is associated with the lowest rates of problem gambling of all products. Evidence from the 2018 Health Survey for England showed that problem gambling rates for National Lottery draw-based games were 0.9% while the figure for Scratchcards was 1.4%.
Asked by: Richard Holden (Conservative - North West Durham)
Question to the Department for Digital, Culture, Media & Sport:
To ask the Secretary of State for Digital, Culture, Media and Sport, what his policy is on overseas gambling operators using white label licensing arrangements to market gambling products to overseas jurisdictions where such activity is illegal.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
All gambling companies providing gambling facilities to consumers in Great Britain, wherever they are based, must be licensed by the Gambling Commission and comply with the conditions and codes of practice of their operating licences. Operators who provide services marketed under a different brand as part of a ‘white label’ agreement are held accountable for the actions of their commercial partners, and are expected to carry out all necessary due diligence to satisfy themselves that the relationship will not compromise their own regulatory compliance. Further detail about the Gambling Commission’s compliance and enforcement work in this area can be found in the relevant section of its Compliance and Enforcement Report for 2019 to 2020 and its Reminder to licensees regarding white label gambling websites. These can be accessed at: https://beta.gamblingcommission.gov.uk/strategy/raising-standards-for-consumers-compliance-and-enforcement-report-2019-20/white-label-partnerships
Licensed gambling operators and their white label partners are entitled to enter into commercial arrangements with sporting bodies, as long as any sponsorship activities are carried out in a socially responsible way. The Commission expects licensees to ensure that all parties are aware of, and compliant with, the relevant advertising and sponsorship rules and regulations. The government and the Gambling Commission do not hold information on exposure to gambling advertising and marketing in other jurisdictions.
The government launched its Review of the Gambling Act 2005 on 8 December with the publication of a Call for Evidence. As part of the wide scope of that Review, we have called for evidence on whether white label agreements pose a risk to consumers in Great Britain, and on the impact of gambling sponsorship arrangements across sport, esport and other areas.