National Lottery

Part of the debate – in the House of Commons at 4:20 pm on 25 October 1995.

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Photo of Mrs Virginia Bottomley Mrs Virginia Bottomley Secretary of State for National Heritage 4:20, 25 October 1995

I am grateful to hear about the hon. Gentleman's domestic experience. When I review the working of the lottery, I will bear in mind his experiences and those of his wife before deciding on any modifications in the rules or arrangements.

The substance of the Opposition's gripe is their utter loathing of the private sector and outrage that the operator, Camelot, could have the nerve to make a profit out of running the most successful lottery anywhere in the world. The House and the hon. Member for Newham, North-West (Mr. Banks) might well benefit from hearing about the issues involved in deciding the operator.

In 1991, the Opposition said that they favoured a national lottery for the arts—they did not mention all the other good causes that have benefited. Of course, they wanted an inquiry—that goes without saying for an Opposition policy—to find out how that could be achieved with the lowest possible cost. We have the lottery with the lowest possible cost. That is what the Director General of the National Lottery was charged to do when considering the bids for the licence.

The recent report from the director general states that the Camelot bid offered the greatest contribution to the Good Causes … and retained the lowest percentage of turnover to cover its operating costs and profits". The report continues: More would have been kept by The Lottery Foundation … for operating costs and profit than Camelot proposed over the same range of revenue scenarios". So, in awarding the licence to Camelot, the director general chose the best deal for the good causes from the eight bids to run the lottery.

If that were not enough, the National Audit Office confirmed that the evaluation process was comprehensive, consistent, logical and properly controlled"℄ praise indeed from the NAO.

The operator has fully justified that decision. Camelot got the lottery up and running within six months of winning the licence—an achievement for which it should be congratulated. It has raised more than £1,119 million for good causes. Its bid had the lowest retention for operating costs and profits and was the best for good causes, which have benefited to the fullest extent. It is predictable that the Opposition would prefer an operating bid that would cut the cash for good causes but satisfy their ideological hostility to profit and the private sector. That is new Labour.