UKGC’s £200m settlement offer sparks outrage over charity fund drain
The UK Gambling Commission (UKGC) faces a £200m payout to settle a lawsuit filed by ex-porn baron Richard Desmond over the National Lottery contract. The UKGC's legal costs have soared, drawing criticism for diverting funds from charities and community projects.
In December 2022, the UKGC offered to pay £200m to settle Desmond's lawsuit. The case, set for trial in October, revolves around the awarding of the National Lottery contract to Allwyn. Desmond argues that funds earmarked for good causes should be recovered from the current operator.
The UKGC's legal costs have skyrocketed this year. In 2022, litigation costs stood at £400,000. However, this year, they have risen to £13.4m, with lottery-related costs increasing by £14.4m. Critics argue that these rising costs are draining funds meant for charitable causes and community projects. In May 2023, a judge allowed Desmond's team to use over 4,000 sensitive documents mistakenly sent to them by the UKGC, potentially bolstering their case.
The UKGC's legal costs have significantly increased, with Desmond's lawsuit contributing to a £13.4m rise. The settlement offer of £200m, if accepted, would be a substantial payout. The trial, set for October, will determine the final outcome and potential impact on funds for charities and community projects.
