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Consultation on proposal to use National Lottery infrastructure to offer commercial services
The Commission received an application from Camelot to offer commercial services such as mobile phone top-ups, electronic bill payments and other similar services through National Lottery terminals.
We consulted with interested parties in order to identify any European or competition law considerations which we should take into account when reaching our decision on whether to give our consent to the proposal. The consultation closed on Monday 26 April 2010.
Our provisional decision is not to give consent to the proposal as there is a significant risk of the proposal breaching EU/Competition law. A full explanation of the reason for our decision is set out in our Commercial Services – Statement of Reasons which is available to download from the left-hand side of this page. In order to be fair to all parties we are giving the opportunity for them to make any final representations they wish to on our provisional decision.
Camelot has made a representation to the Commission on our provisional decision. This proposes remedies to the concerns the Commission has as to the legality of the proposals under Competition and EU law and is available to download from the left-hand side of this page. In light of this additional information provided to consultees the Commission has extended the closing date for receipt of representations to the Provisional Decision to 5.00pm on Friday 17 September 2010.
Update: 30 July 2010
Following the provisional decision of the Commission announced on 16 July 2010, we have published the following documents in order to assist consultees in responding to the Provisional Decision:
- Responses to the Consultation and some further correspondence received from consultees; which are available from the table below.
- Two papers prepared for the Commission by NERA, the economic consultants, dated 29 March 2010 and 2 July 2010 which you can download from the left-hand side of this page.
*Added to this page Monday 2 August 2010
**Added to this page Tuesday 3 August 2010. These responses were received after the original consultation closing date.
Update: 16 July 2010
We have reached a provisional decision not to give consent to the proposal as there is a significant risk of it breaching EU/Competition law. A full explanation of the reason for our decision is set out in our Statement of Reasons which is available to download from the left-hand side of this page. In order to be fair to all parties we are giving the opportunity for them to make any final representations they wish to on our provisional decision by 3 September 2010.
Update: 13 July 2010
The Commission is mindful of the fact that its decision in respect of Camelot’s proposal to provide Commercial Services might constitute inside information in relation to listed securities and also recognises the broader UK market abuse and insider dealing regimes.
Insofar as the Commission takes the view that it is practical to do so, its current intention is that its decision will be publicly announced through a Regulatory Information Services provider at 7am on Friday 16 July 2010, prior to the opening of the London securities market.
Should there be any change to the arrangements set out above, the Commission will endeavour to communicate any revised arrangements as soon as is practicable.
Update: 1 June 2010
The Commission presently expects that it will be in a position to make and publish its decision on Camelots commercial services proposals before the end of July.
Update: 17 May 2010
Following a request from Camelot Group plc, the Commission has granted consent, under Condition 6.3 of the Third National Lottery Licence, to run a series of technical tests in relation to Camelot’s proposed Commercial Services infrastructure. In the interests of transparency, the Commission is publishing details of this consent. Our statement is available to download from the left-hand side of this page.
Update: 12 April 2010
The Co-operative Bank and Camelot Group plc have asked the Commission to the draw the following clarification to the attention of consultees: Camelot Commercial Services Overview – The Co-operative Bank clarification.
Update: 8 April 2010
Subsequent to the production of the Commercial Services Overview document dated 15 February 2010, the National Lottery Commission has received certain additional information from Camelot which the Commission believes it is appropriate to share with consultees.
This information comprises:
- An update note for consultees – this contains information regarding the costs to be covered by projected revenue arising from individual contracts with service providers and clarifies/updates the position in respect of revenues and costs for each individual service line.
- Updated graphs – this contains slightly revised versions of the graphs on page 7 of the Camelot Commercial Services Paper, which reflect certain updates to Camelot’s cost and revenue projections.
Camelot Commercial Services Paper – Post Office clarification 8 April 2010.
In these circumstances, the Commission considers it appropriate to extend the closing date for receipt of responses to the consultation by 14 days, to 5pm on Monday 26 April 2010.
Update: 15 March 2010
The Commission has published a document which explains the approach that we are taking in our assessment of Camelot’s proposals. You can download this document from the left hand-side of this page.
Update: 24 February 2010
Camelot has asked the Commission to provide to consultees a note of clarification to their paper which was attached to the Commission’s consultation document. You can download the clarification from the left hand side of this page.
Related downloads
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Camelot's proposal following Provisional Decision
Representation to the Commission.
(pdf - 1.423mb)
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NERA paper 29 March 2010
A report by NERA on Commercial Services
(pdf - 389kb)
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Nera paper, 2 July 2010
A report by Nera on Commercial Services
(pdf - 591kb)
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Commercial Services - Statement of Reasons
Commercial Services – Statement of Reasons
(pdf - 59kb)
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Camelot Commercial Services Paper
Camelot has prepared this paper which sets out their proposal in detail.
(pdf - 342kb)
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Consultation document
The Commission’s consultation document on Camelot’s proposal to offer Commercial Services.
(pdf - 45kb)
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Commission assessment of Commercial Services proposals - additional information
Additional information on the Commission’s approach to assessment of Camelot’s Commercial Services proposals.
(pdf - 217kb)
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Update note for consultees 8 April 2010
A note containing information regarding the costs to be covered by projected revenue arising from individual contracts with service providers and clarifies/updates the position in respect of revenues and costs for each individual service line.
(pdf - 60kb)
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Updated graphs 8 April 2010
Slightly revised versions of the graphs on page 7 of the Camelot Commercial Services Paper, which reflect certain updates to Camelot’s cost and revenue projections.
(pdf - 12kb)
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Camelot Commercial Services overview - Post office clarification
A clarification on the Commercial Services Overview paper, 8 April 2010.
(pdf - 5kb)
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Camelot Commercial Services overview - The Cooperative Bank clarification
A clarification on the Commercial Services Overview paper, 12 April 2010.
(pdf - 47kb)
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Commission statement on technical testing May 2010
Commission statement on technical testing May 2010
(pdf - 104kb)