CHAIR’S STATEMENT

CHAIR’S STATEMENT

Sir Keith Mills GBE DL

Chair’s Statement

Sir Keith Mills GBE DL

While I’ve only been Chair of Camelot since February 2023 – as a result of the company being acquired by the Allwyn group – I’m pleased to be able to report that National Lottery sales in 2022/23 hit the second highest annual sales total since The National Lottery’s launch, coming in at £8.19 billion.

Crucially, this meant that returns to Good Causes from ticket sales alone hit an all-time high of £1,807.0 million during the year. Including unclaimed prizes, a total of £1,877.3 million – or an average of £36 million every single week – was generated for Good Causes over the period.

This takes the total raised for National Lottery projects since 1994 to more than £47 billion, with more than 670,000 individual grants having been made across the UK – the equivalent of around 240 lottery grants in every UK postcode district. This means that the vast majority of people have benefited from National Lottery funding in some way, shape or form.

In the last 20 years, I have spent a lot of my time around sport. Bidding for and then organising the London 2012 Olympic and Paralympic Games, as well as organising the Invictus Games and the British America’s Cup team, have all given me a real insight into the power of sport to change lives. At a personal level, I have also set up a number of sport-related charities – so I know first-hand the incredible difference that National Lottery funding has made to sport, both at elite and grassroots levels, over the last 29 years.

During the year, this was brought to life with Birmingham hosting the Commonwealth Games, the largest multi-sport event to be held in England in a decade. The hugely successful Games were supported by over £40 million in National Lottery funding and featured thousands of world-class athletes, bringing in over 1.5 million spectators.

But perhaps even more powerful than that is the difference National Lottery funding makes to communities. Most of us are fully aware of the world-class arts, sports and heritage projects that have been made possible thanks to National Lottery players. However, with 70% of National Lottery grants being for £10,000 or less, it is giving small, grassroots community projects a real boost at a time when other sources of funding are being, or face being, cut.

This funding has been vital during the ongoing cost of living crisis – with an initial £75 million in funding being made available by The National Lottery Community Fund – and many existing National Lottery funding programmes being adapted or tailored to support those most affected by the soaring cost of essentials, such as food, housing and energy.

But there were most definitely moments to celebrate in 2022/23 too. Communities across the UK came together over the Platinum Jubilee weekend in June to celebrate the late Queen’s 70-year reign – with The Big Jubilee Lunch bringing millions of people together to enjoy food, drinks and togetherness with their friends, family and neighbours.

On behalf of the Board, I would like to thank the National Lottery distribution bodies, Camelot’s 43,000 retail partners and, most importantly of all, National Lottery players for the vital roles that they continue to play in this remarkable UK-wide success story.

Since being appointed Chair, I’ve been very impressed by the professionalism and dedication of Camelot colleagues. I’m in no doubt that everyone at Camelot remains totally committed to ensuring this fantastic legacy continues – with more exciting plans lined up for the year ahead to ensure that The National Lottery remains front of mind and brings people together at key national moments.

At the same time, I know how determined they are to continue delivering The National Lottery in a safe way, and supporting Allwyn UK on its transition plans to the fourth licence, from 1 February 2024.

Both Camelot and Allwyn UK colleagues are fully aware of the transformational effect that The National Lottery has had on the UK and of the huge responsibility that comes with being custodians of this national treasure. And this effect is felt far beyond the Good Causes it supports.

With millions of winners every week across its range of games – including an average of more than one new millionaire a day in 2022/23 – The National Lottery has now awarded over £90 billion in prize money and created more than 6,800 millionaires.

In addition, it has delivered £20.4 billion in Lottery Duty for the Treasury – money that has helped to fund public expenditure across the UK – and seen its 43,000 retail partners, many of which are small, independent shops, earn more than £7.7 billion in commission since 1994.

I am also particularly pleased to report that Camelot’s strong performance over the year has again been underpinned by its commitment to selling National Lottery products in a socially responsible way. I know from discussions that I’ve had with colleagues that the company’s strategy has always been to encourage lots of people to play a little – and the fact that The National Lottery is ranked just 66th in the world in terms of per capita spend, despite being the seventh largest lottery in the world by sales, underlines the effectiveness of its approach in this area.

In February 2023, a number of changes were made to Camelot’s Board as a result of the company’s acquisition by the Allwyn group. Board members who served in 2022/23 but who stepped down ahead of 31 March 2023 were: Sir Hugh Robertson KCMG PC DL (Chairman); Robert Walker (Deputy Chairman & Senior Independent Director); Nigel Railton (Executive Director); Jane Rowe and Nick Jansa (Shareholder-Nominated Non-Executive Directors); David Kelly and Gill Whitehead (Independent Non-Executive Directors); and Rob Rowley (Independent Non-Executive Director and Chair of the Audit, Risk and Security Committee).

In their place, we welcomed to the Board Lord Sebastian Coe (Independent Non-Executive Director); Amanda Horton-Mastin (Independent Non-Executive Director); Robert Chvátal (Shareholder-Nominated Non-Executive Director); Katarína Kohlmayer (Shareholder-Nominated Non-Executive Director); Kenneth Morton (Shareholder-Nominated Non-Executive Director); as well as Neil Brocklehurst (our new Co-Chief Executive Officer along with Clare Swindell). They all bring a wealth of knowledge, business acumen and experience, which will greatly benefit the work of the Board and add value to the business.

My sincere thanks must go to all of the outgoing Board members, who did an excellent job for Camelot over recent years. I must also recognise Camelot’s outgoing shareholder, Ontario Teachers’ Pension Plan, for its support and stewardship of the company’s successful operation of The National Lottery from 2010 until February this year.

Next year, Allwyn UK, working closely with Camelot, will start operating The National Lottery under the fourth licence. The Allwyn group – which already operates a number of European lotteries – shares a passion to protect, improve and grow The National Lottery, and preserve the enormous good that it does across the UK. By owning both Camelot and Allwyn UK, it will enable the smooth transition from the third to the fourth licence – enabling the successful delivery of The National Lottery both in 2023 and 2024, and for the next decade.

Finally, on behalf of the Board, I would like to thank the company’s Co-Chief Executive Officers, Clare Swindell and Neil Brocklehurst. Clare and Neil have also only been in post since February – having previously been Camelot’s Chief Financial Officer and Commercial Director respectively – and they’re doing a fantastic job of leading Camelot and its employees through this period of change, and at a time when consumer spending is under enormous pressure.

I’m also extremely grateful to Camelot’s management team and all employees for the commitment, professionalism and hard work that has underpinned this year’s performance. I look forward to working with them all, as well as my Board colleagues, in the coming year to build on this year’s achievements and ensure that The National Lottery continues to deliver for people, projects and communities across the UK.

Sir Keith Mills GBE DL
Chair (Independent)
22 June 2023

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