Northern & Shell, a British publishing group and operator of the Health Lottery, is taking legal action against the Gambling Commission for allegedly mishandling the National Lottery licence competition. The company, owned by media mogul Richard Desmond, had its bid to take over the UK Lottery rejected, leading to a lawsuit being filed.

The New Lottery Company, a subsidiary of Northern & Shell, will be presenting its case to the Technology and Construction Court (TCC) in a procurement lawsuit. The Case Management Conference for this matter is scheduled for Wednesday 5 June at 10:30AM.

The dispute stems from the selection process of the 2022 procurement process conducted by the Gambling Commission for the UK National Lottery. Despite Camelot Group operating the lottery since 1994, the bid was won by Czech gambling organization Allwyn in February. This decision prompted legal challenges, including one from Camelot which was later withdrawn.

The contract for the UK National Lottery is a lucrative 10-year deal valued at £6.5bn ($8.32bn). Northern & Shell is invoking EU law in seeking damages for their claim against the Gambling Commission.

In other news, the Gambling Commission has reported a 5% growth in Gross Gambling Yield (GGY) and has introduced new regulations to protect players from gambling harm. These rules, developed in collaboration with the Betting and Gaming Council, will be mandatory for all UK gambling companies.

However, concerns have been raised about the potential financial impact of the legal case on the Gambling Commission’s ability to allocate funds to important initiatives. This ongoing dispute adds a layer of complexity to the gambling industry landscape, with stakeholders closely monitoring the developments.