Select Committee on Culture, Media and Sport Memoranda


Memorandum submitted by Intelligent Gaming Solutions

  I am writing to offer myself as a witness for your forthcoming inquiry into the Government Report "A safe bet for success—modernising Britain's gambling laws". I would welcome the opportunity to give oral evidence at this inquiry, particularly in relation to society lotteries and the National Lottery, in an effort to give an insight into the lotteries sector from a non-UK perspective.

  I represent Intelligent Gaming Solutions (IGS), a company that specialises in providing interactive television lottery programmes for not-for-profit organisations in Sweden and elsewhere. These organisations, (predominantly charities), primarily raise money through the sale of lottery tickets, which are their main source of sustainable revenue.

  IGS is very interested in working with UK charities to launch a similar venture in the UK, enabling them to develop their own source of sustainable revenue. Perhaps I should clarify at this point that what we offer is a very different concept to that of the National Lottery.

  Our experience in Sweden and abroad demonstrates that our activities have not impinged upon those of the incumbent national lottery, but have in fact had the opposite effect: increasing the turnover of the main national lottery. We offer a family oriented game show where prizes are smaller and more numerous than those of a typical national lottery. However, we do offer life-changing prizes, which are won a limited number of times during the year.

  Given the current restrictions on prize money and turnover for society lotteries, we are unable to introduce a similar concept in the UK. I understand the Government's intention is purely to double these limits as there is a real concern over the potential effects on the National Lottery. It is also my understanding that these effects are something the inquiry intends to look at in more detail. Given my experience in this sector in Sweden, I would willingly provide the Select Committee with what I trust would prove a valuable insight, particularly on the potential effects of introducing positive competition into the lottery market, and, in particular, on raising the 'cap' on society lotteries.

  I would be further interested in providing evidence which suggests that a society lottery of this kind has been good for the National Lottery and the Swedish economy, and that there is every likelihood that it would have the same effect in the UK.

  I am attaching a briefing note on the work that we do in Sweden [not printed], including data showing the Swedish national lottery's performance since IGS began operating there. You will note that last year it posted record sales as a result of the introduction of healthy competition.

  Please do not hesitate to contact me for further details should you so require. Finally, I very much look forward to having the opportunity of presenting my information to you.

18 April 2002

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