Lotteries Regulation

Lord Watson of Wyre Forest Excerpts

Tuesday 16th July 2019 Commons Chamber

[Tom Watson (West Bromwich East) (Lab)]

I thank the Minister for her statement. I appreciate the prudent approach that she has taken to the issue. As she knows, I wrote to the previous Secretary of State last summer to raise my concern that society lotteries had been waiting for six years for the result of a review into their regulation. More than a year on, it is now a full seven years that the sector has been waiting for an answer from the Government. The delay in making that decision has left society lotteries facing an increasing uncertainty, unable to make substantial plans for the future.

Society lotteries achieve a lot of good for our country, as does the national lottery. They raise hundreds of millions of pounds a year for good causes, funding charities as varied as Barnardo’s, the Stroke Association, Friends of the Earth and Battersea Dogs and Cats Home, as well as many others. Major benefits of society lotteries include their flexibility and predictability, which charities tell me is exceptionally useful because it allows them to prioritise funds where they will have most impact.

The Minister is right that transparency must be paramount, and we agree with her about the importance of openness on what the costs of this fundraising process are and where the money goes. People who take part in the lotteries need to know that they are not just taking a punt but getting value for money.

I understand the feeling that sometimes there is a conflict of interest between society lotteries and the national lottery, and I agree with the Government’s stated aim to

“achieve a balance between enabling the sustainable growth of society lotteries on the one hand while also protecting the unique position of the UK-wide National Lottery”.

The Minister mentioned Mystic Meg. If she was Mystic Mims, what would she say the impact of the changes will be on the fundraising for good causes that the national lottery provides to the arts, culture, heritage and sport? When will the new regulations come into force?

The second issue is the age limit on national lottery products. There are 450,000 children gambling every week in our country; the number has quadrupled in recent years. For many young people, scratchcards are a gateway to gambling from the age of 16. We do not think that is right, particularly when we are struggling with an epidemic of gambling addiction across the country. Gambling is fun, but it can also be dangerous when it is poorly regulated or gets out of control for an individual. In my view, and in that of the Labour party, there is absolutely no need for a consultation on this issue.

The Minister’s predecessor, the hon. Member for Chatham and Aylesford (Tracey Crouch), announced last year that she would gather evidence on the topic. It is our strong view—I am sure Members across the House will agree—that we already have all the evidence we need. Those who gamble should be adults, so the minimum age for all gambling products should be 18. It is as simple as that.

[Mims Davies]

I thank the hon. Gentleman for his welcome. I believe that this is a prudent approach. I have been very mindful that, as the Secretary of State and I as well as many other Members have found, people are fed up with waiting and want to know what the lottery landscape looks like. As Mystic Mims, I would say that this sets the landscape appropriately for protecting the national lottery and all the good that it does: it keeps the £1 million prize and the jackpot for the national lottery, but allows society lotteries that support causes such as our air ambulances, which are bumping along at the top of the headroom of the money they are able give to local causes, to be able to raise more money and support our local communities. That is the right approach.

On the minimum age issue, the hon. Gentleman will know that I cannot say any more ahead of the consultation. I seek the views of those in this Chamber and across the sector. The current licence period has seen a range of technological developments, which have changed the way that we play the national lottery, and it has also seen gambling behaviours change. We are therefore right to consider how the licence might look. It is right to consider whether it is appropriate to sell all national lottery games to those under 18 as part of future proofing it for the duration of the next licence.

On the timetable, I hope that we would lay the changes in autumn in order to see a move in 2020.