SCCG · Licensing

UK Gambling Commission Calls for Feedback on Proposed Ban of Third-Party Powerball Bets

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UK Gambling Commission Calls for Feedback on Proposed Ban of Third-Party Powerball Bets
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The UK Gambling Commission is consulting on a ban for licensed operators offering Powerball bets after Allwyn UK integrated the game into the National Lottery on 21 July. The proposal, citing Section 95 protections and the 2018 EuroMillions precedent, addresses consumer confusion and potential sales erosion, with responses due by 4 November.

SCCG Take — This targets a specific loophole to shield National Lottery revenues, requiring operators to submit revenue and consumer data that will directly influence the final licence condition.

The UK Gambling Commission is seeking feedback from lottery stakeholders and the public on a consultation to prohibit third-party operators from offering bets on Powerball draws in Great Britain. The government-led consultation launched on 23 September would bar entities licensed under the Gambling Act 2005 from providing such wagers, as first reported by Lottery Daily.

The move follows Allwyn UK’s addition of Powerball to the National Lottery on 21 July. Allwyn projects an additional £1bn for good causes over five years. Ministers contend that competing betting products risk reducing official ticket sales and creating uncertainty among customers about whether they hold a National Lottery entry.

Responses must arrive by 23:59 on 4 November. No implementation date has been set, leaving affected operators without clarity on timing until the Commission issues its determination.

Closing the Gap in National Lottery Protections

The consultation warns that allowing these bets is “contrary to the spirit and intention of Section 95”, the provision protecting National Lottery games from third-party betting. Current law does not fully reach Powerball because the underlying US draw falls outside the UK lottery framework. This permits licensed bookmakers to accept wagers on the outcome, with customers betting through an operator rather than buying an official ticket.

The Commission proposes a new licence condition under Section 78 of the Gambling Act to cover general betting operators, pool betting businesses, and betting intermediaries. The restriction targets Powerball alone; bets on other lotteries such as the Irish Lotto would remain permitted. Ministers reference the 2018 ban on betting related to overseas EuroMillions draws, which addressed similar overlaps with official games.

Shaping Policy Through Evidence

Prior evidence tied to the EuroMillions prohibition showed persistent consumer confusion despite disclosures and guidance. The government acknowledges uncertainty around the ban’s financial upside, lacking data on how many Powerball bettors would redirect spending to National Lottery tickets. Operators face requests to disclose the product’s revenue contribution, estimate withdrawal costs, and assess customer understanding of existing disclaimers.

Alternative steps such as voluntary measures, mandatory charitable contributions, or a broader lottery betting ban were considered but viewed as less effective or disproportionate. The consultation remains open to other approaches. Licensed operators hold a limited period to supply concrete market data that could shape whether the prohibition advances unchanged or in altered form.

Reporting: Lottery Daily

Generated by SCCG’s automated editorial system from published source reporting. SCCG Management holds editorial responsibility.

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