High Court Judge Dismisses Richard Desmond's Billion-Pound Lottery License Challenge
Media tycoon Richard Desmond has suffered a decisive legal defeat in his £1.3 billion lawsuit against the Gambling Commission concerning the 2022 National Lottery license. The High Court has thrown out the case, ruling that the license was properly awarded to Czech gambling group Allwyn.
The Legal Battle and Allegations
Desmond's group, Northern and Shell, along with its subsidiary the New Lottery Company, initiated the massive legal action after the Gambling Commission selected Allwyn for the next National Lottery license. This procurement process had already sparked multiple litigations against the regulator, including one from previous holder Camelot that was later withdrawn.
The lawsuit, which began at the High Court last October, saw Desmond's legal team at BCLP alleging several regulatory breaches by the Commission. Meanwhile, the Commission's lawyers at Hogan Lovells argued that the New Lottery Company had failed to meet mandatory application standards.
The Judge's Comprehensive Ruling
In a detailed 500-page judgment delivered on Friday, Mrs Justice Joanna Smith dismissed all remaining claims against the Commission. The judge found that Northern & Shell had been properly disqualified from the competition for "failing over half" of the 23 different mandatory requirements necessary for bid consideration.
Furthermore, the judgment revealed an "enormous gap" of over 30 percent in scores between Desmond's bid and Allwyn's winning proposal. The judge concluded that the license had therefore been fairly and properly awarded by the Commission to Allwyn.
Damages Claim Deemed "Fanciful"
Addressing Desmond's group's substantial £1.3 billion damages claim, the judge held that they had suffered no loss. She stated it was "fanciful to suppose that TNLC would have won" any competition against Allwyn, which she described as the "world leader in conducting lotteries."
A hearing on costs and other consequential issues has now been scheduled for Friday, 22 May 2026.
Industry Reaction and Future Implications
Commenting on the ruling, Quinn Emanuel partner Dominic Roughton, representing third-party Allwyn, said: "Mrs Justice Joanna Smith's judgment is a resounding victory and a complete vindication of Allwyn. Allwyn can now focus on delivering their bid and vision for the National Lottery, free of the distraction and disruption that 4 years of litigation have brought."
This decision brings closure to one of the most significant legal challenges in recent gambling industry history and allows Allwyn to proceed with implementing their National Lottery plans without further legal obstacles.
