Date of Publication: April 17, 2026, 09:29h.
Last Modified: April 17, 2026, 09:29h.
- High Court dismisses Desmond’s £1.3bn National Lottery lawsuit
- Judge condemns “unacceptable” mistakes and inconsistent legal arguments
- Allwyn’s license reaffirmed as valid despite Desmond’s objections
A judge from London’s High Court has rejected media mogul Richard Desmond’s £1.3 billion (approximately US$1.77 billion) damages lawsuit against the UK Gambling Commission (UKGC).
The 74-year-old billionaire initiated legal action in 2022, claiming that the UKGC’s choice to assign the National Lottery contract to Allwyn was tainted by “clear errors.”
He contended that the UKGC provided Allwyn with improper feedback, altered the terms of the contest post facto, and neglected to reschedule the bidding when changes were made. The UKGC denied these claims and described the bidding process as “fair and thorough.”
“Unacceptable Mistakes”
Desmond claimed to have invested £17.5 million (around US$24 million) in his unsuccessful bid, named “The New Lottery,” seeking compensation of up to £1.3 billion for lost potential profits.
The National Lottery license represents one of the UK’s most significant public contracts, valued at approximately £80 billion (about US$109 billion) over the next decade. If Desmond had succeeded, any awarded damages would have been sourced from the National Lottery fund intended for charitable purposes.
In her verdict on Friday, Mrs. Justice Smith critiqued the plaintiff’s case as inconsistent and poorly managed, noting “unacceptable” mistakes that resulted in “substantial time wasted by other parties dealing with issues that were later dropped.”
“The plaintiffs have not established any case of clear error by the commission in their claims regarding the process,” she stated, adding that they also failed to demonstrate that either Camelot, the previous licensee, or Allwyn should have been disqualified from the bidding war.
The process “culminated in a lawful conclusion,” she affirmed.
Settlement Declined
Desmond rejected a settlement proposition from the UKGC in December 2024, reportedly valued at up to £10 million (around US$14 million), according to The Guardian.
The regulator aimed for a settlement to mitigate further delays in the handover of lottery operations from Camelot to Allwyn. The ongoing legal dispute was obstructing the transition, thereby impacting funds allocated for charitable and community initiatives, as noted by the UKGC.
Desmond is the founder of OK! Magazine and has previously owned The Daily Express newspaper and the UK’s Channel 5 TV network, along with various adult titles including Asian Babes magazine.
He stated through a representative that he intends to appeal the ruling. “They prevailed. We did not. We will appeal. This is not the end,” the spokesperson stated.