TIMELINE

• April 2012: Minister Howlin announces Government Decision to hold a competition for next National Lottery licence involving an upfront payment to the State.
• July 2012: Heads of new National Lottery Bill are approved by Government.
• October 2012: Davy Corporate Finance are appointed as financial and commercial advisers to the Department, following a tendering process.
• December 2012: National Lottery Bill is published
• January to May 2013: National Lottery Bill passes through the Oireachtas and is signed into law by the President in May 2013.
• 8 May 2013: Minister announces that Expressions of Interest in the competitive process are being sought.
• 30 May 2013: Minister announces the launch of the full Competitive Process.
• 3 October 2013: Minister announces that Premier Lotteries Ireland Limited has been selected as the Preferred Applicant 14 February: Lottery staff vote to accept Labour Court Recommendation
• 27 February 2014: Minister grants Lottery licence to Premier Lotteries Ireland

Minister Howlin grants National Lottery Licence to Premier Lotteries Ireland – bringing New Children’s Hospital closer
DUBLIN, Ireland (February 27, 2014) -- The Minister for Public Expenditure and Reform, Mr Brendan Howlin TD, announced today that he has granted the next licence to operate the National Lottery to Premier Lotteries Ireland, a consortium comprising Ontario Teachers’ Pension Plan (the owner of the Camelot Group), An Post and An Post pension funds.
Speaking today, Minister Howlin reflected, “Almost two years ago, I brought a proposal to Government that I strongly believed could yield significant revenues. Today, I am pleased to say that I have delivered on that proposal – half of the €405 million achieved for the transaction will now be paid. As I announced during Budget 2014, these monies are earmarked for a number of job-rich projects including the Wild Atlantic Way, the 1916 Commemoration and the National Sports Campus. In nine months, the second installment of €202.5million will be delivered, bringing the construction of the New Children’s Hospital closer.”
The award of the licence follows a competition which took place between May and October 2013. On 3 October 2013, Minister Howlin announced that Premier Lotteries Ireland had been selected as the Preferred Applicant as it had met the essential requirements provided for under the terms of the competition and had submitted the highest Licence Fee proposal which was €405 million. Discussions on finalising the terms of the licence then took place between the Department of Public Expenditure and Reform and the Preferred Applicant. These discussions recently concluded. Premier Lotteries are due to take over the operation of the National Lottery within a year.
Premier Lotteries Ireland draws on the extensive experience of An Post, the parent company of the An Post Irish National Lottery Company, operator of the Irish National Lottery since 1987 and Camelot Group, operator of the UK National Lottery since 1994.
At the signing of the licence Minister Howlin said “I am very pleased with the outcome of this process. We have a new operator that brings together valuable domestic experience together with international expertise. I believe Premier Lotteries will grow the business in a responsible manner and I look forward to a greater annual revenue stream for Good Causes.”
Under the next licence, the ongoing annual contribution to Good Causes will be set at 65% of Gross Gaming Revenues, which are defined as Sales minus Prizes. Current arrangements for retailer commission will be maintained.
Staff of the current operator of the National Lottery, An Post National Lottery Company (APNLC), will transfer to Premier Lotteries Ireland under their existing terms and conditions in accordance with legal protections that arise in transfer situations.
In addition Minister Howlin stated, “This process has run very smoothly. The interests of the key stakeholders have been protected, in particular, the staff of the lottery and the thousands of retailers. The ultimate stakeholders are the people of Ireland and they will benefit from the proceeds of the upfront payment and an increase in revenues for Good Causes that will benefit worthwhile projects throughout the country for the next 20 years.”
SOURCE: Department of Public Expenditure & Reform.