Gambling Act 2005 (c. 19)

(The document as of February, 2008)

-- Back --

Page 6

Pages: P.1 | P.2 | P.3 | P.4 | P.5 | P.6 | P.7 | P.8 | P.9 | P.10 | P.11 | P.12 | P.13 | P.14 | P.15 | P.16 | P.17 | P.18 | P.19 | P.20 | P.21 | P.22 | P.23 | P.24

(i) to submit to a test in accordance with arrangements made under paragraph (c) above, and

(ii) to produce specified evidence of the result of the test.

(3) Standards established under subsection (1) may, in particular, be expressed--

(a) by reference to the opinion of a specified person or class of persons;

(b) by reference to a specified process or description of software.

(4) This section is without prejudice to the generality of sections 75, 77 and 78.

98 Lottery operating licences

(1) A lottery operating licence may be issued only to--

(a) a non-commercial society,

(b) a local authority, or

(2) A lottery operating licence may authorise--

(a) promotion generally or only specified promoting activities;

(b) the promotion of lotteries generally or only the promotion of lotteries of a specified kind or in specified circumstances;

(3) In issuing a lottery operating licence to a society or authority the Commission--

(a) may attach a condition under section 75 or 77 requiring that the society or authority ensure that all the arrangements for the lottery are made by the holder of a lottery manager's operating licence, and

(b) may, if they attach a condition under paragraph (a), issue the lottery licence to the society or authority without consideration of the matters specified in section 70(1)(b).

(4) A lottery operating licence shall, by virtue of this subsection, permit the delivery of lottery tickets by post.

(5) The effect of the term implied by subsection (4) may not be disapplied or restricted by a condition attached under section 75, 77 or 78.

(6) In issuing a lottery operating licence the Commission may attach a condition under section 75 or 77 preventing, restricting or controlling the use of a rollover.

(7) In this section "local authority" means--

(a) in relation to England--

(i) a district council,

(ii) a county council,

(iii) a parish council,

(iv) a London borough council,

(v) the Common Council of the City of London, and

(vi) the Council of the Isles of Scilly,

(b) in relation to Wales--

(i) a county council,

(ii) a county borough council, and

(iii) a community council, and

(c) in relation to Scotland, a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994 (c. 39).

99 Mandatory conditions of lottery operating licence

(1) In issuing a lottery operating licence to a non-commercial society or to a local authority the Commission shall attach conditions under section 75 or 77 for the purpose of achieving the requirements specified in this section.

(2) The first requirement is that at least 20% of the proceeds of any lottery promoted in reliance on the licence are applied--

(a) in the case of a licence issued to a non-commercial society, to a purpose for which the promoting society is conducted, and

(b) in the case of a licence issued to a local authority, for a purpose for which the authority has power to incur expenditure.

(3) The second requirement is that--

(a) the proceeds of any lottery promoted in reliance on the licence may not exceed £2,000,000, and

(b) the aggregate of the proceeds of lotteries promoted wholly or partly in a calendar year in reliance on the licence may not exceed £10,000,000.

(4) The third requirement is that it must not be possible for the purchaser of a ticket in a lottery promoted in reliance on the licence to win by virtue of that ticket (whether in money, money's worth, or partly the one and partly the other) more than--

(a) £25,000, or

(b) if more, 10% of the proceeds of the lottery;

and any rollover must comply with this subsection.

(5) The fourth requirement is that where a person purchases a lottery ticket in a lottery promoted by a non-commercial society in reliance on the licence he receives a document which--

(a) identifies the promoting society,

(b) states the name and address of a member of the society who is designated, by persons acting on behalf of the society, as having responsibility within the society for the promotion of the lottery, and

(i) states the date of the draw (or each draw) in the lottery, or

(ii) enables the date of the draw (or each draw) in the lottery to be determined.

(6) The fifth requirement is that the price payable for purchasing each ticket in a lottery promoted in reliance on the licence--

(a) must be the same,

(b) must be shown on the ticket or in a document received by the purchaser, and

(c) must be paid to the promoter of the lottery before any person is given a ticket or any right in respect of membership of the class among whom prizes are to be allocated.

(7) For the purpose of subsections (5) and (6) a reference to a person receiving a document includes, in particular, a reference to a message being sent or displayed to him electronically in a manner which enables him, without incurring significant expense or delay, to--

(a) retain the message electronically, or

(b) print it.

(8) The sixth requirement is that membership of the class among whom prizes in any lottery promoted in reliance on the licence are allocated may not be dependent on making any payment (apart from payment of the price of a ticket).

(9) Where--

(a) conditions are attached to a lottery operating licence in accordance with this section, and

(b) the lottery operating licence is also subject to a condition under section 98(3)(a) requiring arrangements for the lottery to be made by the holder of a lottery manager's operating licence,

the conditions specified in paragraph (a) above shall, by virtue of this subsection, attach to the lottery manager's operating licence in so far as it is relied upon in pursuance of the condition specified in paragraph (b) above.

(10) Nothing in this section prevents the Commission from attaching a condition to a lottery operating licence of a kind similar to but more onerous than a requirement of this section.

(11) The Secretary of State may by order vary a monetary amount or a percentage in this section.

Maintenance

100 Annual fee

(1) The holder of an operating licence--

(a) shall pay a first annual fee to the Commission within such period after the issue of the licence as may be prescribed, and

(b) shall pay an annual fee to the Commission before each anniversary of the issue of the licence.

(2) In this section--

"annual fee" means a fee of such amount as may be prescribed, and
"prescribed" means prescribed by the Secretary of State by regulations.

(3) Regulations under this section may, in particular, make different provision for--

(a) different kinds of operating licence, or

(b) different circumstances.

(4) Subsection (1)(b) does not apply in relation to an anniversary of the issue of a licence on or immediately before which the licence ceases to have effect by virtue of section 111.

101 Change of circumstance

(1) The Secretary of State may make regulations requiring the holder of an operating licence--

(a) to notify the Commission of any change of circumstance of a prescribed kind in relation to him or to a licensed activity, and

(b) to give the Commission prescribed details of the change.

(2) If a change of circumstance notified under subsection (1) falsifies information contained in the operating licence in accordance with section 66 the notification must be accompanied by--

(a) the prescribed fee, and

(b) either--

(i) the licence, or

(ii) an application to the Commission for the issue of a copy of the licence under section 107.

(3) Where notification is accompanied by the licence, the Commission shall--

(a) make such alteration to the information contained in the licence as appears to it to be required by the change in circumstance, and

(b) return the licence to the licensee.

(4) Where the notification is accompanied by an application for a copy of the licence, the Commission shall, if it grants the application, issue the copy in a form which appears to the Commission to reflect the change in circumstance.

(5) In this section "prescribed" means prescribed by regulations under this section.

(6) The holder of an operating licence commits an offence if he fails without reasonable excuse to comply with regulations under this section.

(7) A person guilty of an offence under subsection (6) shall be liable on summary conviction to a fine not exceeding level 2 on the standard scale.

(8) This section does not prevent the imposition of a requirement to notify the Commission of a specified change of circumstance by way of the attachment of a condition to an operating licence.

102 Change of corporate control

(1) This section applies where the holder of an operating licence is a company limited by shares ("the company").

(2) If a person becomes a controller of the company ("the new controller"), within the meaning of section 422 of the Financial Services and Markets Act 2000 (c. 8), the company shall inform the Commission and either--

(a) surrender the operating licence under section 113, or

(b) apply to the Commission under this section for a determination that the operating licence shall continue to have effect.

(3) An application under subsection (2)(b) must be accompanied by such information as the Commission may direct about--

(a) the new controller,

(b) his interest in the company, and

(c) his interest in any company of which the company is a subsidiary (within the meaning of section 736 of the Companies Act 1985 (c. 6)).

(4) On considering an application under section (2)(b) the Commission shall--

(a) make the determination sought, if satisfied that the Commission would have granted the operating licence to the licensee had the new controller been a controller of the company when the application for the operating licence was made, and

(b) otherwise, revoke the operating licence.

(5) If the Commission becomes aware that a company has failed to comply with the duty under subsection (2) within the period of five weeks beginning with the day on which the duty began to apply to the company, the Commission shall revoke the relevant operating licence.

(6) But the Commission may extend the period under subsection (5)--

(a) before it expires, or

(b) after it expires (if the relevant operating licence has not yet been revoked).

103 Section 102: supplemental

(1) The Secretary of State may by regulations provide for section 102 not to apply to the holder of a specified description of operating licence.

(2) An application under section 102(2)(b) must be accompanied by the prescribed fee.

(3) An application may be made under section 102(2)(b) in respect of a person who is expected to become a controller of a company.

(4) The Commission shall as soon as is reasonably practicable inform an applicant under section 102(2)(b) of--

(a) the Commission's decision, and

(b) the reasons for it.

(5) In giving a direction under section 102(3) the Commission shall have regard to normal commercial practices in relation to the confidentiality of information.

(6) Regulations under subsection (2) above may, in particular, provide for a reduction of fee where the application is a result of--

(a) the merger of more than one company, or

(b) the division of a company.

(7) Revocation of an operating licence under section 102 shall be treated for all purposes (including the application of section 119) as revocation under section 119.

104 Application to vary licence

(1) The holder of an operating licence may apply to the Commission to vary the licence by--

(a) adding, amending or removing a licensed activity,

(b) amending another detail of the licence, or

(2) A licence may not be varied under this section so as to authorise anyone other than the person to whom it was issued to provide facilities for gambling.

(3) The provisions of this Part shall apply in relation to an application for variation as they apply in relation to an application for a licence--

(a) subject to the provisions of this section, and

(b) with any other necessary modifications.

(4) Regulations under this Part which relate to an application for an operating licence may make--

(a) provision which applies only in the case of an application for variation;

(b) provision which does not apply in the case of an application for variation;

(c) different provision in relation to an application for variation from that made in relation to an application for an operating licence;

(d) different provision in relation to applications for variations of different kinds.

(5) An application for variation must (in addition to anything required by section 69) be accompanied by--

(a) a statement of the variation sought, and

(b) either--

(i) the licence to be varied, or

(ii) a statement explaining why it is not reasonably practicable to produce the licence.

(6) In granting an application for variation the Commission--

(a) shall specify a time when the variation shall begin to have effect, and

(b) may make transitional provision.

105 Amendment

(1) The Commission may require the holder of an operating licence to submit it to the Commission for the purpose of amendment to reflect--

(a) a general variation of conditions under section 75,

(b) a change notified under section 101,

(d) the attachment of an additional condition, or the amendment of a condition, under section 117,

(e) the grant of an application for renewal under section 112, or

(f) anything done in relation to a personal licence under Part 6.

(2) A licensee shall comply with a requirement under subsection (1) within the period of 14 days beginning with the day on which he receives notice of the requirement.

(3) A person commits an offence if he fails without reasonable excuse to comply with a requirement imposed under subsection (1).

(4) A person guilty of an offence under subsection (3) shall be liable on summary conviction to a fine not exceeding level 2 on the standard scale.

(5) Subsection (1)(a) is without prejudice to section 76(4)(c).

106 Register of operating licences

(1) The Commission shall--

(a) maintain a register of operating licences containing such details of and relating to each licence as the Commission thinks appropriate,

(b) make the register available for inspection by members of the public at all reasonable times, and

(2) The Commission may refuse to provide access to the register or to provide a copy of an entry unless the person seeking access or a copy pays a fee specified by the Commission.

(3) The Commission may not specify a fee under subsection (2) which exceeds the reasonable cost of providing the service sought (but in calculating the cost of providing a service to a person the Commission may include a reasonable share of expenditure which is referable only indirectly to the provision of that service).

107 Copy of licence

(1) The Commission may make arrangements to issue to a licensee on request a copy of an operating licence which has been lost, stolen or damaged.

(2) The arrangements may, in particular, include a requirement--

(a) for the payment of a fee not exceeding such sum as may be prescribed for the purposes of this subsection by the Secretary of State by regulations;

(b) in the case of a licence being lost or stolen, that the licensee has complied with specified arrangements for reporting the loss or theft to the police.

(3) A copy of a licence issued under this section shall be treated as if it were the licence.

108 Production of licence

(1) A constable or enforcement officer may require the holder of an operating licence to produce it to the constable or enforcement officer within a specified period.

(2) A licensee commits an offence if he fails without reasonable excuse to comply with a requirement under subsection (1).

(3) A person guilty of an offence under subsection (2) shall be liable on summary conviction to a fine not exceeding level 2 on the standard scale.

109 Conviction

(1) If the holder of an operating licence is convicted of an offence by or before a court in Great Britain he shall as soon as is reasonably practicable notify the Commission of--

(a) his conviction, and

(b) any sentence passed in respect of it.

(2) If the holder of an operating licence is convicted of a relevant offence by or before a court in Great Britain he shall immediately inform the court that he is the holder of an operating licence.

(3) If the holder of an operating licence is convicted of a relevant offence by or before a court outside Great Britain he shall as soon as is reasonably practicable notify the Commission of--

(a) his conviction, and

(b) any sentence passed in respect of it.

(4) A person commits an offence if he fails without reasonable excuse to comply with any of subsections (1) to (3).

(5) A person guilty of an offence under subsection (4) shall be liable on summary conviction to a fine not exceeding level 2 on the standard scale.

Duration

110 Indefinite duration

An operating licence shall continue to have effect unless and until it ceases to have effect in accordance with--

(a) a determination under section 111, or

(b) section 113, 114, 115, 118 or 119.

111 Power to limit duration

(1) The Commission may determine that operating licences, or a specified class of operating licence, shall cease to have effect at the end of a specified period (unless terminated earlier in accordance with section 113, 114, 115 or 119).

(2) The period specified under subsection (1)--

(a) in the case of an operating licence issued after the determination, must begin with the date on which the licence is issued, and

(b) in the case of an operating licence issued before the determination, must begin with the date of the determination.

(3) The Commission--

(a) may determine different periods under subsection (1) for operating licences authorising different classes of activity (but may not otherwise determine different periods for different licences),

(b) may alter a determination under subsection (1) (but an alteration shall have effect only in relation to licences issued after the alteration), and

(c) may revoke a determination under subsection (1) (in which case the determination shall cease to have effect in relation to licences already issued).

(4) The Commission shall publish any determination under subsection (1) as part of a statement (or revised statement) under section 23.

112 Renewal of licence

(1) Where an operating licence is subject to a determination under section 111, the licensee may apply to the Commission for renewal of the licence.

(2) The provisions of this Part shall apply in relation to an application for renewal as they apply in relation to an application for a licence--

(a) subject to the provisions of this section, and

(b) with any other necessary modifications.

(3) An application for renewal of an operating licence may be made only during the period which--

(a) begins three months before the date on which the licence would otherwise expire by virtue of section 111, and

(b) ends one month before the date on which the licence would otherwise expire by virtue of that section.

(4) Where an application for renewal of an operating licence is awaiting determination on the date when it would expire by virtue of section 111, the licence shall continue to have effect by virtue of this subsection until the application is determined (unless it ceases to have effect by virtue of section 113, 114, 115, 118 or 119).

(5) A direction or regulations under this Part which relate to an application for an operating licence may make--

(a) provision which applies only in the case of an application for renewal;

(b) provision which does not apply in the case of an application for renewal;

(c) different provision in relation to an application for renewal from that made in relation to an application for an operating licence.

(6) An application for renewal must (in addition to anything required by section 69) be accompanied by--

(a) the licence to be renewed, or

(b) a statement explaining why it is not reasonably practicable to submit the licence to be renewed.

(7) The Commission shall determine the period during which a renewed operating licence is to have effect (subject to sections 113, 114, 115, 118 and 119); and the Commission--

(a) may determine different periods for operating licences authorising different classes of activity (but may not otherwise determine different periods for different licences),

(b) may alter a determination (but an alteration shall have effect only in relation to licences issued after the alteration), and

(c) shall publish any determination under this subsection as part of a statement (or revised statement) under section 23.

(8) The Secretary of State may by order amend subsection (3) so as to substitute a different time for a time specified.

113 Surrender

An operating licence shall cease to have effect if the licensee--

(a) notifies the Commission of his intention to surrender the licence, and

(b) gives the Commission either--

(i) the licence, or

(ii) a written statement explaining why it is not reasonably practicable to produce the licence.

114 Lapse

(1) In the case of an operating licence issued to an individual, the licence shall lapse if--

(a) the licensee dies,

(b) the licensee becomes, in the opinion of the Commission as notified to the licensee, incapable of carrying on the licensed activities by reason of mental or physical incapacity,

(d) sequestration of the licensee's estate is awarded under section 12(1) of the Bankruptcy (Scotland) Act 1985 (c. 66).

(2) In any other case an operating licence shall lapse if the licensee--

(a) ceases to exist, or

(b) goes into liquidation (within the meaning of section 247(2) of the Insolvency Act 1986).

115 Forfeiture

(1) Where the holder of an operating licence is convicted of a relevant offence by or before a court in Great Britain the court may order forfeiture of the licence.

(2) Forfeiture under this section shall be on such terms (which may include terms as to suspension) as may be specified by--

(a) the court which orders forfeiture,

(b) a court to which an appeal against the conviction, or against any order made on the conviction, has been or could be made, or

(3) Subject to any express provision made under subsection (2), an operating licence shall cease to have effect on the making of a forfeiture order under subsection (1).

(4) The terms on which a forfeiture order is made under this section shall, in particular, include a requirement that the licensee deliver to the Commission, within such time as the order may specify--

(a) the licence, or

(b) a statement explaining why it is not reasonably practicable to produce the licence.

(5) As soon as is reasonably practicable after making an order for forfeiture under this section the court shall notify the Commission.

Regulation

116 Review

(1) The Commission may in relation to operating licences of a particular description review--

Pages: P.1 | P.2 | P.3 | P.4 | P.5 | P.6 | P.7 | P.8 | P.9 | P.10 | P.11 | P.12 | P.13 | P.14 | P.15 | P.16 | P.17 | P.18 | P.19 | P.20 | P.21 | P.22 | P.23 | P.24

-- Back --

Stat