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Scratchcards Sales Account for Boom in Sales of Lottery Group

Sales of novelty scratch cards and instant win games are responsible for increased revenues of the UK’s national lottery which is operated by the lottery operator Camelot.

Camelot is now reporting that sales of scratch cards and instant win games account for a quarter of all its sales. As Camelot also funds many charities and is one of the sponsors of the London Olympic Games 2012, much of the money generated from increased sales will go to good causes.

The published reports for the first half-year of 2011 show overall total sales of 3.26 billion GBP. This is an increase of 19.9% in year-on-year results. This is surprising considering the UK is still in the midst of fighting the recession and is experiencing lower consumer spending.

Camelot now seems well on its way to surpass a 6 billion GBP sales-target for 2011 which is great news for the Ontario Teachers’ Pension Plan that became the proud owner of Camelot in March 2010 after it paid 389 million GBP for the lottery operator.

The increase in scratch card sales is not without its drawbacks. Consumer protection groups are criticizing Camelot for targeting people underage with innovative scratch cards with themes that appeal to a younger population. In addition a report that was commissioned last year by the Gambling Commission found that the appeal of lottery cards is the strongest among young people, those from the lowest income households, the unemployed and those living in areas with higher levels of social deprivation.

Camelot disputed the finding of the survey which took three years to complete. It carried out its own research that showed that instant win lottery games and scratch cards were popular among people of all age groups and from different socioeconomic background.

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