Lottery takings fall by pounds 300m

THE "LICENCE to print money" of the National Lottery operator, Camelot, was expected to be devalued today with a pounds 300m predicted drop in sales. A month before an all-powerful commission sets its principles for the future of the lottery, Camelot was expected to announce sinking returns.

Today's results are likely to show sales of pounds 5.2bn in the year to 31 March - down from pounds 5.5bn. Analysts expect a 15 per cent fall in post- tax profits - to pounds 50m. Critics claim that a cynical public has turned away from the obvious "greed" of the lottery operator.

But yesterday a spokesman for Camelot, which has repeatedly been accused of skimming off excessive profits, was unperturbed at a highly publicised drop in gains - a matter that would be viewed severely by most commercial organisations. "We have always been transparent about our sales figures," he said.

The consortium was less eager to promote the consequent fall in funds to good causes - a predicted pounds 84m cut last year. During buoyant times, Camelot had grandly upped its promised pounds 9bn to charity by a further pounds 1bn.

With a reported pounds 6bn in donations by the end of last year, Camelot must find a further pounds 4bn by the time its current licence runs out in September 2001 if it is to fulfil its pledge.