Good causes lose as Lotto slumps

The National Lottery faced its second crisis in less than a week today after ticket sales slumped for the fourth year in a row.

Camelot, which runs the Lottery - relaunched two weeks ago as Lotto to combat declining public interest - said that in the 12 months to March sales fell three per cent. It admitted good causes were awarded £49 million less because of the dip.

The news comes days after Camelot chief executive Dianne Thompson said players would be lucky to win a tenner. Camelot chairman Michael Grade blamed the slump on delays in awarding the second Lottery licence. He said stronger figures as the year had gone on had "stemmed that decline".

Despite the fall in sales, Camelot made more than £50 million profit, boosting shareholders' dividends by 41 per cent to almost £100 million.

Camelot said much of the dividend increase was owed from earlier years.