Board minutes - May 2014

Minutes of the meeting of the Board of Commissioners
Victoria Square House, Birmingham (Boardroom)
Mary Chapman
Robin Dahlberg
Philip Graf (Chair)
Rachel Lampard
Anthony Lilley
Walter Merricks
Graham Sharp
Peter Teague
Jenny Williams
Robert Foster
22 May 2014
In attendance: Rebekah Eden (for item 10)
Dean Farmer (for item 9)
Amanda Fox (for item 7)
Sarah Gardner
Ben Haden (for item 1- 5)
Sue Harley
Mark Harris
Matthew Hill
Elaine King (Notes)
Neil McArthur
Julia Mackisack
Jeanette Pugh
Alistair Quigley (for item 5)
Pete Rangeley (for item 7)
Tim Tyler (for item 11)
Declarations of Interest – No interests were declared
Item 1: Minutes and action points of the last meeting
The minutes of the meeting held on 20 March 2014 were approved.
Matters arising from the minutes:
DCMS lawyers are currently reviewing the Management Agreement. Sign-off is
expected shortly
Voluntary settlements – interim working arrangements are in place. Approach to
be set out and brought to Board for sign-off, recognising the need for flexibility
to tailor the approach to suit the circumstances of any particular case.
The rolling actions were reviewed and updated.
Item 2: Report from the Remuneration Committee
The Chair of the Remuneration Committee provided the Commissioners with a summary
of issues discussed at the meeting held earlier in day.
Item 3: Report from the Audit Committee
The Chair of the Audit Committee (the Committee) provided the Commissioners with a
summary of the discussions held at the 21 May meeting.
The Committee reviewed two internal audit reports; noted the National Lottery
Commission annual report and accounts (April – September 2014). The Committee
reviewed the Gambling Commission annual report and accounts.
The Chair of the Committee advised the Commissioners that the final version of the
annual report and accounts is due to be reviewed at its June meeting. The Chair of the
Committee expects to be in a position to recommend that the Board sign-off a final
version at the June Board meeting.
Item 4: Report from the National Lottery Committee
The Chair of the National Lottery Committee provided the Commissioners with an
overview of the discussions from the last meeting.
Camelot has announced that Dianne Thompson, CEO of Camelot Group, is to retire in
October 2014. Over the next six months, the group will be separated into two functions.
Andy Duncan will become CEO of Camelot UK Lotteries Limited (CUKL), and Nigel
Railton will become CEO of Camelot Global Services Limited. Both will take up their new
positions in October 2014 and will report to Lee Sienna, the Chairman of the Camelot
Group of Companies.
The Board also reflected on the recent Board to Board meeting with Camelot. The
Programme director – National Lottery is to provide further advice to the National Lottery
Committee and, as necessary, to the Board, on Camelot ‘s compliance with the
Combined Code on Corporate Governance.
Item 5: Report from the Chief Executive: GCP(14)29
The Chief Executive introduced the paper which summarised the key workstream
activities undertaken since the last report.
The Commissioners were provided with a further oral summary update on:
Expiry of the current lease on VSH. A business case is being developed and
will be issued to the Commissioners for approval prior to its submission to the
Government Property Unit
Sports Betting Integrity – a talk by David Forrest on Asian Betting Markets has
been arranged to take place at VSH on 5 June. Commissioners are invited to
attend; a recording will be made for those who are unable to attend in person.
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Complex cases – the Luxury Leisure appeal was allowed. The Commission is
considering its position but officials advised that an appeal would not be the
best way to pursue the licensing objectives; an update will be provided at the
next Board meeting to agree next steps.
Item 6: Report from the Player Protection Reference Group (PPRG): GCP(14)30
The Chair of PPRG introduced the report which outlines the latest areas to have been
considered by the group. In both areas (customer interaction and technical standards)
the group recommended no immediate action.
Item 7: Strengthening the defences: Social responsibility update May 2014: GCP(14)31
Colleagues from the Social Responsibility workstreams provided the Commissioners
with an update on workstream progress following the launch of the LCCP review.
The update builds on the discussion at the Board policy awayday which set out the
scope and timetable for the review of social responsibility codes in the LCCP.
The paper contained details of the next steps for the review: LCCP social responsibility
review with a particular focus on underage gambling; customer interaction and selfexclusion.
The Commissioners asked for a paper to outline in more detail the issues relating
specifically to underage gambling.
Item 8: Strategic Narrative: GCP(14)32
At its January meeting the Board noted the top tiers of the Strategic Narrative; since
then the Narrative has been developed by a working group.
The Director introduced the final draft of the Narrative approved by Executive Group; it
now includes a final tier (goals). The Commissioners were advised that engagement
with colleagues across the Commission is underway to explore with them how the
workstreams to which they are contributing can be mapped to the Narrative.
The Commissioners discussed the Narrative and noted that it will be used, as
appropriate, to provide a structure for external and internal communications. The next
steps to embed use were noted, including in relation to the structure of the annual
The Commissioners provided comments, approved the adoption of the Narrative and
noted next steps, including the development of the National Lottery elements and
alignment with the outcome performance framework. Progress will be reported to a
future meeting.
Item 9: Draft accounts and annual report: GCP(14)33
The issue of whether to have a joint or separate Chair/CEO statement was discussed
and, on the basis there was good precedent for either approach, a combined statement
would be retained at least for this year.
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The Board Adviser introduced the report. Comments from Commissioners have been
received and have been taken into account in producing the revised draft. The Audit
Committee is to review the report again at its June meeting and if appropriate will
recommend to the Board that it approves the annual report and accounts.
Item 10: Compendium of reports - headline results: GCP(14)34
The Research Manager and Programme director Evidence and Analysis introduced the
paper which provides the Commissioners with details of the key findings from Health
Survey England and the Scottish Health Survey.
The Commissioners discussed the headline results and noted the plans for production of
the compendium reports and progress to date
A paper outlining the Commission’s participation and prevalence evidence gathering
strategy is to be presented at the July Board meeting.
Item 11: Anti-money laundering workstream two-year plan: GCP(14)35
The Senior Manager – Compliance and anti-money laundering introduced the paper
which follows-on from the discussion at the March Board. The paper sets out how the
Anti-money laundering workstream will meet the goals outlined in the previous paper.
The Commissioners noted the paper.
A presentation providing Commissioners with an overview of key AML issues and
relevant case studies will be undertaken in July.
Item 12: Financial report: GCP(14)36
The report was noted
Item 13: Quarterly research briefing: GCP(14)37
The report was noted.
Item 14: RGSB quarterly update: GCP(14)38
The report was noted.
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