Statute Law Repeals - Law Commission - Ministry of Justice

POOL BETTING
7.21 The Pool Competitions Act 1971 11 was designed as a temporary measure to
make lawful the continued promotion of “pool betting” competitions for prizes
which were being run by charitable and sports societies. 12 In November 1970 the
House of Lords appellate committee 13 had held that such competitions, because
they failed to involve the use of forecasting skill, amounted to an unlawful
lottery. 14 Pool competitions had become the vehicle of choice for promoters
because, unlike small lotteries (governed by the Small Lotteries and Gaming Act
1956), 15 they had no upper limit on turnover or on the size of prizes on offer
(although they did attract liability to pay an element of pool betting duty).
7.22 The 1971 Act was enacted to ensure that various pool competitions, which over
the years had contributed to charitable and sporting fundraising, would remain
legitimate pending a proper review by government. For that reason the Act
contained a sunset clause giving it validity for just five years (although the
Secretary of State was given power, exercisable through delegated legislation, to
order extensions in 12 month bites). 16
7.23 Under the 1971 Act licences to hold competitions would be granted only to
registered pool promoters who had to demonstrate (in order to register) that in
the 12 months’ period ending on 24 November 1970 17 they had held at least nine
competitions in support of a society conducted “wholly or mainly” for charitable,
sporting, cultural or allied non-commercial purposes.
11 1971 (c.57).
12 The 1971 Act extended to England, Wales and Scotland. The topic of lotteries is now a
reserved matter under the Scottish devolution settlement: Scotland Act 1998 (c.46), s 30
and Sch 5 Part I Section B9.
13 Sitting in Singette Ltd v Martin [1971) AC 407, HL. The competition in Singette was
analogous to a football pool because, in name, it involved participants each week selecting
teams whom they thought would win their matches. In fact, from week to week most
participants would simply reuse their existing nominations, thereby negating the elements
of forecasting and of choice. The competition became one of chance.
14 In breach of the Betting, Gaming and Lotteries Act 1963 (c.2), s 4(3) and Sch 2 para 13(a),
which Act was later repealed by the Gambling Act 2005 (c.19), with savings.
15 1956 (c.45), repealed in 1963.
16 The 1971 Act, s 8(2).
17 The Singette decision was given by the Law Lords on 25 November 1970.
212