HC Deb 12 May 1999 vol 331 cc159-60W
Mr. Cunliffe

To ask the Secretary of State for the Home Department if he will make a statement about the review of the Tote. [84050]

Mr. Straw

The Review of the Tote has been completed. I have considered the Report of the Steering Group which conducted the Review and have accepted the recommendations in it. I am most grateful to Peter Jones, the Chairman of the Tote, who chaired the Steering Group, for his skilful handling of this task. Copies of the Report have been placed in the Library.

The Tote's status as a non-departmental public body has served it well in the past but has become increasingly anomalous as the Tote has become a more commercial operation and developed its non-pool betting activities through acquisition of licensed betting offices. The Review, therefore, concluded that the commercial freedom now required by the Tote would be best provided by transfer to the private sector. This will require legislation and, in view of the time this is likely to take, the Review has made no recommendation as to the precise method of sale. That will need to be determined at the time.

Further work will now need to be undertaken on the various sale options, including the possibility of a sale to racing, in consultation with the Tote, the racing industry and others. The Review also recognised the need to have regard to the interests of the taxpayer, as well as other stakeholders. This means that the Government have rejected the possibility of the tote being transferred to racing without consideration.

Although the Tote's new status will now need to be worked out in detail, the Review has marked out the future path for the Tote which will enable it to develop and operate in a fully commercial way.