PayPoint has launched a stinging attack on the remedies put forward by Camelot in an attempt to reverse the National Lottery Commission’s decision to block it from entering the e-payment market.
On Monday Camelot published a set of remedies committing to full transparency, separating accounts for the new business and committing to be bound by a “fair trading condition” if it offered e-payments.
But a hard-hitting response from PayPoint said Camelot’s proposals ignored that it “would not raise any money for good causes for years until the new commercial services business became profitable”.
It branded Camelot’s claim that retailers wanted it to offer new services “false”.
“Over 90% of the input made by retailers to the NLC objected to Camelot’s proposals,” PayPoint said.
“And while not wishing to take sides, [the NFRN, ACS and the Rural Shops Alliance] also expressed their concern that Camelot should not be allowed to exploit a double monopoly position.”
The statement continued: “We understand some retailers may feel they don’t always get everything they want from existing suppliers and that Camelot’s proposals may lead to short-term commission increases as they buy market share.
“However, these promises are illusory; there is no reason to expect any commission offer to be sustained and every reason to fear having to negotiate with a potential double monopoly.”
Read more
Camelot offers concessions in bid to pass payment plans (2 August 2010)
Payzone considers legal challenge over PayPoint exclusivity (24 July 2010)
Camelot ban sparks calls for fair play in e-payment sector (analysis; 24 July 2010)
Lottery commission blocks Camelot e-payment bid (16 July 2010)
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