4th National Lottery Licence

Rating: Compared to financial year 24/25-Q4, NISTA's Delivery Confidence Assessment rating at 25/26-Q3 increased from RED to AMBER.This is primarily due to the following factors‚ during 25/26, Allwyn were able to successfully complete both Retail (RCO) and Digital Cutover (DCO) activities bringing the project in line with expected deadlines. Following AELs delivery of DCO in January 2026 the Programme increased from AMBER to GREEN (25/26-Q4).

Schedule: Compared to financial year 24/25-Q4, the project's end-date at 25/26-Q4 increased from 31/12/2025 to 31/05/2026. This is primarily due to the following factors‚ Following Allwyn's Implementation Notice issued in November 2024, Fully Implemented Commencement was expected to be delivered by late 2025. Allwyn delivered digital cutover on the weekend of 24/25 January 2026 and the Commission's Board determined that they had delivered Fully Implemented Commencement on 19 March 2026. There are some final closure activities taking place between mid March and the end of May 2026 before the NISTA Gate 5a and Programme closure.

Cost: Compared to financial year 24/25-Q4, the project's departmentally agreed Whole Life Cost at 25/26-Q4 increased from £154.8m to £168.2m (£13.4m). This is primarily due to the following factors: • 4NLR budget was increased by £8.36m: o Delay to Full Implementation causing BAU an Implementation to run in parallel o aspects of regulation have proved more complex and therefore more resource intensive for Licensing than anticipated o Retention of additional roles that were once considered to be required for bedding in period only, with additional support around enforcement, finance, and stakeholder management/project delivery o Increased contingency primarily to account for situations where additional legal resources or external advice is needed. • Programme and Recoverable Implementation Costs (RICs) budget was increased by £5.02m , we are currently working within the FBC Scenario 2 resource and timeline (RICs completion forecast 31 Jan 27), scenarios 3 & 4 increase the Programme by c2 months each. The increase was required to accommodate Allwyn’s delay in testing and loss of contingency time and not being able to deliver Full Functionality by the Fall Back Delayed Date in Feb ‘25 Please note figures referenced in the narratives were entered as nominal and the system automatically converts them to Real Terms.

Source: NISTA Major Projects Annual Report 2025-26 (data)

Rating: Compared to financial year 23/24-Q4, the Infrastructure Project Authority's Delivery Confidence Assessment rating at 24/25-Q4 decreased from AMBER to RED. This is primarily due to the following factors‚ In the latter half of the 24/25 year, Allwyn suffered increasing delays and setbacks with testing across its work streams. Without any contingency remaining in the plan, it became increasingly unlikely that Fully Implemented Commencement (FIC) would be achieved by the delayed date in February 2025. The Programme's Delivery Confidence Assessment was therefore downgraded from Amber to Red.

Schedule: Compared to financial year 23/24-Q4, the project's end-date at 24/25-Q4 increased from 28/02/2025 to 31/12/2025. This is primarily due to the following factors‚ In November 2024, Allwyn issued an Implementation Issue Notice to formally notify the Commission that the Fully Implemented Commencement would not be achieved by February 2025 as expected. During the first half of 2025, Allwyn have been considering options to enable safe technical cutover of the digital front end platform which has consequently pushed the end date of the project to 31/12/25.

Cost: Compared to financial year 23/24-Q4, the project's departmentally agreed Whole Life Cost at 24/25-Q4 (measured in £m) decreased from 177 to 154. This is primarily due to the following factors‚ The 23/24 report incorrectly included £23m of litigation costs in the return. The litigation budget sits outside of the WLC for 4NL so the 24/25 return for WLC was reduced from £177m to £154m in line with the FBC.

Source: NISTA Annual Report 2024-25 (data)

Rating: The Senior Responsible Owner's Delivery Confidence Assessment rating at 23/24-Q4 is Amber. This is primarily due to the following factors. The Infrastructure and Projects Authority (IPA) conducted its Gate 4a review in October 2023 and all recommendations have been addressed by the Programme, As agreed, Gate 4 was split into Part a and Part b with Part b due to take place in Autumn 2024 and focusing on Fully Implemented Commencement. The Programme is also undertaking an ongoing review by the Government Internal Audit Agency and the Programme's DCA rating remains Amber and in March 2024 underwent a DCMS Delivery and Risk Committee Audit.

Schedule: The project's end-date at 23/24-Q4 is 2025-02-28. This is primarily due to the following factors. The Full Implementation Commencement date of 28th February 2025 reflects the main delivery deadline. The GC's 4NL Programme end date is set as May 2025, to ensure closure after FIC.

Cost: Compared to financial year 22/23-Q4, the project's departmental-agreed Whole Life Cost at 23/24-Q4 remained at 177m.

Source: IPA Annual Report 2023-24 (data)