Richard Desmond loses £1.3bn claim

Desmond's company, Northern & Shell, had argued that the bidding process was flawed and that they were entitled to significant damages for missing out on the 10-year contract.

However, the court found that the commission had acted properly and that the tycoon now faces a legal bill running into the tens of millions.

The ruling marks the final chapter in a long-running dispute that has overshadowed the transition to the new lottery operator.

Desmond, who previously owned the Daily Express and Channel 5, has not yet indicated whether he will seek to appeal the decision.