The pitch will be handled by Martin Pugh, the marketing director at Camelot, and overseen by the AAR, which is planning to put together a shortlist of five agencies.
The incumbent, Abbott Mead Vickers BBDO, which has handled the business since 2003, will repitch.
The news comes as Camelot prepares for the move to its third statutory lottery licence period, which begins in February 2009. The review only covers the main Lotto game, which makes up the majority of the company's total marketing budget. Last year, Camelot spent £14 million promoting Lotto, a figure it plans to increase to £20 million this year.
AMV will continue handling ad duties on Camelot's remaining National Lottery brands, including EuroMillions, Scratchcards and Thunderball.
The pitch does not affect Camelot's media, which is split between Media Planning Group and OMD.