Like most fundraising methods, lotteries do have to follow a set of rules and guidelines to ensure they are legal.
The Gambling Act
It is essential that all lotteries adhere to the rules set out by the Gambling Commission, which regulates all commercial gambling activities in Great Britain. It was set up in 2005 under the Gambling Act, which was designed with three objectives:
Registering Or Licensing Your Lottery
Depending on the size of the lottery, it will need to be registered either with your local authority or licensed by the Gambling Commission. A lottery that generates under £20,000 per lottery is considered ‘small,’ one that generates over £20,000 or £250k per annum is considered ‘large.’ A small lottery needs to be registered with your local authority – it is a simple procedure and will take one to two weeks. The registration cost varies from authority to authority but is approximately £40. This initial registration cost is a one off and you will then be required to pay an annual £20 renewal fee, a small price in comparison to the funds your lottery will raise. If your lottery falls within the large category, then you will be required to be licensed with the Gambling Commission.
If you would like to start your own lottery, or even looking for some advice, please feel free to get in touch using the form below and our team will be more than happy to help.