Small society lottery registration
Information on small society lottery registration
Registration of Small Society Lotteries is governed by the Gambling Act 2005 ("The Act"). Societies are required to register with the Local Authority if they wish to hold certain lotteries in accordance with The Act.
Definition of society
Section 19 of the act defines a society as such if it is established and conducted:
- for charitable purposes,
- for the purpose of enabling participation in, or supporting, sport, athletics or a cultural activity, and
- for any other non commercial purpose other than that of private gain.
A lottery cannot be promoted unless the appropriate permission has been granted by the Gambling Commission, a Small Society Lottery Registration has been granted or the Lottery fall under one of the exemptions defined in the Act.
Societies must register if they wish to hold a raffle where the tickets are sold prior to the day of the draw. The tickets must be pre-printed bearing the name of Local Authority, the name of the Society, the name and address of the promoter and the date on which the draw is to take place. Following the draw, the promoter must complete a return expenses form, which shows details of money spent on expenses and prizes and how much money was raised. Prizes must not exceed the limits set out by the Act - i.e. that combined with any expenses incurred with the running of the lottery they must not comprise more than 80% of the total proceeds of the lottery. Donated prizes are not counted as part of the 80% but should still be declared on the return following the lottery.
Returns must be submitted no later than three months after the date on which the lottery draw was held.
Registrations run for one year from the granted date. Initial registration is £40 and renewals are £20.
The following lotteries are exempt from the need to apply for a Lottery Registration:
Private Society Lottery - these can only be promoted by authorised members of a society, and tickets can only be sold to other members of that same society, or to persons on the society premises. The lottery may only be promoted for a purpose for which the society is conducted. The society can be a group or society, provided it is not established and conducted for purposes connected to gambling.
Work Lottery - the promoter of the lottery must work on the premises and can only sell tickets to persons who also work on the same premises. All the proceeds from the lottery must be used for prizes or reasonable expenses and the lottery cannot make a profit e.g. Grand National Sweepstake
Residents Lottery - The promoter must live at a single set of premises and tickets may only be sold to persons who also live at the same premises. Proceeds may only be used for prizes and reasonable expenses, no profit can be make e.g. Raffle in a residential care home
This is the sale of tickets to customers by the occupiers of business premises.
- A ticket can only be sold or supplied by the promoter or a person on their behalf
- The lottery can only be advertised on the premises on which it is being held
- No prize may have a value exceeding £50
- No rollovers are permitted
- Each ticket must state the name and address of the promoter of the lottery; the class of persons who can buy tickets, the rights conferred by the sale or supply of a ticket are not transferable
- A customer lottery cannot take place within 7 days of another customer lottery promoted on the same premises.
Free draws and prize competitions
Free draws are exempt from the control of the Act. Prize competitions are exempt provided that the competition is reasonably likely to prevent a significant proportion of people who wish to participate from doing so; or prevent a significant proportion of people who participate from receiving a prize.
Application for registration of a Small Society Lottery
Applications should be sent with the appropriate fee to the address on the left. Cheques should be made payable to Boston Borough Council.
For any licensing enquiries please contact us using the details on the left. A member of the licensing team will normally be available at the Municipal Buildings on weekdays 9am - noon and 2pm - 5pm (4.30pm on Fridays). We may be available at other times by prior appointment.