DEPARTMENT FOR
CULTURE, MEDIA AND SPORT News Release (074\2008) issued by The
Government News Network on 16 July 2008
Plans to double
jackpot and proceeds limits for charity lotteries were announced
by Minister for Sport Gerry Sutcliffe today.
The proposal, announced in a written statement to Parliament,
will see the maximum jackpot for individual draws increased from
£200,000 to £400,000 and the maximum amount raised for charity
from each draw increased from £2m to £4m.
The move, designed to help charities raise more money, will now
go to consultation and should come into force early next year.
Mr Sutcliffe said:
"Many people already enter charity lottery draws to support
a good cause like local hospices, air ambulances and local sports
clubs. Indeed, these kind of lotteries helped raise around £100
million for good causes in the last year alone.
"But even more can be done to raise more money if the
lotteries are made more attractive. That's why I have decided
to allow this unprecedented increase in overall jackpots and
limits on amounts raised.
"This will not only benefit around 630 charity lotteries
already licensed to run draws, but I hope will provide some
encouragement for other charities to set up lotteries too. "
Garth Caswell, Chairman of the Hospice Lotteries Association
(HLA) said:
"All hospice lotteries and particularly the HLA are
extremely grateful to both the Minister and the MPs who have
supported us in agreeing this increase. This will enable hospice
lotteries to combine their skills and raise even more money
through lotteries for the hospice movement in the UK."
The Department today launched a three month consultation on the
proposals. If Ministers then decide to proceed, necessary Orders
will be put forward which will need to be approved by Parliament.
This will require a debate, and potentially a vote, in both Houses.
Notes to editors
1. Society lotteries are typically national and local charities,
sporting and social clubs that run lottery draws in order to raise
funds for local good causes such as hospices or air ambulances.
2. There are two types of society lottery, large and small. Large
society lotteries are defined as those that raise more than
£20,000 in a single draw or over £250,000 in a year. 630 groups
are presently licensed by the Gambling Commission as large society lotteries.
3. There will be no increase to the annual maximum proceeds per
society lottery of £10 million as no society lotteries currently
reach that limit.
4. The last time society lottery limits were increased was 2002
when the Government doubled proceed limits to their present level
of £2 million. The current prize limit for an individual draw is £200,000.
5. Small society lotteries, whose proceeds are below £250,000 and
are not regulated by the Gambling Commission, will keep their
current maximum £25,000 prize limit.
6. Provisional figures for 2007/08 are:
Proceeds raised by
societies' lotteries licensed by the Gambling Commission in
2007/08 were £169.9 million with around £100.5 million going to
good causes. £29.8 million went on prizes and the remaining £39.6m
million on expenses.
Proceeds raised by societies' lotteries licensed by the
Gambling Commission in 2006/07 were £163.8 million with around
£90.5 million (55%) going to good causes. £33 million (20%) went
on prizes and the remaining £40.3m million (25%) on expenses.
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