Committee publication · Correspondence · 8 July 2025
Letter from Baroness Twycross, Minister for Gambling and Heritage, Department for Culture, Media and Sport, regarding society lotteries and prize draws, dated 26 June 2025
From: Culture, Media and Sport Committee
Inquiry: The work of the Department for Culture, Media and Sport
Summary
Baroness Twycross updates the Culture, Media and Sport Committee on government decisions regarding society lotteries and prize draws. The government will not increase society lottery sales limits from £50 million, citing potential harm to National Lottery revenues and the need for stability during the Fourth National Lottery Licence transition. A voluntary code for prize draw operators will be introduced later in 2025.
Key findings
- Independent research found only People's Postcode Lottery exceeds £15 million in annual sales; increasing the limit to £100 million could reduce National Lottery sales by £25–£148 million annually.
- Society lottery sector sales grew 27% from 2019/20 to 2023/24, but returns to good causes increased only 15% since 2021, while expenses rose 25%.
- Government will not change society lottery limits at this time due to ongoing National Lottery licence transition and potential negative impacts on Lottery Duty receipts.
- Voluntary Code for prize draw operators to be introduced later in 2025, developed with sector input, to strengthen player protections and transparency; further action including legislation will depend on the code's success.
Tone
ProceduralTopics
Key actors
Baroness Twycross, Dame Caroline Dinenage, Department for Culture, Media and Sport, People's Postcode Lottery, National Lottery
Notable line
“… the Government has taken the decision to not make further changes to society lottery limits at this time.”
Key Quotes
“Society lotteries are a vital fundraising tool for many charities, community groups, sports clubs and other non-commercial organisations.”
“The research estimates that annual National Lottery sales could fall by between £25 million and £148 million.”
“Despite this significant level of growth, it is disappointing to see that there has not been a corresponding growth in returns to good causes.”
“We want to ensure stability, and therefore it is not the right time to be making further changes to society lotteries.”
“… we want people who participate in prize draws to be confident that proportionate protections are in place.”
Source · parliament.uk record ↗