What is a small society Lottery?
A society or any separate branch of such a society that runs lotteries that do not sell more then £20.000 of tickets or make more than £250.000 per year.
A small society lottery can run without the need of an operators licence from the Gambling Commission but has to register with the Local Authority.
What is a society?
A society for the purposes of the Gambling Act must be a non commercial organization that is established and conducted wholly or mainly for one or more of the following purposes
- Charitable purposes.
- For the purposes of enabling participation in or supporting sport, athletics or cultural activities.
- For any other non-commercial purpose other than that of private gain.
It is important to note that the society must not be established for the sole purpose of facilitating lotteries. It must have some other purpose.
Where do I register?
You must register with the Local Authority where the society’s principal office is situated.
How do I register?
The registration forms are available from the London Borough of Bromley website in the Licensing section.
Lottery registration application form
How much does it cost?
It costs £40 for your initial registration and then £20.00 each year for renewal.
How long does the registration last?
It will last indefinitely whilst you continue to pay your renewal fee.
Can my registration be refused or revoked?
Yes, the Local Authority can refuse to register you if
- You held an Operators Licence with the Gambling Commission and it was subsequently revoked.
- You have applied for an Operators Licence from the Gambling Commission and it has been refused.
- The Local Authority think you are a commercial society
- Anyone connected with the promotion of the lottery has been convicted of a relevant offence.
- The information on the application form is misleading or false.
In any of these situations you would be given an opportunity to respond to the allegations before a refusal was final.
The local Authority may also revoke a registration for the same reasons listed above.
How many lotteries can I have a year?
You can have as many lotteries in one year as you like but you must not sell more than £20.000 in tickets and your aggregate proceeds must not exceed £250.000 in a year.
How much money has to go to the purpose of the lottery?
Your society must apply 20 per cent of the gross proceeds of each lottery directly to the purposes of the society.
A maximum of 80 per cent of the gross proceeds may be divided between the prizes and the expenses.
What must be printed on the tickets?
- The name of the society.
- The unique registration number issued by the Local Authority.
- Price of the ticket.
- Name and address of the member of the society responsible for the promotion of the lottery.
- Date of the draw.
Where can I sell the tickets?
- Tickets must not be sold on the street.
- Tickets may be sold by a person in a shop or kiosk or door to door.
- Tickets must not be sold to under 16’s
How much can I charge for the tickets?
There is no limit on the price you can charge for each ticket.
Do I need to provide returns to the Local Authority?
Every society has to submit a return for each lottery they hold. A returns form is available from the London Borough of Bromley website in the Licensing Section.
How old do you have to be to buy a lottery ticket?
The minimum age is 16.
Lotteries are a form of gambling and it is your responsibility to ensure that children and other vulnerable people are not exploited by the lottery.
It is an offence to allow children to enter a lottery.
You must have a written policy and procedures in place to deal with underage play.
Exemptions
The Gambling Act lists a number of lotteries that are exempt from the need of an Operators Licence from the Gambling Commission and the need for registration by the Local Authority. These are:
Incidental non- commercial lotteries: These are not promoted for private gain, i.e. a lottery at a school fete, a social event, bazaar, sporting event etc. The tickets must be sold on the premises and the draw must be made in public. The promoter must not deduct more then £500 from the proceeds for prizes and no more than £100 deducted for expenses.
Private Society lotteries: These can only be promoted by authorised members of a society and the tickets can only be sold to other members of that society and not to guests. Examples would be a working men’s club or sports club.
Work lotteries: the promoter of the lottery must work on the premises and tickets can only be sold to other people who work on the premises. The lottery must not run for profit. An example of this would be a sweepstake on the Grand National.
Residents lottery: The promoter of the lottery must reside on a single set of premises and the tickets can only be sold to other residents. There must be no profit. An example would be student halls of residents.
For more information on these lotteries please contact the licensing team.