Gambling Mitigation Guidance

Created by Mel Harry, Modified on Wed, 9 Apr at 9:32 AM by Mel Harry

This article provides guidance on addressing concerns about gambling.

Introduction

Occasionally, organisations raise the ethical issue of gambling and participation in lotteries. In such cases, we offer guidance to demonstrate the low risk of gambling-related harm about lotteries.

What is a lottery?

A lottery is where a person pays for a chance to enter and win a prize, and the process for deciding the prize winner is entirely chance-based.A raffle is also a type of lottery. This means that lotteries and raffles are treated the same way under the Gambling Act 2005. A licence is usually required to operate a lottery, which brings regulations and requirements in the way that operators are allowed to run their lottery.

Why run a lottery?

Lotteries provide a valuable additional revenue stream for charities, societies and good causes, whilst incentivising supporters with the chance to win a prize.

How are lotteries regulated?

The Gambling Act 2005 is the main piece of legislation in Great Britain relating to the regulation of gambling. The Gambling Commission was established under the Act to regulate the gambling industry, including lotteries.
Lotteries with proceeds exceeding either £20,000 for a single draw, or aggregate proceeds exceeding £250,000 in any one year, require a society lottery licence from the Gambling Commission.1 Lotteries which have proceeds below these thresholds do not require a licence from the Gambling Commission but must be registered with their local authority.

Is there a risk of gambling-related harm?

Lotteries are considered to be low risk of gambling-related harm, especially when compared to other gambling products.

Gatherwell does not offer any ‘instant win’ products. Funds must be received for a ticket purchase before the ticket is entered into a draw. This reduces the risk of repeated impulse purchases. Gatherwell also has safeguards in place to ensure that ticket purchases are not excessive. Our policy is to contact players with a recurring high-ticket yield to ensure that they are fully aware of their purchase and the number of lottery entries.

What if a player becomes a problem gambler?

Gatherwell has a self-exclusion process in place which allows a player with a gambling problem to self-exclude from playing a lottery for a chosen period of 6 months to 5 years. Players who self-exclude will not be allowed to purchase lottery tickets and will not receive any direct marketing material during their chosen self-exclusion period. Self-excluded players must take a positive step to opt back into the lottery after their self-exclusion period ends.

If a player is identified as a problem gambler, we will refer them to BeGambleAware. BeGambleAware provides support to individuals who feel that they have a gambling problem and can also refer problem gamblers to other support organisations.

Gatherwell is committed to being an ethical and responsible External Lottery Manager and is trusted to run lotteries for over 100 local authorities, 2,300 schools, and more than 10,000 charities and good causes raising £millions every year.

If you have any further questions about lotteries as a fundraising tool, please do not hesitate to contact support.