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DCMS to meet with charity lotteries to discuss monetary limits

Fundraising | Niki May Young | 21 Jul 2011

John Penrose, minister for tourism and heritage, is “happy to meet” with representatives from the Lotteries Council, the Hospice Lotteries Association and the People’s Postcode Lottery to discuss increasing monetary limits contained within the Gambling Act 2005.

Penrose was responding to questions raised by Labour MPs Ian Lavery and David Anderson who were representing the social lottery providers in their bid to remove limits to proceeds and prize money.

A spokeswoman for the People’s Postcode Lottery told civilsociety.co.uk that it would "definitely welcome" the opportunity to meet with Penrose, advising that the current limits of £4m in proceeds and £400,000 in prize money limit the amount of good the lotteries can do through charities.

She said: "This is a significant opportunity that would cost the government nothing to implement and create increasingly diverse sources of income for the charitable and voluntary sector to benefit from in harsh economic times. 

“We’ve got a relationship with David Anderson who also believes that particularly now, given the constraints on the charitable sector,  it doesn’t make sense to limit the amount that can be raised through lotteries.

“Our partners in Sweden and Holland have no limits placed on them and they are able to give a lot more. As an example, last year we were able to give £87,000 to WWF, while in Holland they gave £11.8m to the charity.”

The previous government doubled the limits contained within the Gambling Act 2005 in 2009. But any efforts to increase the limit again would have to come after “considering the impact of that change”, advised Penrose.

Anderson asked Penrose whether he had discussed with lottery providers how they could contribute to the Big Society. “I have not had any specific discussions with operators of charity lotteries about the Big Society, but I recognise the valuable role that they play in generating income and raising awareness of the contribution of charities towards the Big Society,” Penrose answered.

The Lotteries Council submitted a response to the DCMS Select Committee inquiry into the implementation and operation of the Gambling Act 2005 on 30 June. It called for the opportunity to relieve the "superfluous and burdensome regulatory regime" placed on lotteries as well as scrapping statutory limits on society lottery proceeds and prizes.

In his responses published yesterday Penrose advised that the DCMS would be following guidance in Lord Hodgson’s Unshackling Good Neighbours report to “simplify the arrangements for charitable lotteries and raffles”.

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