The Phone-paid Services Authority (PSA) has published the special conditions for organisations wishing to enable people to enter society lotteries by text message.
It held a consultation earlier this year and the new conditions will come into effect on 1 October. A new shortcode, beginning 72, has been created for society lotteries, which will be exempt from VAT.
The conditions concern ensuring that underage people are not able to use the service and that the promotional material contains the correct information.
The PSA regulates content, goods and services charged to phone bills and said that by introducing the special conditions it is “bringing these services to market within a framework that will help build consumer confidence”.
Ten organisations responded to the consultation, including the Institute of Fundraising (IoF), Hospice Lotteries Assocation (HLA) and Lotteries Council.
The IoF and Lotteries Council broadly welcomed the move and but urged the PSA to avoid duplication of regualtion with the Gambling Commission.
In its response the HLA said it was concerned that trade bodies had not been consulted earlier.
“We cannot reiterate to you more that this service provision is more involved than amendment to existing process and delivery models that you may already be undertaking, and that relevant operator and regulatory bodies need to be included in the drafting of this service,” it said.