People’s Postcode Lottery sees increase in ticket sales, profit and money to charity

10 Jun 2020 News

People’s Postcode Lottery (PPL) raised nearly £140m for charities last year as ticket sales reached £433m, its annual accounts show. 

The annual report for the year to December 2019, recently filed with Companies House, shows that PPL raised £138.5m for charity in 2019 – an increase of 19% on the previous year. 

Ticket sales increased by £67.7m compared to the previous year, and post-tax profit was £4.3m (compared to £2.9m previously).  

PPL launched in the UK in 2005 and has grown significantly over the last five years. In 2014 it raised just over £20m for charity, from ticket proceeds of £86.8m.

Last year grants to charities were made via 20 postcode trusts. PPL also works with 32 national partner charities as promoting societies, including the Dogs Trust, Save the Children and WWF. 

PPL is a subsidiary of Netherlands-based Novamedia Holding, which is a social enterprise that operates charity lotteries throughout Europe. 

In 2019, the group saw revenue reach nearly €2bn (£1.78m) and gave almost €800m (£710m) to charity. This makes it the world's second largest donor behind the Bill and Melinda Gates Foundation, according to research by City AM. 

32% of ticket price to charity

In the UK, 32% of the PPL ticket price now goes to charities. 2019 was the first time in recent years that the percentage of the ticket price going to charities did not increase. 

In 2014 the figure stood at 25%, before rising every year until 2019. 

Prizewinners receive 40% of PPL’s revenue, which totalled £173m last year. 

Under UK law, at least 20% of the ticket price must go to charity. In the Netherlands, 40% of the cost of the ticket from Novamedia’s game goes to charities.  

PPL has been at the forefront of lobbying the UK government to reform society lottery law to increase the annual sales limits, which it argues would enable it to increase money raised for charity, and changes are due to come into effect later this year.  

From 29 July the limit on individual draw proceeds will rise to £5m from £4m, the annual aggregate limit proceeds will increase to £50m, up from £10m, and the maximum individual prize will rise to £500,000 from £400,000. 

The Gambling Commission is expected to issue new guidance explaining requirements about how transparent society lotteries will need to be. 

'Transforming lives' 

A spokesperson for People’s Postcode Lottery said:  “Charities and good causes are at the heart of People’s Postcode Lottery. Our sole purpose is to help raise funds for them – funds that are needed now more than ever.

“Thousands of good causes have benefited from more than £500m raised by our players. Last year alone over £138m was raised – £22m more going to charity in 2019 than the year before. This vital funding is transforming lives and communities in Britain and beyond.

“We welcome charity lottery law changes, which will come into effect from the end of July, to reduce administrative costs and enable greater opportunities to raise even more funds.”

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