In any lottery
, your aim is to make money for your organisation. The last think you want is to violate the law of the land or create trouble for your favorite charity or group. For this reason, it is of the utmost importance that you are aware of the legal implications of your raffle.
In the UK, we have some strict laws concerning lotteries and raffles, as per the Lotteries and Amusements Act 1976 and the National Lottery Act 1993. Large raffles are considered a form of gambling and therefore require a licence. There are three kinds of legal raffles.
- Small Raffle: If all your proceeds will go to charity and you intend to sell tickets only during the course of the event, a Small Raffle will suit your needs. Charge no more than one pound per ticket. You can give away any donated prizes, but may not have cash awards or spend over 250 pounds on prizes. You do not need a licence for this type of raffle.
- Private Raffle: If tickets will be offered only to a defined group, such as members of a club or employees of the same organisation, and the raffle will not be advertised or available outside this group, a Private Raffle will be appropriate. In this case, you will also not need a licence.
- Charity Raffle: If you want to sell raffle tickets amongst the general populace over a period of days, you will have to declare a Charity Raffle. Charge no more than 2 pounds per ticket and keep strict financial records. YOU MUST OBTAIN A LICENCE FROM THE GAMING BOARD OR LOCAL AUTHORITY FOR THIS!
An alternative way to sell raffle tickets without a licence is to hold a Prize Competition. Rather than determining the winner by drawing, you will ask a quiz question and reward prizes to those who answer correctly. Since the Prize Competition is based on skill rather than luck, it is not a matter for the Gaming Board.
Do It for Charity can offer some wonderful ideas on fund raising, including tips for keeping your raffle proper and legal. Best of luck!
{ 5 comments… read them below or add one }
is it legal to sell 5 tickets for£1.00 or 15 tickets for £2.00
Sorry for the slow response on this Mary. Yes, you are fine selling 5 tickets for £1.00 or 15 tickets for £2.00. As long as you are selling each ticket for less than £1.00 a piece, you are fine.
Actually, upon further research, this does not seem to be the case. You may sell 5 ticket for £1.00, but as all participants must have “equal chance for equal outlay”, you may not sell some tickets at a discount.
This link may be helpful: http://www.ukparentslounge.com/index.php?pg=105&utwkstoryid=1808&title=Is+your+raffle+breaking+the+law%3F&ind=23
hi sorry to bother u just wondered were i stand i bought a raffle ticket from work it was £1 a ticket top prize a flat screen tv and some other prizes i was asked by a member of staff if i want to buy a ticket so i said yes paid my £1 bought one ticket then when i won a prizwe i was told i couldnt have it as i wasnt in the union which the raffle was for. There was nothing advertised any were that you had to be a union member so if i paid my pound and won a prize am i not entitaled to it please help
Indeed, I am not a solicitor, but it seems to me that you ought to receive your prize. If you were not eligible to win, I think it was against the law for them to sell you the ticket. There are rules governing small raffles in the UK, which state that if the draw is operated without a license, it must be open only to a certain group, such as customers at a particular shop or employees at a business. If they were operating it as a workplace raffle, they should give you the prize, and if they were operating it as a union raffle, they should not have sold you the ticket. However, I’m not sure what recourse you have. How powerful is the union?