Lotteries classified as Small Society Lotteries are exempt from the requirement to have a Lottery Operating Licence from the Gambling Commission but instead need to simply register with the Local Authority.
Lotteries are exempt if they are promoted wholly on behalf of a non-commercial society, if it is a small lottery (see below for definition), and complies with the other conditions of a small society lottery are satisfied (as below):
- The proceeds of a single lottery must not exceed £20,000
- The proceeds from the societies lotteries promoted wholly or partly during the year is less than £250,000
- May be promoted for any purpose for which the promoting society is conducted
- At least 20% of the proceeds of the lottery must be applied to a purpose for which the society is conducted.
- It must not be possible for the purchaser of the ticket in a small society lottery to win by virtue of that ticket more than £25,000.
- Tickets must identify the promoting society, state the price of the ticket, state the name and address of a member of the society and external lottery manager, if there is one, and also state the date of the draw or enable the date of the draw to be determined.
- Records must be filed with the Local Authority with regard to the lottery for example the tickets sold, proceeds, costs incurred, etc.