Limits
There are some limits in place for these kinds of lotteries:
- At least 20% of the lottery proceeds must be applied to the purpose of the society. No single prize may be worth more than £25,000. Prizes may be cash or nonmonetary.
- Rollovers between lotteries are only permitted where every lottery affected is also a small society lottery. They must be promoted by the same society and the maximum single prize is £25,000
- There is no price limit on tickets, but every ticket in the lottery must cost the same - the ticket fee must be paid to the society before entry into the draw is allowed.
- The maximum amount that can be deducted for expenses and prizes must not exceed 80%.
- Donated prizes are not included as part of the 80% but should still be declared on the 'return' form following the lottery.
- Prizes involving alcohol are not licensable under the Licensing Act 2003, subject to conditions.