The UK Gambling Commissions revealed that it is changing the rules and regulations for lotteries. These cover local authority and society lotteries. The modification of the rules came into force on July 29 and includes several distinctive elements. These cover the size of the lotteries and a bigger level of spending transparency. UKGC announced both of these in April, following a government review. This review took place a year ago, finishing in July 2019. Now, there is a general rise in the winning numbers. With an amendment to the Gabmling Act 2005, the maximum total winnings from any individual draw are now five million GBP.
The individual prize also saw a substantial rise. Now, instead of 400,000 GBP, it has risen to 500,000 GBP. The annual aggregate proceeds limit is also up. It is no longer set at 10 million GBP but instead is five times larger, standing at 50 million GBP. New guidance and requirements are also in place to offer more transparency. Besides this, they seek to provide clearer information to the consumers where the revenue is going.
This means more clarity about how much money is going to charities and good causes, as well as which organizations are they supporting. Furthermore, the lotteries now have to make clear how much money is spent on prizes and how is the rest allocated. Chances of winning any prize should be cleared as well. All of this is designed to make lotteries as clear and informed as possible. This should in turn help individuals better gauge the offer and take the one which suits them the best.
Presently, the UKGC is licensing nearly 500 society lotteries. All of them are defined as essential fundraising tools. Together, 490 of them managed to raise 332 million GBP. This took place in the period between March 2018 and March 2019. Today, because of the COVID-19 coronavirus pandemic, such schemes are essential in the UK. The lockdown and the continuing pandemic are a huge strain on the national economy. Thus, the financial health of the UK government is anything but sound.
This is the reason why many councils are doing the same thing in their regions. There, the lottery revenue is split among a range of ventures. Some money goes back to the council, but a lot of it is diverted to charities and other important organizations. The lottery money might become their key source of support. Otherwise, important cultural, sport, and community services might end up without funds.