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The Fundraising Regulator has held a consultation on introducing registration thresholds for charitable contributions from free draw and prize competition operators.
Currently, free draws are distinct form other forms of charitable games, such as society lotteries, and so are not subject to the same legal requirement around charitable contributions.
The consultation asked respondents to comment on two proposals:
- That the Fundraising Regulator should introduce thresholds from free draw operators who seek to register with the Regulator. The threshold will eventually rise to 20% of ticket sales (in line with the level expected of society lotteries); and
- That free draw operators will be required to demonstrate their levels of charitable contribution for the last 12 months upon registration and renewal of any registration.
This consultation follows the Government's publication in November 2025 of a Voluntary Code of Good Practice for Prize Draw Operators, which comes into effect on 20 May 2026.
The consultation closed on 3 April 2026 and the Fundraising Regulator will publish its position in due course. In the meantime, registration of new operators has been suspended until September 2026.
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