How UK community lotteries support local groups and strengthen fundraising

Why community lotteries matter for volunteer-run groups in the UK

Groups such as PTAs, Friends organisations, sports clubs and community associations often rely heavily on events and seasonal fundraising. While effective, these activities require time, coordination and ongoing volunteer effort.

When income depends on a small number of events, financial risk increases. Adding a steady income stream improves resilience.

Community lotteries provide recurring income without organising additional events or managing complex logistics.

The first step is simple: check whether your local council operates a community lottery. If it does, consider applying to be listed as one of its supported good causes.

Types of UK lottery fundraising schemes

There are several lottery models available to community groups. The key difference is how much administration and regulatory responsibility sits with you.

1. Running your own lottery

Some organisations establish their own lottery scheme using a specialist provider. This can generate meaningful income, but it brings regulatory responsibilities.

• Registering or licensing with the local authority
• Submitting financial returns
• Complying with Gambling Commission rules
• Managing ongoing promotion and communications

For groups run by volunteers, this can be a significant commitment.

2. National or sector specific lottery platforms

Some platforms specialise in particular sectors, such as schools, or operate nationally for community groups. These are managed services, but participating organisations usually still have responsibilities.

• Providing information for licensing or compliance purposes
• Submitting periodic updates to local authority licensing teams
• Actively promoting the lottery to supporters

These models can work well, but they require ongoing engagement from volunteers.

3. Local authority community lotteries

Many UK councils now operate community lotteries in partnership with licensed External Lottery Managers. In this structure, licensing and compliance are handled centrally.

• The council manages licensing and regulation
• Eligible organisations can apply to be listed as a registered good cause
• A fixed proportion of each ticket goes directly to that organisation

For volunteer-run groups, this is typically the lowest-administration option. Multiple organisations are usually listed as registered good causes within the same scheme, sharing in ticket sales from a larger, council wide scheme.

While you are one of several participating causes, the overall scale of the scheme is often greater than running an independent lottery, which can mean provide access to a broader pool of potential supporters.

Why recurring income matters

Public reports from council lotteries show that many organisations begin with modest annual income, which can grow steadily as supporter numbers increase.

The main benefit is predictability. Predictable recurring income helps groups:

• Cover core costs
• Support ongoing projects
• Reduce pressure to organise constant fundraising events
• Plan with greater financial confidence

Community lotteries work best alongside donations, events and sponsorship, not as a replacement for them.