Lotteries

Department for Digital, Culture, Media and Sport written question – answered on 27th July 2018.

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Photo of The Earl of Clancarty The Earl of Clancarty Crossbench

To ask Her Majesty's Government, further to the response by Viscount Younger of Leckie on 16 July ( HL Deb, col 1126) that "current evidence suggests that while players see the two types of lottery as distinct, there is little danger of product substitution", what is that evidence.

Photo of Lord Ashton of Hyde Lord Ashton of Hyde The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport

The Government is currently consulting on reforms to society lottery sales and prize limits. Our aim in reforming society lotteries is to allow for further growth in the sector, whilst ensuring that growth does not have a detrimental impact on the National Lottery.

The consultation options have been informed by expert advice from the Gambling Commission, which was requested following a CMS Select Committee enquiry on society lotteries in March 2015. This advice has been published alongside the consultation, which I attach, and can be found at:

http://www.gamblingcommission.gov.uk/PDF/consultations/Society-lottery-advice-provided-to-DCMS-002.pdf

In its comprehensive advice, the Gambling Commission advised that small changes to existing limits are likely to have minimal impact on the National Lottery, and that while society lotteries offer a differentiated product with smaller prizes, substitution between the two is likely to remain minimal. In conclusion, it said:

“In the context of society lotteries and the National Lottery in GB, the [academic] studies would suggest that whilst society lotteries offer a differentiated product with smaller jackpot prizes, substitution between the society lotteries and the National Lottery is likely to remain minimal. Lifting restrictions on the society lottery sector may enable society lotteries to increase their sales but under existing conditions and therefore under small changes to existing limits the impact on the National Lottery is likely to be small.”

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