It would free up millions of pounds for society lotteries
Caps on the amount of money chqrity lotteries can make will be removed by this summer.
The UK government said it will make this possible by summer recess, the charities minister has pledged.
Stephanie Peacock, the charities minister, told the House of Commons Labour would give an update on removing sales caps for society lotteries when it had finished researching the issue.
It comes as a result of a private members’ bill put forward by Wendy Chamberlain, the Liberal Democrat MP for North East Fife.
Chamberlain said she welcomes the government’s commitment to delivering its verdict on removing the cap by the summer.
“I would challenge anyone in this House to argue that the charities in their constituencies wouldn’t benefit from this funding,” she told MPs.
“I know we benefit already in North East Fife, and I’d love to see more support for our fantastic local initiatives.”
The annual sales limits for charity lotteries increased under the previous Conservative government from £10m to £50m and umbrella lottery organisations can operate multiple licences, such as the People’s Postcode Lottery, which holds 20 licences and can sell £1bn worth of tickets a year.
However, The People’s Postcode Lottery has estimated that removing the annual cap could free up an additional £175m for the sector over the next five years.
Peacock said: “There is a clear commitment from this government to update the house on our position with regards to society lotteries by the summer recess, once we are in receipt of independent research.”
People’s Postcode Lottery managing director Clara Govier welcomed Peacock’s announcement.
“We urge them to give more urgency to this issue given the negative impact on many charities resulting from the existing sales limits on charity lotteries,” she said.