Every year, communities raise hundreds of millions of pounds for charitable organizations. Many of these fundraisers are done in the form of lotteries. As the minds behind AfroMillionsLotto, this is something that we know quite intimately.
DCMS, The Department for Digital, Culture, Media and Sport is now considering raising the maximum that societies are allowed to raise from £10M to £100M per year. Not only that, but they're also suggesting that the prize limit be raised from 400,000 to 500,000.
The Minister For Civil Society, Tracey Crouch, had this to say:
“Society lotteries make a vital difference to communities up and down the country. They raise hundreds of millions of pounds every year, supporting our veterans, lifeboats, hospices, air ambulances and many other great causes.
“They are an important fundraising tool for charities and we want to ensure that both society lotteries and the National Lottery are able to thrive now and in the future.”
So far, the reaction to the announcement has been positive. There are very few people who would argue that enabling charities to raise more money is a bad thing.
And although proponents of raising the limit have been lobbying since 2014 for a change in fundraising caps, the NVCO had yet to respond favorably. Despite the evidence presented by the Institute of Fundraising, NCVO recommended that the cap be increased from £10M to £15M to keep up with inflation.
In line with this, they also urged greater transparency regarding how much of the money raised would go to the end cause.
What do you think about these potential regulatory changes to the fundraising caps of lotteries for charitable organizations? Let us know in a comment!
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